M&T Bank Corporation (NYSE:MTB) announces second quarter 2025 results

, /PRNewswire/ -- M&T Bank Corporation ("M&T" or "the Company") reports quarterly net income of $716 million or $4.24 of diluted earnings per common share. (Dollars in millions, except per share data) 2Q25 1Q25 2Q24 Earnings Highlights Net interest income $ 1,713 $ 1,695 $ 1,718 Taxable-equivalent adjustment 9 12 13 Net interest income - taxable-equivalent 1,722 1,707 1,731 Provision for credit losses 125 130 150 Noninterest income 683 611 584 Noninterest expense 1,336 1,415 1,297 Net income 716 584 655 Net income available to common shareholders - diluted 679 547 626 Diluted earnings per common share 4.24 3.32 3.73 Return on average assets - annualized 1.37 % 1.14 % 1.24 % Return on average common shareholders' equity - annualized 10.39 8.36 9.95 Average Balance Sheet Total assets $ 210,261 $ 208,321 $ 211,981 Interest-bearing deposits at banks 19,698 19,695 29,294 Investment securities 35,335 34,480 29,695 Loans 135,407 134,844 134,588 Deposits 163,406 161,220 163,491 Borrowings 14,263 14,154 16,452 Selected Ratios (Amounts expressed as a percent, except per share data) Net interest margin 3.62 % 3.66 % 3.59 % Efficiency ratio (1) 55.2 60.5 55.3 Net charge-offs to average total loans - annualized .32 .34 .41 Allowance for loan losses to total loans 1.61 1.63 1.63 Nonaccrual loans to total loans 1.16 1.14 1.50 Common equity Tier 1 ("CET1") capital ratio (2) 10.98 11.50 11.45 Common shareholders' equity per share $ 166.94 $ 163.62 $ 153.57 (1) A reconciliation of non-GAAP measures is included in the tables that accompany this release. (2) CET1 capital ratio at June 30, 2025 is estimated. Financial Highlights Taxable-equivalent net interest income increased $15 million in the recent quarter as compared with the first quarter of 2025 reflecting an additional day of earnings, favorable asset repricing and a lower negative impact from interest rate swap agreements used for hedging purposes, partially offset by $20 million of lower taxable-equivalent interest income 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 consumer and residential real estate loans, partially offset by a decrease in the average balance of commercial real estate loans. Average deposits increased in the recent quarter as compared with the first quarter of 2025, reflecting higher average savings and interest-checking deposits. The increase in noninterest income reflects a rise in residential mortgage banking revenues and trust income as well as 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. The decline in noninterest expense was primarily attributed to lower salaries and employee benefits expense, reflecting seasonal expense recorded in the first quarter of 2025. Reflecting improved asset quality the allowance for loan losses as a percentage of total loans declined 2 basis points to 1.61% at June 30, 2025. M&T repurchased 6,073,957 shares of its common stock during the recent quarter for a total cost of $1.1 billion, compared with 3,415,303 shares for a total cost of $662 million in the first quarter of 2025. Reflecting repurchases, M&T's CET1 capital ratio declined to an estimated 10.98% at June 30, 2025, representing a 52 basis-point decrease from 11.50% at March 31, 2025. Chief Financial Officer Commentary "M&T's consistent profitability has supported a significant return of capital to shareholders while maintaining resiliency entering the second half of the year. We are thrilled with a reduction of M&T's stress capital buffer and we remain committed to prudent risk management for the benefit of all of our stakeholders. Our teams continue to work with customers each and every day to provide solutions for their financial success. This summer, expect to see M&T employees out in force assisting customers and volunteering in the communities we serve to make a difference in people's lives." - Daryl N. Bible, M&T's Chief Financial Officer Contact: Investor Relations: Steve Wendelboe 716.842.5138 Media Relations: Frank Lentini 929.651.0447 Non-GAAP Measures (1) (Dollars in millions, except per share data) 2Q25 1Q25 Change 2Q25 vs. 1Q25 2Q24 Change 2Q25 vs. 2Q24 Net operating income $ 724 $ 594 22 % $ 665 9 % Diluted net operating earnings per common share 4.28 3.38 27 3.79 13 Annualized return on average tangible assets 1.44 % 1.21 % 1.31 % Annualized return on average tangible common equity 15.54 12.53 15.27 Efficiency ratio 55.2 60.5 55.3 Tangible equity per common share $ 112.48 $ 111.13 1 $ 102.42 10 ____________________ (1) A reconciliation of non-GAAP measures is included in the tables that accompany this release. M&T consistently provides supplemental reporting of its results on a "net operating" or "tangible" basis, from which M&T excludes the after-tax effect of amortization of core deposit and other intangible assets (and the related goodwill and core deposit and other intangible asset balances, net of applicable deferred tax amounts) and expenses associated with merging acquired operations into M&T (when incurred), since such items are considered by management to be "nonoperating" in nature. Taxable-equivalent Net Interest Income (Dollars in millions) 2Q25 1Q25 Change 2Q25 vs. 1Q25 2Q24 Change 2Q25 vs. 2Q24 Average earning assets $ 190,535 $ 189,116 1 % $ 193,676 -2 % Average interest-bearing liabilities 132,516 129,938 2 132,209 — Net interest income - taxable-equivalent 1,722 1,707 1 1,731 -1 Yield on average earning assets 5.51 % 5.52 % 5.82 % Cost of interest-bearing liabilities 2.71 2.70 3.26 Net interest spread 2.80 2.82 2.56 Net interest margin 3.62 3.66 3.59 Taxable-equivalent net interest income increased $15 million, or 1%, in the recent quarter as compared with the first quarter of 2025. Average interest-bearing deposits at banks were essentially unchanged and the yield received on those deposits declined 1 basis point. Average investment securities increased $855 million and the rates earned on those securities decreased 19 basis points reflecting $20 million of lower taxable-equivalent interest income resulting from an alignment of amortization periods for certain municipal bonds obtained from an acquisition. Average loans increased $563 million and the yield received on those loans, including the impact from interest rate swap agreements used for hedging purposes, rose 5 basis points. Average interest-bearing deposits increased $2.5 billion and the rates paid on such deposits rose 1 basis point. Average borrowings rose $109 million and the rates paid on such borrowings increased 1 basis point. Taxable-equivalent net interest income decreased $9 million as compared with the year-earlier second quarter. Average interest-bearing deposits at banks decreased $9.6 billion and the yield received on those deposits declined 103 basis points. Average investment securities increased $5.6 billion and the yield earned on those securities rose 20 basis points. Average loans grew $819 million while the yield received on those loans decreased 27 basis points. Average interest-bearing deposits rose $2.5 billion while the rates paid on those deposits declined 52 basis points. Average borrowings decreased $2.2 billion and the rates paid on such borrowings declined 34 basis points. Average Earning Assets (Dollars in millions) 2Q25 1Q25 Change 2Q25 vs. 1Q25 2Q24 Change 2Q25 vs. 2Q24 Interest-bearing deposits at banks $ 19,698 $ 19,695 — % $ 29,294 -33 % Trading account 95 97 -3 99 -4 Investment securities 35,335 34,480 2 29,695 19 Loans Commercial and industrial 61,036 61,056 — 58,152 5 Real estate - commercial 25,333 26,259 -4 31,458 -19 Real estate - consumer 23,684 23,176 2 23,006 3 Consumer 25,354 24,353 4 21,972 15 Total loans 135,407 134,844 — 134,588 1 Total earning assets $ 190,535 $ 189,116 1 $ 193,676 -2 Average earning assets increased $1.4 billion, or 1%, from the first quarter of 2025. Average interest-bearing deposits at banks were essentially unchanged. Average investment securities increased $855 million primarily due to purchases of fixed rate agency mortgage-backed securities and U.S. Treasury securities during the first and second quarters of 2025. Average loans increased $563 million primarily reflective of higher average consumer loans of $1.0 billion, including higher average recreational finance and automobile loans, and an increase in average residential real estate loans of $508 million, partially offset by a decline in average commercial real estate loans of $926 million, reflecting payoffs and the sale of an out-of-footprint residential builder and developer loan portfolio. Average earning assets decreased $3.1 billion, or 2%, from the second quarter of 2024. Average interest-bearing deposits at banks decreased $9.6 billion reflecting purchases of investment securities, lower average balances of borrowings and share repurchases. Average investment securities increased $5.6 billion primarily reflecting purchases of fixed rate agency mortgage-backed securities and U.S. Treasury securities since the second quarter of 2024. Average loans increased $819 million resulting from higher average commercial and industrial loans of $2.9 billion, reflecting growth spanning most industry types, and a rise in average consumer loans of $3.4 billion, reflecting higher average balances of recreational finance and automobile loans. Partially offsetting those increases was a $6.1 billion decline in average commercial real estate loans. Average Interest-bearing Liabilities (Dollars in millions) 2Q25 1Q25 Change 2Q25 vs. 1Q25 2Q24 Change 2Q25 vs. 2Q24 Interest-bearing deposits Savings and interest-checking deposits $ 103,963 $ 101,564 2 % $ 95,955 8 % Time deposits 14,290 14,220 — 19,802 -28 Total interest-bearing deposits 118,253 115,784 2 115,757 2 Short-term borrowings 3,327 2,869 16 4,962 -33 Long-term borrowings 10,936 11,285 -3 11,490 -5 Total interest-bearing liabilities $ 132,516 $ 129,938 2 $ 132,209 — Brokered savings and interest-checking deposits $ 9,921 $ 9,991 -1 % $ 8,193 21 % Brokered time deposits 568 777 -27 3,826 -85 Total brokered deposits $ 10,489 $ 10,768 -3 $ 12,019 -13 Average interest-bearing liabilities rose $2.6 billion, or 2%, in the recent quarter as compared with the first quarter of 2025 reflecting an increase in average savings and interest-checking deposits. Average interest-bearing liabilities increased $307 million from the second quarter of 2024. Average interest-bearing deposits rose $2.5 billion. Non-brokered interest-bearing deposits increased $4.0 billion reflecting a $6.3 billion increase in average non-brokered savings and interest-checking deposits, partially offset by a $2.3 billion decline in average non-brokered time deposits. A $1.5 billion decline in average brokered deposits reflected maturities of brokered time deposits, partially offset by higher average balances of brokered savings and interest-checking deposits. Average borrowings decreased $2.2 billion reflecting lower average short-term and long-term borrowings from the FHLB of New York, partially offset by issuances of senior notes and other long-term debt since the second quarter of 2024. Provision for Credit Losses/Asset Quality (Dollars in millions) 2Q25 1Q25 Change 2Q25 vs. 1Q25 2Q24 Change 2Q25 vs. 2Q24 At end of quarter Nonaccrual loans $ 1,573 $ 1,540 2 % $ 2,024 -22 % Real estate and other foreclosed assets 30 34 -11 33 -7 Total nonperforming assets 1,603 1,574 2 2,057 -22 Accruing loans past due 90 days or more (1) 496 384 29 233 113 Nonaccrual loans as % of loans outstanding 1.16 % 1.14 % 1.50 % Allowance for loan losses $ 2,197 $ 2,200 — $ 2,204 — Allowance for loan losses as % of loans outstanding 1.61 % 1.63 % 1.63 % Reserve for unfunded credit commitments $ 80 $ 60 33 $ 60 33 For the period Provision for loan losses $ 105 $ 130 -19 $ 150 -30 Provision for unfunded credit commitments 20 — 100 — 100 Total provision for credit losses 125 130 -4 150 -17 Net charge-offs 108 114 -5 137 -21 Net charge-offs as % of average loans (annualized) .32 % .34 % .41 % ____________________ (1) Predominantly government-guaranteed residential real estate loans. The provision for credit losses was $125 million in the second quarter of 2025 as compared with $130 million in the immediately preceding quarter and $150 million in the second quarter of 2024. The allowance for loan losses as a percentage of loans outstanding decreased from 1.63% at March 31, 2025 to 1.61% at June 30, 2025 reflecting lower levels of criticized commercial real estate loans. Net charge-offs totaled $108 million in 2025's second quarter as compared with $114 million in 2025's first quarter and $137 million in the year-earlier quarter, representing .32%, .34% and .41%, respectively, of average loans outstanding. Nonaccrual loans were $1.6 billion at June 30, 2025, compared with $1.5 billion at March 31, 2025 and $2.0 billion at June 30, 2024. The lower level of nonaccrual loans at the two most recent quarter ends as compared with June 30, 2024 predominantly reflects decreases in commercial real estate nonaccrual loans. Noninterest Income (Dollars in millions) 2Q25 1Q25 Change 2Q25 vs. 1Q25 2Q24 Change 2Q25 vs. 2Q24 Mortgage banking revenues $ 130 $ 118 11 % $ 106 23 % Service charges on deposit accounts 137 133 4 127 8 Trust income 182 177 3 170 7 Brokerage services income 31 32 -1 30 3 Trading account and other non-hedging derivative gains 12 9 15 7 68 Gain (loss) on bank investment securities — — — (8) — Other revenues from operations 191 142 33 152 25 Total $ 683 $ 611 12 $ 584 17 Noninterest income in the second quarter of 2025 increased $72 million, or 12%, from 2025's first quarter. Mortgage banking revenues rose $12 million reflecting increased residential mortgage loan servicing income. Trust income increased $5 million reflecting seasonal tax service fees. Other revenues from operations increased $49 million reflecting a $15 million gain on the sale of an out-of-footprint residential builder and developer loan portfolio, a $10 million gain on the sale of a subsidiary that specialized in institutional services, a rise in merchant discount and credit card fees and higher loan syndication fees in the recent quarter. Noninterest income rose $99 million, or 17%, as compared with the second quarter of 2024. Mortgage banking revenues rose $24 million predominantly due to increased residential mortgage loan servicing income. Service charges on deposit accounts increased $10 million primarily from higher commercial service charges. Trust income increased $12 million reflecting higher revenues from the Company's global capital markets and wealth advisory services businesses. The loss on bank investment securities in the second quarter of 2024 reflected realized losses on sales of certain non-agency investment securities. Other revenues from operations increased $39 million reflecting a $15 million gain on the sale of an out-of-footprint loan portfolio, a $10 million gain on the sale of a subsidiary that specialized in institutional services and an increase in letter of credit and other credit-related fees. Noninterest Expense (Dollars in millions) 2Q25 1Q25 Change2Q25 vs. 1Q25 2Q24 Change2Q25 vs. 2Q24 Salaries and employee benefits $ 813 $ 887 -8 % $ 764 6 % Equipment and net occupancy 130 132 -2 125 4 Outside data processing and software 138 136 1 124 11 Professional and other services 86 84 4 91 -4 FDIC assessments 22 23 -7 37 -41 Advertising and marketing 25 22 14 27 -7 Amortization of core deposit and other intangible assets 9 13 -27 13 -24 Other costs of operations 113 118 -5 116 -3 Total $ 1,336 $ 1,415 -6 $ 1,297 3 Noninterest expense declined $79 million, or 6%, from the first quarter of 2025. Salaries and employee benefits expense decreased $74 million, reflecting seasonally higher stock-based compensation, payroll-related taxes and other employee benefits expense in the first quarter of 2025, partially offset by the full-quarter impact of annual merit increases awarded in the first quarter of 2025 and an additional working day in the recent quarter. Noninterest expense increased $39 million, or 3%, from the second quarter of 2024. Salaries and employee benefits expense increased $49 million reflecting annual merit and other increases, higher average employee staffing levels and a rise in medical benefits expense. Outside data processing and software costs rose $14 million reflecting higher software maintenance expenses. The decrease in FDIC assessments reflects a lower level of criticized loans and a special assessment expense of $5 million in the second quarter of 2024. Income Taxes The Company's effective income tax rate was 23.4% in each of the second quarters of 2025 and 2024, compared with 23.2% in the first quarter of 2025. Capital 2Q25 1Q25 2Q24 CET1 10.98 % (1) 11.50 % 11.45 % Tier 1 capital 12.50 (1) 13.04 13.23 Total capital 13.96 (1) 14.50 14.88 Tangible capital – common 8.67 8.95 8.55 ____________________ (1) Capital ratios at June 30, 2025 are estimated. M&T's capital ratios remained well above the minimum set forth by regulatory requirements. Cash dividends declared on M&T's common and preferred stock totaled $215 million and $35 million, respectively, for the quarter ended June 30, 2025. M&T's current stress capital buffer is 3.8%. In June 2025, the Federal Reserve released the results of its most recent supervisory stress tests, in which M&T elected to participate. Based on those results, M&T's stress capital buffer is estimated to be 2.7% effective October 1, 2025. The CET1 capital ratio for M&T was estimated at 10.98% as of June 30, 2025. M&T's total risk-weighted assets at June 30, 2025 are estimated to be $158.2 billion. M&T repurchased 6,073,957 shares of its common stock in accordance with its capital plan during the recent quarter at an average cost per share of $175.93 resulting in a total cost, including the share repurchase excise tax, of $1.1 billion, compared with 3,415,303 shares at an average cost per share of $192.06 and a total cost, including the share repurchase excise tax, of $662 million in the first quarter of 2025. No share repurchases occurred in the second quarter of 2024. Conference Call Investors will have an opportunity to listen to M&T's conference call to discuss second quarter financial results today at 11:00 a.m. Eastern Time. Those wishing to participate in the call may dial (800) 347-7315. International participants, using any applicable international calling codes, may dial (785) 424-1755. Callers should reference M&T Bank Corporation or the conference ID #MTBQ225. The conference call will be webcast live through M&T's website at https://ir.mtb.com/news-events/events-presentations. A replay of the call will be available through Wednesday July 23, 2025 by calling (800) 688-9459 or (402) 220-1373 for international participants. No conference ID or passcode is required. The event will also be archived and available by 3:00 p.m. today on M&T's website at https://ir.mtb.com/news-events/events-presentations. About M&T M&T is a financial holding company headquartered in Buffalo, New York. M&T's principal banking subsidiary, M&T Bank, provides banking products and services with a branch and ATM network spanning the eastern U.S. from Maine to Virginia and Washington, D.C. Trust-related services are provided in select markets in the U.S. and abroad by M&T's Wilmington Trust-affiliated companies and by M&T Bank. For more information on M&T Bank, visit www.mtb.com. Forward-Looking Statements This news release and related conference call may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and the rules and regulations of the SEC. Any statement that does not describe historical or current facts is a forward-looking statement, including statements based on current expectations, estimates and projections about M&T's business, and management's beliefs and assumptions. Statements regarding the potential effects of events or factors specific to M&T and/or the financial industry as a whole, as well as national and global events generally, on M&T's business, financial condition, liquidity and results of operations may constitute forward-looking statements. Such statements are subject to the risk that the actual effects may differ, possibly materially, from what is reflected in those forward-looking statements due to factors and future developments that are uncertain, unpredictable and in many cases beyond M&T's control. Forward-looking statements are typically identified by words such as "believe," "expect," "anticipate," "intend," "target," "estimate," "continue," or "potential," by future conditional verbs such as "will," "would," "should," "could," or "may," or by variations of such words or by similar expressions. These statements are not guarantees of future performance and involve certain risks, uncertainties and assumptions which are difficult to predict and may cause actual outcomes to differ materially from what is expressed or forecasted. While there can be no assurance that any list of risks and uncertainties is complete, important factors that could cause actual outcomes and results to differ materially from those contemplated by forward-looking statements include the following, without limitation: economic conditions and growth rates, including inflation and market volatility; events and developments in the financial services industry, including industry conditions; changes in interest rates, spreads on earning assets and interest-bearing liabilities, and interest rate sensitivity; prepayment speeds, loan originations, loan concentrations by type and industry, credit losses and market values on loans, collateral securing loans, and other assets; sources of liquidity; levels of client deposits; ability to contain costs and expenses; changes in M&T's credit ratings; domestic or international political developments and other geopolitical events, including trade and tariff policies and international conflicts and hostilities; changes and trends in the securities markets; common shares outstanding and common stock price volatility; fair value of and number of stock-based compensation awards to be issued in future periods; the impact of changes in market values on trust-related revenues; federal, state or local legislation and/or regulations affecting the financial services industry, or M&T and its subsidiaries individually or collectively, including tax policy; regulatory supervision and oversight, including monetary policy and capital requirements; governmental and public policy changes; political conditions, either nationally or in the states in which M&T and its subsidiaries do business; the outcome of pending and future litigation and governmental proceedings, including tax-related examinations and other matters; changes in accounting policies or procedures as may be required by the Financial Accounting Standards Board, regulatory agencies or legislation; increasing price, product and service competition by competitors, including new entrants; technological developments and changes; the ability to continue to introduce competitive new products and services on a timely, cost-effective basis; the mix of products and services; protection and validity of intellectual property rights; reliance on large customers; technological, implementation and cost/financial risks in large, multi-year contracts; continued availability of financing; financial resources in the amounts, at the times and on the terms required to support M&T and its subsidiaries' future businesses; and material differences in the actual financial results of merger, acquisition, divestment and investment activities compared with M&T's initial expectations, including the full realization of anticipated cost savings and revenue enhancements. These are representative of the factors that could affect the outcome of the forward-looking statements. In addition, as noted, such statements could be affected by general industry and market conditions and growth rates, general economic and political conditions, either nationally or in the states in which M&T and its subsidiaries do business, and other factors. M&T provides further detail regarding these risks and uncertainties in its Form 10-K for the year ended December 31, 2024, including in the Risk Factors section of such report, as well as in other SEC filings. Forward-looking statements speak only as of the date they are made, and M&T assumes no duty and does not undertake to update forward-looking statements. Financial Highlights Three Months Ended Six Months Ended June 30, June 30, (Dollars in millions, except per share, shares in thousands) 2025 2024 Change 2025 2024 Change Performance Net income $ 716 $ 655 9 % $ 1,300 $ 1,186 10 % Net income available to common shareholders 679 626 8 1,226 1,131 8 Per common share: Basic earnings 4.26 3.75 14 7.58 6.79 12 Diluted earnings 4.24 3.73 14 7.55 6.76 12 Cash dividends 1.35 1.35 — 2.70 2.65 2 Common shares outstanding: Average - diluted (1) 160,005 167,659 -5 162,511 167,372 -3 Period end (2) 156,532 167,225 -6 156,532 167,225 -6 Return on (annualized): Average total assets 1.37 % 1.24 % 1.25 % 1.13 % Average common shareholders' equity 10.39 9.95 9.37 9.05 Taxable-equivalent net interest income $ 1,722 $ 1,731 -1 $ 3,429 $ 3,423 — Yield on average earning assets 5.51 % 5.82 % 5.51 % 5.78 % Cost of interest-bearing liabilities 2.71 3.26 2.71 3.26 Net interest spread 2.80 2.56 2.80 2.52 Contribution of interest-free funds .82 1.03 .84 1.04 Net interest margin 3.62 3.59 3.64 3.56 Net charge-offs to average total net loans (annualized) .32 .41 .33 .41 Net operating results (3) Net operating income $ 724 $ 665 9 $ 1,318 $ 1,208 9 Diluted net operating earnings per common share 4.28 3.79 13 7.66 6.89 11 Return on (annualized): Average tangible assets 1.44 % 1.31 % 1.32 % 1.20 % Average tangible common equity 15.54 15.27 14.03 13.99 Efficiency ratio 55.2 55.3 57.8 58.0 At June 30, Loan quality 2025 2024 Change Nonaccrual loans $ 1,573 $ 2,024 -22 % Real estate and other foreclosed assets 30 33 -7 Total nonperforming assets $ 1,603 $ 2,057 -22 Accruing loans past due 90 days or more (4) $ 496 $ 233 113 Government guaranteed loans included in totals above: Nonaccrual loans $ 75 $ 64 17 Accruing loans past due 90 days or more 450 215 110 Nonaccrual loans to total loans 1.16 % 1.50 % Allowance for loan losses to total loans 1.61 1.63 Additional information Period end common stock price $ 193.99 $ 151.36 28 Domestic banking offices 941 957 -2 Full time equivalent employees 22,590 22,110 2 ____________________ (1) Includes common stock equivalents. (2) Includes common stock issuable under deferred compensation plans. (3) Excludes amortization and balances related to goodwill and core deposit and other intangible assets and merger-related expenses which, except in the calculation of the efficiency ratio, are net of applicable income tax effects. Reconciliations of net income with net operating income appear herein. (4) Predominantly government-guaranteed residential real estate loans. Financial Highlights, Five Quarter Trend Three Months Ended June 30, March 31, December 31, September 30, June 30, (Dollars in millions, except per share, shares in thousands) 2025 2025 2024 2024 2024 Performance Net income $ 716 $ 584 $ 681 $ 721 $ 655 Net income available to common shareholders 679 547 644 674 626 Per common share: Basic earnings 4.26 3.33 3.88 4.04 3.75 Diluted earnings 4.24 3.32 3.86 4.02 3.73 Cash dividends 1.35 1.35 1.35 1.35 1.35 Common shares outstanding: Average - diluted (1) 160,005 165,047 166,969 167,567 167,659 Period end (2) 156,532 162,552 165,526 166,157 167,225 Return on (annualized): Average total assets 1.37 % 1.14 % 1.28 % 1.37 % 1.24 % Average common shareholders' equity 10.39 8.36 9.75 10.26 9.95 Taxable-equivalent net interest income $ 1,722 $ 1,707 $ 1,740 $ 1,739 $ 1,731 Yield on average earning assets 5.51 % 5.52 % 5.60 % 5.82 % 5.82 % Cost of interest-bearing liabilities 2.71 2.70 2.94 3.22 3.26 Net interest spread 2.80 2.82 2.66 2.60 2.56 Contribution of interest-free funds .82 .84 .92 1.02 1.03 Net interest margin 3.62 3.66 3.58 3.62 3.59 Net charge-offs to average total net loans (annualized) .32 .34 .47 .35 .41 Net operating results (3) Net operating income $ 724 $ 594 $ 691 $ 731 $ 665 Diluted net operating earnings per common share 4.28 3.38 3.92 4.08 3.79 Return on (annualized): Average tangible assets 1.44 % 1.21 % 1.35 % 1.45 % 1.31 % Average tangible common equity 15.54 12.53 14.66 15.47 15.27 Efficiency ratio 55.2 60.5 56.8 55.0 55.3 June 30, March 31, December 31, September 30, June 30, Loan quality 2025 2025 2024 2024 2024 Nonaccrual loans $ 1,573 $ 1,540 $ 1,690 $ 1,926 $ 2,024 Real estate and other foreclosed assets 30 34 35 37 33 Total nonperforming assets $ 1,603 $ 1,574 $ 1,725 $ 1,963 $ 2,057 Accruing loans past due 90 days or more (4) $ 496 $ 384 $ 338 $ 288 $ 233 Government guaranteed loans included in totals above: Nonaccrual loans 75 69 69 69 64 Accruing loans past due 90 days or more 450 368 318 269 215 Nonaccrual loans to total loans 1.16 % 1.14 % 1.25 % 1.42 % 1.50 % Allowance for loan losses to total loans 1.61 1.63 1.61 1.62 1.63 Additional information Period end common stock price $ 193.99 $ 178.75 $ 188.01 $ 178.12 $ 151.36 Domestic banking offices 941 955 955 957 957 Full time equivalent employees 22,590 22,291 22,101 21,986 22,110 ____________________ (1) Includes common stock equivalents. (2) Includes common stock issuable under deferred compensation plans. (3) Excludes amortization and balances related to goodwill and core deposit and other intangible assets and merger-related expenses which, except in the calculation of the efficiency ratio, are net of applicable income tax effects. Reconciliations of net income with net operating income appear herein. (4) Predominantly government-guaranteed residential real estate loans. Condensed Consolidated Statement of Income Three Months Ended Six Months Ended June 30, June 30, (Dollars in millions) 2025 2024 Change 2025 2024 Change Interest income $ 2,609 $ 2,789 -6 % $ 5,169 $ 5,534 -7 % Interest expense 896 1,071 -16 1,761 2,136 -18 Net interest income 1,713 1,718 — 3,408 3,398 — Provision for credit losses 125 150 -17 255 350 -27 Net interest income after provision for credit losses 1,588 1,568 1 3,153 3,048 3 Other income Mortgage banking revenues 130 106 23 248 210 18 Service charges on deposit accounts 137 127 8 270 251 8 Trust income 182 170 7 359 330 9 Brokerage services income 31 30 3 63 59 6 Trading account and other non-hedging derivative gains 12 7 68 21 16 30 Gain (loss) on bank investment securities — (8) — — (6) — Other revenues from operations 191 152 25 333 304 9 Total other income 683 584 17 1,294 1,164 11 Other expense Salaries and employee benefits 813 764 6 1,700 1,597 6 Equipment and net occupancy 130 125 4 262 254 3 Outside data processing and software 138 124 11 274 244 12 Professional and other services 86 91 -4 170 176 -3 FDIC assessments 22 37 -41 45 97 -53 Advertising and marketing 25 27 -7 47 47 -1 Amortization of core deposit and other intangible assets 9 13 -24 22 28 -18 Other costs of operations 113 116 -3 231 250 -8 Total other expense 1,336 1,297 3 2,751 2,693 2 Income before taxes 935 855 9 1,696 1,519 12 Income taxes 219 200 9 396 333 19 Net income $ 716 $ 655 9 % $ 1,300 $ 1,186 10 % Condensed Consolidated Statement of Income, Five Quarter Trend Three Months Ended June 30, March 31, December 31, September 30, June 30, (Dollars in millions) 2025 2025 2024 2024 2024 Interest income $ 2,609 $ 2,560 $ 2,707 $ 2,785 $ 2,789 Interest expense 896 865 979 1,059 1,071 Net interest income 1,713 1,695 1,728 1,726 1,718 Provision for credit losses 125 130 140 120 150 Net interest income after provision for credit losses 1,588 1,565 1,588 1,606 1,568 Other income Mortgage banking revenues 130 118 117 109 106 Service charges on deposit accounts 137 133 131 132 127 Trust income 182 177 175 170 170 Brokerage services income 31 32 30 32 30 Trading account and other non-hedging derivative gains 12 9 10 13 7 Gain (loss) on bank investment securities — — 18 (2) (8) Other revenues from operations 191 142 176 152 152 Total other income 683 611 657 606 584 Other expense Salaries and employee benefits 813 887 790 775 764 Equipment and net occupancy 130 132 133 125 125 Outside data processing and software 138 136 125 123 124 Professional and other services 86 84 80 88 91 FDIC assessments 22 23 24 25 37 Advertising and marketing 25 22 30 27 27 Amortization of core deposit and other intangible assets 9 13 13 12 13 Other costs of operations 113 118 168 128 116 Total other expense 1,336 1,415 1,363 1,303 1,297 Income before taxes 935 761 882 909 855 Income taxes 219 177 201 188 200 Net income $ 716 $ 584 $ 681 $ 721 $ 655 Condensed Consolidated Balance Sheet June 30, (Dollars in millions) 2025 2024 Change ASSETS Cash and due from banks $ 2,128 $ 1,778 20 % Interest-bearing deposits at banks 19,297 24,792 -22 Trading account 93 99 -6 Investment securities 35,568 29,894 19 Loans: Commercial and industrial 61,660 60,027 3 Real estate - commercial 24,567 29,532 -17 Real estate - consumer 24,117 23,003 5 Consumer 25,772 22,440 15 Total loans 136,116 135,002 1 Less: allowance for loan losses 2,197 2,204 — Net loans 133,919 132,798 1 Goodwill 8,465 8,465 — Core deposit and other intangible assets 84 119 -30 Other assets 12,030 10,910 10 Total assets $ 211,584 $ 208,855 1 % LIABILITIES AND SHAREHOLDERS' EQUITY Noninterest-bearing deposits $ 47,485 $ 47,729 -1 % Interest-bearing deposits 116,968 112,181 4 Total deposits 164,453 159,910 3 Short-term borrowings 2,071 4,764 -57 Long-term borrowings 12,380 11,319 9 Accrued interest and other liabilities 4,155 4,438 -6 Total liabilities 183,059 180,431 1 Shareholders' equity: Preferred 2,394 2,744 -13 Common 26,131 25,680 2 Total shareholders' equity 28,525 28,424 — Total liabilities and shareholders' equity $ 211,584 $ 208,855 1 % Condensed Consolidated Balance Sheet, Five Quarter Trend June 30, March 31, December 31, September 30, June 30, (Dollars in millions) 2025 2025 2024 2024 2024 ASSETS Cash and due from banks $ 2,128 $ 2,109 $ 1,909 $ 2,216 $ 1,778 Interest-bearing deposits at banks 19,297 20,656 18,873 24,417 24,792 Trading account 93 96 101 102 99 Investment securities 35,568 35,137 34,051 32,327 29,894 Loans: Commercial and industrial 61,660 60,596 61,481 61,012 60,027 Real estate - commercial 24,567 25,867 26,764 28,683 29,532 Real estate - consumer 24,117 23,284 23,166 23,019 23,003 Consumer 25,772 24,827 24,170 23,206 22,440 Total loans 136,116 134,574 135,581 135,920 135,002 Less: allowance for loan losses 2,197 2,200 2,184 2,204 2,204 Net loans 133,919 132,374 133,397 133,716 132,798 Goodwill 8,465 8,465 8,465 8,465 8,465 Core deposit and other intangible assets 84 93 94 107 119 Other assets 12,030 11,391 11,215 10,435 10,910 Total assets $ 211,584 $ 210,321 $ 208,105 $ 211,785 $ 208,855 LIABILITIES AND SHAREHOLDERS' EQUITY Noninterest-bearing deposits $ 47,485 $ 49,051 $ 46,020 $ 47,344 $ 47,729 Interest-bearing deposits 116,968 116,358 115,075 117,210 112,181 Total deposits 164,453 165,409 161,095 164,554 159,910 Short-term borrowings 2,071 1,573 1,060 2,605 4,764 Long-term borrowings 12,380 10,496 12,605 11,583 11,319 Accrued interest and other liabilities 4,155 3,852 4,318 4,167 4,438 Total liabilities 183,059 181,330 179,078 182,909 180,431 Shareholders' equity: Preferred 2,394 2,394 2,394 2,394 2,744 Common 26,131 26,597 26,633 26,482 25,680 Total shareholders' equity 28,525 28,991 29,027 28,876 28,424 Total liabilities and shareholders' equity $ 211,584 $ 210,321 $ 208,105 $ 211,785 $ 208,855 Condensed Consolidated Average Balance Sheet and Annualized Taxable-equivalent Rates Three Months Ended Change in Balance Six Months Ended June 30, March 31, June 30, June 30, 2025 from June 30, Change 2025 2025 2024 March 31, June 30, 2025 2024 in (Dollars in millions) Balance Rate Balance Rate Balance Rate 2025 2024 Balance Rate Balance Rate Balance ASSETS Interest-bearing deposits at banks $ 19,698 4.47 % $ 19,695 4.48 % $ 29,294 5.50 % — % -33 % $ 19,697 4.48 % $ 29,971 5.50 % -34 % Trading account 95 3.46 97 3.42 99 3.47 -3 -4 96 3.44 102 3.45 -6 Investment securities (1) 35,335 3.81 34,480 4.00 29,695 3.61 2 19 34,909 3.90 29,141 3.46 20 Loans: Commercial and industrial 61,036 6.40 61,056 6.36 58,152 7.04 — 5 61,046 6.38 57,486 7.01 6 Real estate - commercial 25,333 6.31 26,259 6.16 31,458 6.38 -4 -19 25,794 6.24 32,077 6.37 -20 Real estate - consumer 23,684 4.52 23,176 4.44 23,006 4.32 2 3 23,431 4.48 23,071 4.30 2 Consumer 25,354 6.57 24,353 6.57 21,972 6.61 4 15 24,856 6.57 21,558 6.58 15 Total loans 135,407 6.11 134,844 6.06 134,588 6.38 — 1 135,127 6.08 134,192 6.35 1 Total earning assets 190,535 5.51 189,116 5.52 193,676 5.82 1 -2 189,829 5.51 193,406 5.78 -2 Goodwill 8,465 8,465 8,465 — — 8,465 8,465 — Core deposit and other intangible assets 89 92 126 -4 -30 90 133 -32 Other assets 11,172 10,648 9,714 5 15 10,912 9,725 12 Total assets $ 210,261 $ 208,321 $ 211,981 1 % -1 % $ 209,296 $ 211,729 -1 % LIABILITIES AND SHAREHOLDERS' EQUITY Interest-bearing deposits Savings and interest-checking deposits $ 103,963 2.24 % $ 101,564 2.20 % $ 95,955 2.59 % 2 % 8 % $ 102,770 2.22 % $ 95,411 2.60 % 8 % Time deposits 14,290 3.45 14,220 3.54 19,802 4.41 — -28 14,255 3.50 20,192 4.41 -29 Total interest-bearing deposits 118,253 2.38 115,784 2.37 115,757 2.90 2 2 117,025 2.38 115,603 2.91 1 Short-term borrowings 3,327 4.49 2,869 4.52 4,962 5.62 16 -33 3,100 4.51 5,595 5.51 -45 Long-term borrowings 10,936 5.72 11,285 5.65 11,490 5.83 -3 -5 11,109 5.69 10,631 5.82 4 Total interest-bearing liabilities 132,516 2.71 129,938 2.70 132,209 3.26 2 — 131,234 2.71 131,829 3.26 — Noninterest-bearing deposits 45,153 45,436 47,734 -1 -5 45,294 48,175 -6 Other liabilities 3,926 3,949 4,293 -1 -9 3,937 4,343 -9 Total liabilities 181,595 179,323 184,236 1 -1 180,465 184,347 -2 Shareholders' equity 28,666 28,998 27,745 -1 3 28,831 27,382 5 Total liabilities and shareholders' equity $ 210,261 $ 208,321 $ 211,981 1 % -1 % $ 209,296 $ 211,729 -1 % Net interest spread 2.80 2.82 2.56 2.80 2.52 Contribution of interest-free funds .82 .84 1.03 .84 1.04 Net interest margin 3.62 % 3.66 % 3.59 % 3.64 % 3.56 % ____________________ (1) Yields on investment securities for the three-month and six-month periods ended June 30, 2025 reflect $20 million and $18 million, respectively, of lower taxable-equivalent interest income resulting from an alignment of amortization periods for certain municipal bonds obtained from the acquisition of People's United Financial, Inc. Reconciliation of Quarterly GAAP to Non-GAAP Measures Three Months Ended Six Months Ended June 30, June 30, 2025 2024 2025 2024 (Dollars in millions, except per share) Income statement data Net income Net income $ 716 $ 655 $ 1,300 $ 1,186 Amortization of core deposit and other intangible assets (1) 8 10 18 22 Net operating income $ 724 $ 665 $ 1,318 $ 1,208 Earnings per common share Diluted earnings per common share $ 4.24 $ 3.73 $ 7.55 $ 6.76 Amortization of core deposit and other intangible assets (1) .04 .06 .11 .13 Diluted net operating earnings per common share $ 4.28 $ 3.79 $ 7.66 $ 6.89 Other expense Other expense $ 1,336 $ 1,297 $ 2,751 $ 2,693 Amortization of core deposit and other intangible assets (9) (13) (22) (28) Noninterest operating expense $ 1,327 $ 1,284 $ 2,729 $ 2,665 Efficiency ratio Noninterest operating expense (numerator) $ 1,327 $ 1,284 $ 2,729 $ 2,665 Taxable-equivalent net interest income $ 1,722 $ 1,731 $ 3,429 $ 3,423 Other income 683 584 1,294 1,164 Less: Gain (loss) on bank investment securities — (8) — (6) Denominator $ 2,405 $ 2,323 $ 4,723 $ 4,593 Efficiency ratio 55.2 % 55.3 % 57.8 % 58.0 % Balance sheet data Average assets Average assets $ 210,261 $ 211,981 $ 209,296 $ 211,729 Goodwill (8,465) (8,465) (8,465) (8,465) Core deposit and other intangible assets (89) (126) (90) (133) Deferred taxes 26 30 26 32 Average tangible assets $ 201,733 $ 203,420 $ 200,767 $ 203,163 Average common equity Average total equity $ 28,666 $ 27,745 $ 28,831 $ 27,382 Preferred stock (2,394) (2,405) (2,394) (2,208) Average common equity 26,272 25,340 26,437 25,174 Goodwill (8,465) (8,465) (8,465) (8,465) Core deposit and other intangible assets (89) (126) (90) (133) Deferred taxes 26 30 26 32 Average tangible common equity $ 17,744 $ 16,779 $ 17,908 $ 16,608 At end of quarter Total assets Total assets $ 211,584 $ 208,855 Goodwill (8,465) (8,465) Core deposit and other intangible assets (84) (119) Deferred taxes 25 31 Total tangible assets $ 203,060 $ 200,302 Total common equity Total equity $ 28,525 $ 28,424 Preferred stock (2,394) (2,744) Common equity 26,131 25,680 Goodwill (8,465) (8,465) Core deposit and other intangible assets (84) (119) Deferred taxes 25 31 Total tangible common equity $ 17,607 $ 17,127 ____________________ (1) After any related tax effect. Reconciliation of Quarterly GAAP to Non-GAAP Measures, Five Quarter Trend Three Months Ended June 30, March 31, December 31, September 30, June 30, 2025 2025 2024 2024 2024 (Dollars in millions, except per share) Income statement data Net income Net income $ 716 $ 584 $ 681 $ 721 $ 655 Amortization of core deposit and other intangible assets (1) 8 10 10 10 10 Net operating income $ 724 $ 594 $ 691 $ 731 $ 665 Earnings per common share Diluted earnings per common share $ 4.24 $ 3.32 $ 3.86 $ 4.02 $ 3.73 Amortization of core deposit and other intangible assets (1) .04 .06 .06 .06 .06 Diluted net operating earnings per common share $ 4.28 $ 3.38 $ 3.92 $ 4.08 $ 3.79 Other expense Other expense $ 1,336 $ 1,415 $ 1,363 $ 1,303 $ 1,297 Amortization of core deposit and other intangible assets (9) (13) (13) (12) (13) Noninterest operating expense $ 1,327 $ 1,402 $ 1,350 $ 1,291 $ 1,284 Efficiency ratio Noninterest operating expense (numerator) $ 1,327 $ 1,402 $ 1,350 $ 1,291 $ 1,284 Taxable-equivalent net interest income $ 1,722 $ 1,707 $ 1,740 $ 1,739 $ 1,731 Other income 683 611 657 606 584 Less: Gain (loss) on bank investment securities — — 18 (2) (8) Denominator $ 2,405 $ 2,318 $ 2,379 $ 2,347 $ 2,323 Efficiency ratio 55.2 % 60.5 % 56.8 % 55.0 % 55.3 % Balance sheet data Average assets Average assets $ 210,261 $ 208,321 $ 211,853 $ 209,581 $ 211,981 Goodwill (8,465) (8,465) (8,465) (8,465) (8,465) Core deposit and other intangible assets (89) (92) (100) (113) (126) Deferred taxes 26 27 29 28 30 Average tangible assets $ 201,733 $ 199,791 $ 203,317 $ 201,031 $ 203,420 Average common equity Average total equity $ 28,666 $ 28,998 $ 28,707 $ 28,725 $ 27,745 Preferred stock (2,394) (2,394) (2,394) (2,565) (2,405) Average common equity 26,272 26,604 26,313 26,160 25,340 Goodwill (8,465) (8,465) (8,465) (8,465) (8,465) Core deposit and other intangible assets (89) (92) (100) (113) (126) Deferred taxes 26 27 29 28 30 Average tangible common equity $ 17,744 $ 18,074 $ 17,777 $ 17,610 $ 16,779 At end of quarter Total assets Total assets $ 211,584 $ 210,321 $ 208,105 $ 211,785 $ 208,855 Goodwill (8,465) (8,465) (8,465) (8,465) (8,465) Core deposit and other intangible assets (84) (93) (94) (107) (119) Deferred taxes 25 26 28 30 31 Total tangible assets $ 203,060 $ 201,789 $ 199,574 $ 203,243 $ 200,302 Total common equity Total equity $ 28,525 $ 28,991 $ 29,027 $ 28,876 $ 28,424 Preferred stock (2,394) (2,394) (2,394) (2,394) (2,744) Common equity 26,131 26,597 26,633 26,482 25,680 Goodwill (8,465) (8,465) (8,465) (8,465) (8,465) Core deposit and other intangible assets (84) (93) (94) (107) (119) Deferred taxes 25 26 28 30 31 Total tangible common equity $ 17,607 $ 18,065 $ 18,102 $ 17,940 $ 17,127 ____________________ (1) After any related tax effect. 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M&T Bank Corporation (NYSE:MTB) announces second quarter 2025 results

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