M&T Bank (NYSE:MTB) reported first-quarter results that came in ahead of analyst expectations, with both profit and revenue exceeding forecasts.
Adjusted earnings per share were $4.18, above the $4.01 consensus estimate, while revenue reached $2.44 billion, slightly ahead of the $2.43 billion expected by analysts.
The bank’s shares were unchanged in premarket trading following the announcement.
The Buffalo-based lender posted net income of $664 million, or $4.13 per diluted share on a GAAP basis, representing a 14% increase from $584 million in the same period last year.
Revenue rose 3% year-on-year from $2.32 billion in the first quarter of 2025.
Net interest margin improved to 3.71%, up from 3.66% a year earlier, reflecting lower funding costs that more than offset declines in yields on earning assets.
M&T repurchased $1.25 billion of its common stock during the quarter, buying back 5.5 million shares under its capital plan. As a result, its Common Equity Tier 1 ratio declined to an estimated 10.33%, down from 10.84% in the previous quarter, mainly due to the scale of the buybacks.
“M&T continued to produce strong operating results and return capital to its shareholders in the recent quarter while investing in its businesses and expanding its operational capabilities,” said Daryl N. Bible, Chief Financial Officer.
Average loans increased 1% from the fourth quarter to $138.4 billion, driven by a $1.5 billion rise in commercial and industrial lending, partly offset by declines in commercial real estate and consumer loans.
On a year-on-year basis, average loans were up 3% compared to the first quarter of 2025.
The provision for credit losses came in at $140 million, up from $125 million in the previous quarter but down from $130 million a year earlier.
Net charge-offs accounted for 0.31% of average loans on an annualized basis, improving from 0.54% in the fourth quarter. Nonaccrual loans declined to $1.24 billion from $1.54 billion a year ago.