BUFFALO, N.Y., Jan. 16, 2024 /PRNewswire/ — M&T Bank Corporation (“M&T” or “the Company”) reports quarterly net income of $681 million or $3.86 of diluted earnings per common share and full-year net income of $2.59 billion or $14.64 of diluted earnings per common share.
(Dollars in millions, except per share data)
4Q24
3Q24
4Q23
2024
2023
Earnings Highlights
Net interest income
$ 1,728
$ 1,726
$ 1,722
$ 6,852
$ 7,115
Taxable-equivalent adjustment
12
13
13
50
54
Net interest income – taxable-equivalent
1,740
1,739
1,735
6,902
7,169
Provision for credit losses
140
120
225
610
645
Noninterest income
657
606
578
2,427
2,528
Noninterest expense
1,363
1,303
1,450
5,359
5,379
Net income
681
721
482
2,588
2,741
Net income available to common shareholders – diluted
644
674
457
2,449
2,636
Diluted earnings per common share
3.86
4.02
2.74
14.64
15.79
Return on average assets – annualized
1.28 %
1.37 %
.92 %
1.23 %
1.33 %
Return on average common shareholders’ equity – annualized
9.75
10.26
7.41
9.54
11.06
Average Balance Sheet
Total assets
$ 211,853
$ 209,581
$ 208,752
$ 211,220
$ 205,397
Interest-bearing deposits at banks
23,602
25,491
30,153
27,244
26,202
Investment securities
33,679
31,023
27,490
30,755
27,932
Loans and leases
135,723
134,751
132,770
134,717
132,738
Deposits
164,639
161,505
164,713
163,423
162,094
Borrowings
14,228
15,428
13,057
15,523
13,054
Selected Ratios
(Amounts expressed as a percent, except per share data)
Net interest margin
3.58 %
3.62 %
3.61 %
3.58 %
3.83 %
Efficiency ratio (1)
56.8
55.0
62.1
56.9
54.9
Net charge-offs to average total loans – annualized
.47
.35
.44
.41
.33
Allowance for credit losses to total loans
1.61
1.62
1.59
1.61
1.59
Nonaccrual loans to total loans
1.25
1.42
1.62
1.25
1.62
Common equity Tier 1 (“CET1”) capital ratio (2)
11.67
11.54
10.98
11.67
10.98
Common shareholders’ equity per share
$ 160.90
$ 159.38
$ 150.15
$ 160.90
$ 150.15
(1) A reconciliation of non-GAAP measures is included in the tables that accompany this release.
(2) December 31, 2024 CET1 capital ratio is estimated.
Financial Highlights
Chief Financial Officer Commentary
“I would like to close out 2024 by thanking our customers for their business and our fellow colleagues at M&T for making a difference in people’s lives and the communities we serve. M&T enters 2025 with resolute focus on enhancing capabilities to better serve our customers by optimizing our business processes and building more scale and resiliency for continued growth.”
– Daryl N. Bible, M&T’s Chief Financial Officer
Contact:
Investor Relations:
Brian Klock
716.842.5138
Media Relations:
Frank Lentini
929.651.0447
Non-GAAP Measures (1)
Change
4Q24 vs.
Change
4Q24 vs.
(Dollars in millions, except per share data)
4Q24
3Q24
3Q24
4Q23
4Q23
Net operating income
$ 691
$ 731
-6 %
$ 494
40 %
Diluted net operating earnings per common share
3.92
4.08
-4
2.81
40
Annualized return on average tangible assets
1.35 %
1.45 %
.98 %
Annualized return on average tangible common equity
14.66
15.47
11.70
Efficiency ratio
56.8
55.0
62.1
Tangible equity per common share
$ 109.36
$ 107.97
1
$ 98.54
11
____________________
(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, 2024, diluted net operating earnings per common share were $14.88, compared with $16.08 in 2023. Net operating income was $2.63 billion and $2.79 billion in 2024 and 2023, respectively. Expressed as an annualized rate of return on average tangible assets and average tangible common shareholders’ equity, net operating income in 2024 was 1.30% and 14.54%, respectively, compared with 1.42% and 17.60%, respectively, in 2023.
Taxable-equivalent Net Interest Income
Change
4Q24 vs.
Change
4Q24 vs.
(Dollars in millions)
4Q24
3Q24
3Q24
4Q23
4Q23
Average earning assets
$ 193,106
$ 191,366
1 %
$ 190,536
1 %
Average interest-bearing liabilities
132,313
130,775
1
127,646
4
Net interest income – taxable-equivalent
1,740
1,739
—
1,735
—
Yield on average earning assets
5.60 %
5.82 %
5.73 %
Cost of interest-bearing liabilities
2.94
3.22
3.17
Net interest spread
2.66
2.60
2.56
Net interest margin
3.58
3.62
3.61
Taxable-equivalent net interest income increased $1 million from the third quarter of 2024.
Taxable-equivalent net interest income increased $5 million compared with the year-earlier fourth quarter.
Taxable-equivalent net interest income was $6.90 billion in 2024, a decrease of $267 million, or 4%, from $7.17 billion in 2023.
Average Earning Assets
Change
4Q24 vs.
Change
4Q24 vs.
(Dollars in millions)
4Q24
3Q24
3Q24
4Q23
4Q23
Interest-bearing deposits at banks
$ 23,602
$ 25,491
