Fifth Third Bancorp reported unaudited consolidated earnings results for the fourth quarter and full year ended December 31, 2013. For the quarter, the company reported net income of $402 million, a decrease of 4% from net income of $421 million in the third quarter of 2013 and an increase of 1% from net income of $399 million in the fourth quarter of 2012. After preferred dividends, net income available to common shareholders was $383 million, or $0.43 per diluted share, in the fourth quarter 2013, compared with $421 million, or $0.47 per diluted share, in the third quarter 2013, and $390 million, or $0.43 per diluted share, in the fourth quarter of 2012. Net interest income (taxable equivalent) was $905 million compared to $903 million a year ago. Income before taxes (taxable equivalent) was $566 million compared to $544 million a year ago. Return on average assets was 1.24% against 1.33% a year ago. Return on average common equity was 10.8% against 11.5% a year ago. Return on average tangible common equity was 13.1% against 14.1% a year ago. Tangible common equity was 8.63% compared to 8.83% a year ago.

For the full year, the company reported net income of $1.8 billion, up 16% from net income of $1.6 billion in 2012. After preferred dividends, 2013 net income available to common shareholders was a record $1.8 billion, or $2.02 per diluted share, up 17% compared with 2012 net income available to common shareholders of $1.5 billion, or $1.66 per diluted share. Return on average assets was 1.48% against 1.34% a year ago. Return on average common equity was 13.1% against 11.6% a year ago. Return on average tangible common equity was 16.0% against 14.3% a year ago. Tangible common equity was 8.63% compared to 8.83% a year ago. Book value per share at December 31, 2013 was $15.85 and tangible book value per share was $13.00, compared with December 31, 2012 book value per share of $15.10 and tangible book value per share of $12.33.

For the fourth quarter of December 2013, the company reported net charge offs of $148 million (0.67% of loans and leases) compared to $147 million a year ago.

The company currently expects 2014 expenses to decline in the mid-single-digits relative to reported 2013 expenses. The expected decline is primarily due to lower legal costs and lower personnel cost, primarily mortgage-related. The company expects the full year 2014 effective tax rate to be about 28% range, consistent with the 2013 adjusted rate.

The company expects the full year net charge-off ratio to be in the 40 to 45-basis-point range compared with the 58 basis points reported this year. NPAs should decline another 20% or so in 2014, which would push the NPA ratio solidly below 1% during the year.