BUFFALO, N.Y., Oct. 16, 2025 -- M&T Bank Corporation ("M&T" or "the Company") reports quarterly net income of $792 million or $4.82 of diluted earnings per common share.
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(Dollars in millions, except per share data) |
|
3Q25 |
|
2Q25 |
|
3Q24 |
|
Earnings Highlights |
||||||
|
Net interest income |
|
$ 1,761 |
|
$ 1,713 |
|
$ 1,726 |
|
Taxable-equivalent adjustment |
|
12 |
|
9 |
|
13 |
|
Net interest income - taxable-equivalent |
|
1,773 |
|
1,722 |
|
1,739 |
|
Provision for credit losses |
|
125 |
|
125 |
|
120 |
|
Noninterest income |
|
752 |
|
683 |
|
606 |
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Noninterest expense |
|
1,363 |
|
1,336 |
|
1,303 |
|
Net income |
|
792 |
|
716 |
|
721 |
|
Net income available to common shareholders - diluted |
|
754 |
|
679 |
|
674 |
|
Diluted earnings per common share |
|
4.82 |
|
4.24 |
|
4.02 |
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Return on average assets - annualized |
|
1.49 % |
|
1.37 % |
|
1.37 % |
|
Return on average common shareholders' equity - annualized |
|
11.45 |
|
10.39 |
|
10.26 |
|
Average Balance Sheet |
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Total assets |
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$ 211,053 |
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$ 210,261 |
|
$ 209,581 |
|
Interest-bearing deposits at banks |
|
17,739 |
|
19,698 |
|
25,491 |
|
Investment securities |
|
36,559 |
|
35,335 |
|
31,023 |
|
Loans |
|
136,527 |
|
135,407 |
|
134,751 |
|
Deposits |
|
162,706 |
|
163,406 |
|
161,505 |
|
Borrowings |
|
15,633 |
|
14,263 |
|
15,428 |
|
Selected Ratios |
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(Amounts expressed as a percent, except per share data) |
|
|
|
|
|
|
|
Net interest margin |
|
3.68 % |
|
3.62 % |
|
3.62 % |
|
Efficiency ratio (1) |
|
53.6 |
|
55.2 |
|
55.0 |
|
Net charge-offs to average total loans - annualized |
|
.42 |
|
.32 |
|
.35 |
|
Allowance for loan losses to total loans |
|
1.58 |
|
1.61 |
|
1.62 |
|
Nonaccrual loans to total loans |
|
1.10 |
|
1.16 |
|
1.42 |
|
Common equity Tier 1 ("CET1") capital ratio (2) |
|
10.99 |
|
10.99 |
|
11.54 |
|
Common shareholders' equity per share |
|
$ 170.43 |
|
$ 166.94 |
|
$ 159.38 |
|
(1) A reconciliation of non-GAAP measures is included in the tables that accompany this release. |
|
(2) CET1 capital ratio at September 30, 2025 is estimated. |
Financial Highlights
- Taxable-equivalent net interest income increased $51 million in the recent quarter as compared with the second quarter of 2025 reflecting an additional day of earnings, favorable earning asset and interest-bearing liability repricing and the impact of $20 million of lower taxable-equivalent interest income in the second quarter of 2025 resulting from an alignment of amortization periods for certain municipal bonds obtained from the acquisition of People's United Financial, Inc.
- Average loans in the recent quarter reflect higher average balances of commercial and industrial, consumer and residential real estate loans, partially offset by a lower average balance of commercial real estate loans.
- Higher noninterest income reflects a distribution of an earnout payment of $28 million related to the Company's 2023 sale of its Collective Investment Trust ("CIT") business, a $20 million distribution from M&T's investment in Bayview Lending Group LLC ("BLG"), higher mortgage banking revenues and a gain on the sale of equipment leases, partially offset by gains on the sales of an out-of-footprint loan portfolio of $15 million and a subsidiary that specialized in institutional services of $10 million each in the second quarter of 2025.
- The increase in noninterest expense was primarily attributed to higher severance-related expense, an impairment of a renewable energy tax credit investment and a rise in expenses associated with the Company's supplemental executive retirement savings plan.
- Reflecting improved asset quality, the allowance for loan losses as a percentage of total loans declined 3 basis points to 1.58% at September 30, 2025.
- M&T repurchased 2.1 million shares of its common stock during the recent quarter for a total cost of $409 million, compared with 6.1 million shares for a total cost of $1.1 billion in the second quarter of 2025. M&T's CET1 capital ratio is estimated to be 10.99% at September 30, 2025.
Chief Financial Officer Commentary
"M&T's businesses generated strong fee income in 2025 and contributed to M&T's earnings growth in the recent quarter. Our improved credit quality and loan growth each reflect the dedication of our teams to prudent lending in service of our customers and communities. We continued to return capital to our investors including an 11% increase in quarterly dividends on M&T's common stock. Our results are a reflection of M&T's commitment to finding solutions for a diverse customer base and making a difference in people's lives."
- Daryl N. Bible, M&T's Chief Financial Officer
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