How did M&T perform in the third quarter of 2026?

M&T reported net income of $775 million, or $5.04 per diluted common share, compared with $818 million and $5.32 per share in the second quarter of 2026. Versus the third quarter of 2025, diluted EPS rose from $4.82. Net income declined 2% year over year in dollar terms, while the filing reports diluted EPS up 5%.

Why did the net interest margin decline?

The net interest margin fell to 3.65% from 3.70% in the second quarter. The investor presentation attributes the decline to lower interest income on nonaccrual loans (3 basis points) and higher funding costs partly offset by asset repricing and net free funds (2 basis points).

What drove the increase in credit provisions and charge-offs?

The provision for credit losses rose to $135 million from $120 million, and net charge-offs increased to $127 million from $80 million. Nonaccrual loans rose to $1.298 billion from $1.208 billion, with the presentation noting a $213 million increase in criticized C&I loans, predominantly from a loan to an auto leasing company.

What is the outlook for the fourth quarter of 2026?

The presentation guides to taxable-equivalent net interest income of $1.83 to $1.85 billion, a mid-3.60% net interest margin, fee income of $710 to $730 million, GAAP noninterest expense of $1.39 to $1.41 billion, net charge-offs of 35 to 40 basis points, and a CET1 capital ratio of 10.0% to 10.25%.

M&T Bank 8-K: Earnings & Results & Regulation FD

01—Abstract

Summary

Summary of the 8-K filed October 16, 2026. Cited figures are marked; the original filing is the authoritative source.

On October 16, 2026, M&T Bank Corporation furnished an 8-K reporting its third quarter 2026 results (Item 2.02) and posted an earnings investor presentation (Item 7.01).

Both are furnished, not filed. Net income was $775 million^a, or $5.04 diluted earnings per common share, compared with $818 million and $5.32 in the second quarter of 2026 and $792 million and $4.82 in the third quarter of 2025. Diluted net operating earnings per share were $5.08, and the CET1 capital ratio was an estimated 10.16% at September 30, 2026, versus 10.19% at June 30, 2026 and 10.99% a year earlier.

Taxable-equivalent net interest income was $1.805 billion^b, roughly flat quarter over quarter, while the net interest margin narrowed to 3.65% from 3.70%. Average loans grew $2.6 billion sequentially, led by commercial real estate (up $1.6 billion). Noninterest income was $743 million and noninterest expense was $1.393 billion, up 3% from the prior quarter, driven by outside data processing and software costs.

The provision for credit losses rose to $135 million^c from $120 million, and net charge-offs were 0.35% of average loans, up from 0.23%. The company repurchased 1.3 million shares for $323 million during the quarter.

Nonaccrual loans rose to $1.298 billion^d from $1.208 billion. The presentation includes 4Q26 outlook guidance: taxable-equivalent net interest income of $1.83 to $1.85 billion, fee income of $710 to $730 million, GAAP noninterest expense of $1.39 to $1.41 billion, net charge-offs of 35 to 40 basis points, and a CET1 ratio of 10.0% to 10.25%.

02—Key points

Key Highlights

Diluted EPS of $5.04 and net income of $775 million, down from $818 million in 2Q26 but up 5% per share versus $4.82 in 3Q25 (per the filing's comparison of EPS change).
Diluted net operating EPS of $5.08 versus $5.35 in 2Q26 and $4.87 in 3Q25; net operating ROTCE of 17.29%.
Net interest margin of 3.65%, down from 3.70% in 2Q26, with the company citing higher funding costs partly offset by asset repricing.
Average loans rose $2.6 billion sequentially to $143.3 billion, with commercial real estate up $1.6 billion and consumer up $634 million.
Credit costs increased: provision for credit losses of $135 million and net charge-offs of $127 million (0.35% annualized), versus $120 million and $80 million in 2Q26; nonaccrual loans reached $1.298 billion.
CET1 capital ratio estimated at 10.16%; $323 million of share repurchases in the quarter; tangible common equity to tangible assets fell to 7.85%.
Accumulated other comprehensive income declined $588 million on rising rates, and the 4Q26 outlook calls for a CET1 ratio of 10.0% to 10.25%.

03—Questions

Frequently Asked Questions

How did M&T perform in the third quarter of 2026?
M&T reported net income of $775 million, or $5.04 per diluted common share, compared with $818 million and $5.32 per share in the second quarter of 2026. Versus the third quarter of 2025, diluted EPS rose from $4.82. Net income declined 2% year over year in dollar terms, while the filing reports diluted EPS up 5%.
Why did the net interest margin decline?
The net interest margin fell to 3.65% from 3.70% in the second quarter. The investor presentation attributes the decline to lower interest income on nonaccrual loans (3 basis points) and higher funding costs partly offset by asset repricing and net free funds (2 basis points).
What drove the increase in credit provisions and charge-offs?
The provision for credit losses rose to $135 million from $120 million, and net charge-offs increased to $127 million from $80 million. Nonaccrual loans rose to $1.298 billion from $1.208 billion, with the presentation noting a $213 million increase in criticized C&I loans, predominantly from a loan to an auto leasing company.
What is the outlook for the fourth quarter of 2026?
The presentation guides to taxable-equivalent net interest income of $1.83 to $1.85 billion, a mid-3.60% net interest margin, fee income of $710 to $730 million, GAAP noninterest expense of $1.39 to $1.41 billion, net charge-offs of 35 to 40 basis points, and a CET1 capital ratio of 10.0% to 10.25%.

04—Continue

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