(Dollars in millions, except per share data)
4Q25
3Q25
4Q24
2025
2024
Earnings Highlights
Net interest income
$ 1,779
$ 1,761
$ 1,728
$ 6,948
$ 6,852
Taxable-equivalent adjustment
11
12
12
44
50
Net interest income - taxable-equivalent
1,790
1,773
1,740
6,992
6,902
Provision for credit losses
125
125
140
505
610
Noninterest income
696
752
657
2,742
2,427
Noninterest expense
1,379
1,363
1,363
5,493
5,359
Net income
759
792
681
2,851
2,588
Net income available to common shareholders - diluted
718
754
644
2,699
2,449
Diluted earnings per common share
4.67
4.82
3.86
17.00
14.64
Return on average assets - annualized
1.41 %
1.49 %
1.28 %
1.35 %
1.23 %
Return on average common shareholders' equity - annualized
10.87
11.45
9.75
10.27
9.54
Average Balance Sheet
Total assets
$ 212,891
$ 211,053
$ 211,853
$ 210,645
$ 211,220
Interest-bearing deposits at banks
17,964
17,739
23,602
18,767
27,244
Investment securities
36,705
36,559
33,679
35,778
30,755
Loans
137,600
136,527
135,723
136,103
134,717
Deposits
165,057
162,706
164,639
163,107
163,423
Borrowings
14,619
15,633
14,228
14,671
15,523
Selected Ratios
(Amounts expressed as a percent, except per share data)
Net interest margin
3.69 %
3.68 %
3.58 %
3.67 %
3.58 %
Efficiency ratio (1)
55.1
53.6
56.8
56.0
56.9
Net charge-offs to average total loans - annualized
.54
.42
.47
.41
.41
Allowance for loan losses to total loans
1.53
1.58
1.61
1.53
1.61
Nonaccrual loans to total loans
.90
1.10
1.25
.90
1.25
Common equity Tier 1 ("CET1") capital ratio (2)
10.84
10.99
11.68
10.84
11.68
Common shareholders' equity per share
$ 173.49
$ 170.43
$ 160.90
$ 173.49
$ 160.90
(1) A reconciliation of non-GAAP measures is included in the tables that accompany this release.
(2) CET1 capital ratio at December 31, 2025 is estimated.
Financial Highlights
Taxable-equivalent net interest income increased $17 million in the recent quarter as compared with the third quarter of 2025 reflecting loan and deposit growth.
Average loans in the recent quarter reflect commercial and industrial, residential real estate and consumer loan growth, partially offset by a nominal reduction in the average balance of commercial real estate loans.
Noninterest income reflects higher mortgage banking revenues and trust income in the recent quarter, more than offset by a $28 million distribution of an earnout payment 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") and a $12 million gain on the sale of equipment leases each in the third quarter of 2025.
The increase in noninterest expense reflects higher professional and other services expense, partially offset by lower salaries and employee benefits expense. A decline in FDIC assessments resulting from a decrease in the FDIC's loss estimate associated with certain failed banks was offset by a $30 million contribution to The M&T Charitable Foundation.
Reflecting better asset quality metrics and modestly improved macroeconomic forecasts, the allowance for loan losses as a percent of total loans declined 5 basis points to 1.53% at December 31, 2025.
In 2025 M&T increased its quarterly dividend by 11%, repurchased 9% of its outstanding shares and grew tangible equity per common share by 7%. M&T's CET1 capital ratio is estimated to be 10.84% at December 31, 2025.
Chief Financial Officer Commentary
"M&T finished 2025 with another quarter of strong financial performance. For the full-year 2025, M&T achieved a 16% increase in diluted earnings per common share, meaningfully reduced its level of criticized loans and improved its efficiency ratio while continuing to expand and improve our capabilities. M&T's fundamentals remain strong, positioning the Company for growth as we enter the new year. As we close out 2025, I'd like to thank my colleagues for their unwavering commitment to our customers and the communities we serve."
- Daryl N. Bible, M&T's Chief Financial Officer
Contact:
Investor Relations:
Rajiv Ranjan
716.842.5138
Steve Wendelboe
716.842.5138
Media Relations:
Frank Lentini
929.651.0447
Non-GAAP Measures (1)
(Dollars in millions, except per share data)
4Q25
3Q25
Change
4Q25 vs.
3Q25
4Q24
Change
4Q25 vs.
4Q24
Net operating income
$ 767
$ 798
-4 %
$ 691
11 %
Diluted net operating earnings per common share
4.72
4.87
-3
3.92
20
Annualized return on average tangible assets
1.49 %
1.56 %
1.35 %
Annualized return on average tangible common
equity
16.24
17.13
14.66
Efficiency ratio
55.1
53.6
56.8
Tangible equity per common share
$ 117.45
$ 115.31
2
$ 109.36
7
______________
(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.
For the year ended December 31, 2025, diluted net operating earnings per common share were $17.20, compared with $14.88 in 2024. Net operating income was $2.88 billion and $2.63 billion in 2025 and 2024, respectively. Expressed as an annualized rate of return on average tangible assets and average tangible common shareholders' equity, net operating income in 2025 was 1.43% and 15.36%, respectively, compared with 1.30% and 14.54%, respectively, in 2024.
Taxable-equivalent Net Interest Income
(Dollars in millions)
4Q25
3Q25
Change
4Q25 vs.
3Q25
4Q24
Change
4Q25 vs.
4Q24
Average earning assets
$ 192,366
$ 190,920
1 %
$ 193,106
— %
Average interest-bearing liabilities
135,492
134,283
1
132,313
2
Net interest income - taxable-equivalent
1,790
1,773
1
1,740
3
Yield on average earning assets
5.46 %
5.59 %
5.60 %
Cost of interest-bearing liabilities
2.51
2.71
2.94
Net interest spread
2.95
2.88
2.66
Net interest margin
3.69
3.68
3.58
Taxable-equivalent net interest income increased $17 million, or 1%, in the recent quarter as compared with the third quarter of 2025 and $50 million, or 3%, as compared with the year-earlier fourth quarter reflecting loan and deposit growth and favorable earning asset and interest-bearing liability repricing, including a reduction of the negative impact from interest rate swap agreements.
Taxable-equivalent net interest income increased $90 million, or 1%, for the full-year 2025 as compared with 2024 reflecting loan growth and favorable earning asset and interest-bearing liability repricing, including a reduction of the negative impact from interest rate swap agreements, as the net interest margin widened 9 basis points.
Average Earning Assets
(Dollars in millions)
4Q25
3Q25
Change
4Q25 vs.
3Q25
4Q24
Change
4Q25 vs.
4Q24
Interest-bearing deposits at banks
$ 17,964
$ 17,739
1 %
$ 23,602
-24 %
Trading account
97
95
2
102
-5
Investment securities
36,705
36,559
—
33,679
9
Loans
Commercial and industrial
62,257
61,716
1
60,704
3
Real estate - commercial
24,101
24,353
-1
27,896
-14
Real estate - residential
24,765
24,359
2
23,088
7
Consumer
26,477
26,099
1
24,035
10
Total loans
137,600
136,527
1
135,723
1
Total earning assets
$ 192,366
$ 190,920
1
$ 193,106
—
Average earning assets increased $1.4 billion from the third quarter of 2025 reflecting loan growth and an increase in average interest-bearing deposits at banks. Contributing to the increase in average loans in the recent quarter were higher average commercial and industrial loans, including loans to motor vehicle and recreational finance dealers, residential real estate loans and consumer loans, predominantly recreational finance loans and home equity loans and lines of credit. Partially offsetting that loan growth was a decline in average commercial real estate loans of $252 million.
Average earning assets decreased $740 million from the fourth quarter of 2024. Average interest-bearing deposits at banks decreased $5.6 billion as liquidity was deployed into investment securities purchases and loan growth. The growth in average loans reflected higher average balances of commercial and industrial loans of $1.6 billion, including a rise in loans in the financial and insurance industry, an increase in average residential real estate loans of $1.7 billion and higher average consumer loans of $2.4 billion, reflecting a rise in average balances of recreational finance, automobile loans and home equity loans and lines of credit. Partially offsetting those increases in average loans was a $3.8 billion decline in average commercial real estate loans, reflecting payoffs.
Average Interest-bearing Liabilities
(Dollars in millions)
4Q25
3Q25
Change
4Q25 vs.
3Q25
4Q24
Change
4Q25 vs.
4Q24
Interest-bearing deposits
Savings and interest-checking deposits
$ 107,287
$ 104,660
3 %
$ 102,127
5 %
Time deposits
13,586
13,990
-3
15,958
-15
Total interest-bearing deposits
120,873
118,650
2
118,085
2
Short-term borrowings
2,064
2,844
-27
2,563
-19
Long-term borrowings
12,555
12,789
-2
11,665
8
Total interest-bearing liabilities
$ 135,492
$ 134,283
1
$ 132,313
2
Average interest-bearing liabilities in the recent quarter rose $1.2 billion from the third quarter of 2025 reflecting growth in average savings and interest-checking deposits that reduced the use of higher cost funding from short-term borrowings from the FHLB of New York.
Average interest-bearing liabilities increased $3.2 billion from the fourth quarter of 2024, reflecting higher average interest-bearing deposits that included a $5.2 billion increase in average savings and interest-checking deposits, partially offset by lower average time deposits of $2.4 billion reflecting maturities. Average borrowings increased modestly.
Provision for Credit Losses/Asset Quality
(Dollars in millions)
4Q25
3Q25
Change
4Q25 vs.
3Q25
4Q24
Change
4Q25 vs.
4Q24
At end of quarter
Nonaccrual loans
$ 1,252
$ 1,512
-17 %
$ 1,690
-26 %
Real estate and other foreclosed assets
35
37
-7
35
-1
Total nonperforming assets
1,287
1,549
-17
1,725
-25
Accruing loans past due 90 days or more (1)
561
432
30
338
66
Nonaccrual loans as % of loans outstanding
.90 %
1.10 %
1.25 %
Allowance for loan losses
$ 2,116
$ 2,161
-2
$ 2,184
-3
Allowance for loan losses as % of loans outstanding
1.53 %
1.58 %
1.61 %
Reserve for unfunded credit commitments
$ 80
$ 95
-16
$ 60
33
For the period
Provision for loan losses
$ 140
$ 110
27
$ 140
—
Provision for unfunded credit commitments
(15)
15
—
—
—
Total provision for credit losses
125
125
—
140
-11
Net charge-offs
185
146
28
160
16
Net charge-offs as % of average loans (annualized)
.54 %
.42 %
.47 %
_______________
(1) Predominantly government-guaranteed residential real estate loans.
The provision for credit losses was $125 million in each of the fourth and third quarters of 2025 as compared with $140 million in 2024's final quarter. The provision for credit losses was $505 million in 2025 as compared with $610 million in 2024. The allowance for loan losses as a percent of loans outstanding decreased from 1.61% at December 31, 2024 to 1.58% at September 30, 2025 and 1.53% at December 31, 2025 reflecting lower levels of criticized loans, predominantly commercial real estate loans. For 2025 and 2024, net charge-offs totaled $553 million and $555 million, respectively, representing .41% of average loans outstanding for each period. Net charge-offs in the final quarter of 2025 reflected three charge-offs totaling $106 million, which had been previously identified by the Company.
Nonaccrual loans were $1.3 billion at December 31, 2025, compared with $1.5 billion at September 30, 2025 and $1.7 billion at December 31, 2024. The lower level of nonaccrual loans at the recent quarter end as compared with September 30, 2025 and December 31, 2024 predominantly reflects decreases in commercial and industrial and commercial real estate nonaccrual loans.
Noninterest Income
(Dollars in millions)
4Q25
3Q25
Change
4Q25 vs.
3Q25
4Q24
Change
4Q25 vs.
4Q24
Mortgage banking revenues
$ 155
$ 147
5 %
$ 117
32 %
Service charges on deposit accounts
140
141
-1
131
6
Trust income
184
181
2
175
5
Brokerage services income
34
34
-1
30
9
Trading account and other non-hedging derivative gains
19
18
1
10
102
Gain (loss) on bank investment securities
1
1
—
18
-93
Other revenues from operations
163
230
-29
176
-7
Total
$ 696
$ 752
-7
$ 657
6
Noninterest income in the fourth quarter of 2025 decreased $56 million, or 7%, from 2025's third quarter.
Mortgage banking revenues rose $8 million reflecting higher gains on sales of commercial mortgage loans.
Trust income increased $3 million largely due to the Company's global capital markets business.
Other revenues from operations decreased $67 million reflecting a $28 million distribution of an earnout payment related to the Company's 2023 sale of its CIT business, a $20 million distribution from M&T's investment in BLG and a $12 million gain on sale of equipment leases each in the third quarter of 2025.
Noninterest income rose $39 million, or 6%, as compared with the fourth quarter of 2024.
Mortgage banking revenues increased $38 million predominantly due to a rise in residential mortgage loan servicing income and higher gains on sales of commercial mortgage loans.
Service charges on deposit accounts increased $9 million reflecting higher commercial service charges.
Trust income rose $9 million reflecting higher revenues from the Company's global capital markets and wealth advisory services businesses.
Trading account and other non-hedging derivative gains increased $9 million reflecting an increase in revenues from interest rate swap transactions with commercial customers.
The lower gain on bank investment securities reflects realized gains on the sales of Fannie Mae and Freddie Mac preferred securities in the fourth quarter of 2024.
Other revenues from operations decreased $13 million reflecting a $23 million distribution from M&T's investment in BLG in the fourth quarter of 2024, partially offset by higher merchant discount and credit card fees and letter of credit and other credit-related fees in the recent quarter.
Noninterest income rose $315 million, or 13%, to $2.74 billion in 2025 as compared with $2.43 billion in 2024, reflecting higher mortgage banking revenues, service charges on deposit accounts, trust income and other revenues from operations. The increase in other revenues from operations included a $28 million distribution of an earnout payment related to the Company's 2023 sale of its CIT business, a $15 million gain on the sale of an out-of-footprint residential builder and developer loan portfolio, a $12 million gain on the sale of equipment leases, a $10 million gain on the sale of a subsidiary that specialized in institutional services each in 2025 and higher letter of credit and other credit-related fees, partially offset by higher distributions from M&T's investment in BLG in 2024.
Noninterest Expense
(Dollars in millions)
4Q25
3Q25
Change
4Q25 vs.
3Q25
4Q24
Change
4Q25 vs.
4Q24
Salaries and employee benefits
$ 809
$ 833
-3 %
$ 790
2 %
Equipment and net occupancy
134
129
3
133
—
Outside data processing and software
146
138
6
125
18
Professional and other services
105
81
31
80
30
FDIC assessments
(8)
13
—
24
—
Advertising and marketing
32
23
39
30
7
Amortization of core deposit and other intangible assets
10
10
—
13
-24
Other costs of operations
151
136
12
168
-9
Total
$ 1,379
$ 1,363
1
$ 1,363
1
Noninterest expense rose $16 million, or 1%, from the third quarter of 2025.
Salaries and employee benefits expense decreased $24 million reflecting lower severance-related and other employee benefit expenses.
Outside data processing and software costs increased $8 million reflecting higher software maintenance expense and a write-off of certain capitalized project costs due to re-prioritization.
Professional and other services expense rose $24 million reflecting legal and review costs.
FDIC assessment expense reflects reductions of the estimated special assessment of $29 million in the recent quarter as compared with $8 million in the third quarter of 2025 resulting from decreases in the FDIC's loss estimates associated with certain failed banks.
Advertising and marketing expense rose $9 million reflecting seasonal campaigns.
Other costs of operations increased $15 million reflecting a $30 million contribution to The M&T Charitable Foundation, partially offset by a pension settlement gain of $8 million resulting from the purchase of annuities for plan participants that represented approximately $270 million of the Company's pension benefit obligation, each in the recent quarter, and an impairment of a renewable energy tax credit investment in the third quarter of 2025.
Noninterest expense increased $16 million, or 1%, from the fourth quarter of 2024.
Salaries and employee benefits expense increased $19 million reflecting higher salaries expense from annual merit and other increases.
Outside data processing and software costs rose $21 million reflecting costs associated with enhancements to the Company's technology infrastructure, cybersecurity and financial recordkeeping and reporting systems.
Professional and other services expense increased $25 million reflecting legal and review costs.
FDIC assessment expense declined $32 million reflecting a reduction of the estimated special assessment.
Other costs of operations decreased $17 million reflecting vacated facility write-downs and a loss on the redemption of certain of M&T's trust preferred obligations each in the fourth quarter of 2024, partially offset by a $30 million contribution to The M&T Charitable Foundation in the recent quarter.
For the year ended December 31, 2025, noninterest expense aggregated $5.49 billion, up 2% from $5.36 billion in 2024. The $134 million increase in noninterest expenses reflected higher salaries and employee benefits expense, resulting from annual merit and other increases, an increase in medical benefits costs, severance-related costs and higher stock compensation expense, and a rise in outside data processing and software costs, partially offset by lower FDIC assessment expense.
Income Taxes
The Company's effective income tax rate was 21.8% in the fourth quarter of 2025, compared with 22.8% in each of the third quarter of 2025 and the fourth quarter of 2024. The lower effective income tax rate in the recent quarter reflects a discrete income tax benefit of $8 million claimed on prior year tax returns. The Company's effective tax rates were 22.8% and 21.8% in 2025 and 2024, respectively. The increase in the effective income tax rate in 2025 as compared with 2024 reflects the recognition of a discrete tax benefit claimed on a prior year tax return and a net discrete tax benefit related to the resolution of an income tax matter inherited from the acquisition of People's United Financial, Inc. each in 2024, partially offset by the recent quarter discrete income tax benefit.
Capital and Liquidity
4Q25
3Q25
4Q24
CET1
10.84 %
(1)
10.99 %
11.68 %
Tier 1 capital
12.59
(1)
12.49
13.21
Total capital
14.43
(1)
14.35
14.73
Tangible capital, common
8.70
8.79
9.07
______________
(1) Capital ratios at December 31, 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 $230 million and $39 million, respectively, for the quarter ended December 31, 2025.
The CET1 capital ratio for M&T was estimated at 10.84% as of December 31, 2025. M&T's total risk-weighted assets at December 31, 2025 are estimated to be $161.9 billion.
M&T repurchased 2.7 million shares of its common stock in accordance with its capital plan during the recent quarter at an average cost per share of $183.30 resulting in a total cost, including the share repurchase excise tax, of $507 million, compared with 2.1 million and 1.0 million shares at an average cost per share of $193.46 and $206.70 and a total cost, including the share repurchase excise tax, of $409 million and $200 million in the third quarter of 2025 and the fourth quarter of 2024, respectively. Reflecting loan growth in the recent quarter M&T's tangible common equity to tangible asset ratio at December 31, 2025 decreased 9 basis points from September 30, 2025.
While not subject to the liquidity coverage ratio requirements ("LCR"), M&T estimates that its LCR on December 31, 2025 was 109%, exceeding the regulatory minimum standards that would be applicable if it were a Category III institution subject to the Category III reduced LCR requirements.
Conference Call
Investors will have an opportunity to listen to M&T's conference call to discuss fourth quarter financial results today at 8:00 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 #MTBQ425. 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 Friday January 23, 2026, by calling (800) 695-2185 or (402) 530-9028 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, developments and current conditions in the financial services industry, including trust, brokerage and investment management businesses; 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-, brokerage-, and investment management-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 initiation and outcome of potential, pending and future litigation, investigations and governmental proceedings, including tax-related examinations and other matters; operational risk events, including loss resulting from fraud by employees or persons outside M&T and breaches in data and cybersecurity; 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
Year Ended
December 31,
December 31,
(Dollars in millions, except per share, shares in thousands)
2025
2024
Change
2025
2024
Change
Performance
Net income
$ 759
$ 681
12 %
