BUFFALO,
N.Y., Oct. 18, 2023 /PRNewswire/ -- M&T Bank
Corporation ("M&T" or "the Company") reports net income of
$690 million or $3.98 of diluted earnings per common share.
(Dollars in millions, except per share
data)
|
|
3Q23
|
|
2Q23
|
|
3Q22
|
Earnings
Highlights
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
income
|
|
$
|
1,775
|
|
|
$
|
1,799
|
|
|
$
|
1,679
|
|
Taxable-equivalent
adjustment
|
|
|
15
|
|
|
|
14
|
|
|
|
12
|
|
Net interest income -
taxable-equivalent
|
|
|
1,790
|
|
|
|
1,813
|
|
|
|
1,691
|
|
Provision for credit
losses
|
|
|
150
|
|
|
|
150
|
|
|
|
115
|
|
Noninterest
income
|
|
|
560
|
|
|
|
803
|
|
|
|
563
|
|
Noninterest
expense
|
|
|
1,278
|
|
|
|
1,293
|
|
|
|
1,279
|
|
Net
income
|
|
|
690
|
|
|
|
867
|
|
|
|
647
|
|
Net income available to
common shareholders - diluted
|
|
|
664
|
|
|
|
841
|
|
|
|
621
|
|
Diluted earnings per
common share
|
|
|
3.98
|
|
|
|
5.05
|
|
|
|
3.53
|
|
Return on average
assets - annualized
|
|
|
1.33
|
%
|
|
|
1.70
|
%
|
|
|
1.28
|
%
|
Return on average
common shareholders' equity - annualized
|
|
|
10.99
|
%
|
|
|
14.27
|
%
|
|
|
10.43
|
%
|
Average
Balance Sheet
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets
|
|
$
|
205,791
|
|
|
$
|
204,376
|
|
|
$
|
201,131
|
|
Interest-bearing
deposits at banks
|
|
|
26,657
|
|
|
|
23,617
|
|
|
|
30,752
|
|
Investment
securities
|
|
|
27,993
|
|
|
|
28,623
|
|
|
|
23,945
|
|
Loans and leases, net
of unearned discount
|
|
|
132,617
|
|
|
|
133,545
|
|
|
|
127,525
|
|
Deposits
|
|
|
162,688
|
|
|
|
159,399
|
|
|
|
167,271
|
|
Borrowings
|
|
|
12,585
|
|
|
|
15,055
|
|
|
|
4,194
|
|
Selected
Ratios
(Amounts expressed as a percent, except per share
data)
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
margin
|
|
|
3.79
|
%
|
|
|
3.91
|
%
|
|
|
3.68
|
%
|
Efficiency
ratio
|
|
|
53.7
|
|
|
|
48.9
|
|
|
|
53.6
|
|
Net charge-offs to
average total loans - annualized
|
|
|
.29
|
|
|
|
.38
|
|
|
|
.20
|
|
Allowance for credit
losses to total loans
|
|
|
1.55
|
|
|
|
1.50
|
|
|
|
1.46
|
|
Nonaccrual loans to
total loans
|
|
|
1.77
|
|
|
|
1.83
|
|
|
|
1.89
|
|
Common equity Tier 1
("CET1") capital ratio (1)
|
|
|
10.94
|
|
|
|
10.59
|
|
|
|
10.75
|
|
Common shareholders'
equity per share
|
|
$
|
145.72
|
|
|
$
|
143.41
|
|
|
$
|
134.45
|
|
|
|
|
|
|
(1)
|
September 30, 2023 CET1
capital ratio is estimated.
|
Financial Highlights
- Capital position remains strong with the CET1 capital ratio
increasing 35 basis points to an estimated 10.94% at September 30, 2023, compared with 10.59% at
June 30, 2023.
- Net interest margin of 3.79% in the recent quarter narrowed
from 3.91% in the second quarter of 2023 as increases to the rates
paid on interest-bearing deposits outpaced the rise in yields on
interest-earning assets.
- Average loans and leases in the third quarter of 2023 decreased
1% from the previous 2023 quarter reflecting a $714 million decline in average commercial real
estate loan balances.
- The level of nonaccrual loans improved to 1.77% of loans
outstanding at September 30, 2023,
compared with 1.83% at June 30,
2023.
- Recent quarter net charge-offs of $96
million, or 29 basis points, were below the Company's
long-term average net charge-off rate.
- Average deposits increased 2% from the second quarter of 2023
reflecting a higher demand for interest-bearing products.
Chief Financial Officer Commentary
"The third quarter results reflect the stability of M&T's
diverse banking franchise and the ability to consistently generate
capital for our shareholders while continuing to invest in the
systems and resources needed to best serve our customers. Our
customer deposit balances increased in the recent quarter as we
continue to build upon our strong liquidity position. Our credit
metrics reflect a decline in nonaccrual loans and net charge-offs
that remain below M&T's long-term average. The comparative
strength of our financial position in the industry will continue to
enable us to improve the communities in which we serve and the
lives of our customers. Thank you to our employees for their
commitment to delivering for our customers each and every day."
- Daryl N. Bible, M&T's
Chief Financial Officer
Contact:
|
|
|
Investor
Relations:
|
Brian Klock
|
716.842.5138
|
Media
Relations:
|
Frank
Lentini
|
929.651.0447
|
Non-GAAP
Measures (1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Change
3Q23 vs.
|
|
|
|
|
|
Change
3Q23 vs.
|
|
($ in millions, except
per share data)
|
|
3Q23
|
|
|
2Q23
|
|
|
2Q23
|
|
|
3Q22
|
|
|
3Q22
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net operating
income
|
|
$
|
702
|
|
|
$
|
879
|
|
|
|
-20
|
%
|
|
$
|
700
|
|
|
|
—
|
|
Diluted net operating
earnings per common share
|
|
$
|
4.05
|
|
|
$
|
5.12
|
|
|
|
-21
|
%
|
|
$
|
3.83
|
|
|
|
6
|
%
|
Annualized return on
average tangible assets
|
|
|
1.41
|
%
|
|
|
1.80
|
%
|
|
|
|
|
|
1.44
|
%
|
|
|
|
Annualized return on
average tangible common equity
|
|
|
17.41
|
%
|
|
|
22.73
|
%
|
|
|
|
|
|
17.89
|
%
|
|
|
|
Efficiency
ratio
|
|
|
53.7
|
%
|
|
|
48.9
|
%
|
|
|
|
|
|
53.6
|
%
|
|
|
|
Tangible equity per
common share
|
|
$
|
93.99
|
|
|
$
|
91.58
|
|
|
|
3
|
%
|
|
$
|
84.28
|
|
|
|
12
|
%
|
|
|
|
|
|
|
(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.
Merger-related expenses associated with the People's United
Financial, Inc. ("People's United") acquisition in 2022 generally
consisted of:
- Professional services, temporary help fees and other costs
associated with actual or planned conversions of systems and/or
integration of operations and the introduction of M&T to its
new customers.
- Costs related to terminations of existing contractual
arrangements to purchase various services, severance and travel
costs.
- An initial provision for credit losses of $242 million in the second quarter of 2022 on
loans not deemed to be purchased credit deteriorated ("PCD") on the
April 1, 2022 acquisition date of
People's United.
The amounts of merger-related expenses in 2022 are presented in
the tables that accompany this release. No merger-related expenses
were incurred in the nine months ended September 30, 2023.
Taxable-equivalent Net Interest
Income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Change
3Q23 vs.
|
|
|
|
|
|
Change
3Q23 vs.
|
|
($ in
millions)
|
|
3Q23
|
|
|
2Q23
|
|
|
2Q23
|
|
|
3Q22
|
|
|
3Q22
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average earning
assets
|
|
$
|
187,403
|
|
|
$
|
185,936
|
|
|
|
1
|
%
|
|
$
|
182,382
|
|
|
|
3
|
%
|
Average
interest-bearing liabilities
|
|
$
|
121,388
|
|
|
$
|
118,274
|
|
|
|
3
|
%
|
|
$
|
98,604
|
|
|
|
23
|
%
|
Net interest income -
taxable-equivalent
|
|
$
|
1,790
|
|
|
$
|
1,813
|
|
|
|
-1
|
%
|
|
$
|
1,691
|
|
|
|
6
|
%
|
Yield on average
earning assets
|
|
|
5.62
|
%
|
|
|
5.46
|
%
|
|
|
|
|
|
3.90
|
%
|
|
|
|
Cost of
interest-bearing liabilities
|
|
|
2.83
|
%
|
|
|
2.43
|
%
|
|
|
|
|
|
0.41
|
%
|
|
|
|
Net interest
spread
|
|
|
2.79
|
%
|
|
|
3.03
|
%
|
|
|
|
|
|
3.49
|
%
|
|
|
|
Net interest
margin
|
|
|
3.79
|
%
|
|
|
3.91
|
%
|
|
|
|
|
|
3.68
|
%
|
|
|
|
Taxable-equivalent net interest income decreased $23 million, or 1%, from the second quarter of
2023.
- Average interest-bearing deposits increased $5.6 billion and the rates paid on such deposits
rose 52 basis points.
- Average short-term borrowings declined $2.2 billion.
- The yield on average outstanding loans and leases increased 17
basis points.
- Average interest-bearing deposits at banks increased
$3.0 billion.
Taxable-equivalent net interest income increased $99 million, or 6%, compared with the
year-earlier quarter.
- Yields earned on average loans and leases and interest-bearing
deposits at banks increased 164 basis points and 317 basis points,
respectively.
- Average loans and leases increased $5.1
billion.
- Rates paid on interest-bearing deposits increased 225 basis
points.
- Average borrowings increased $8.4
billion.
Provision for Credit
Losses/Asset Quality
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Change
3Q23 vs.
|
|
|
|
|
|
Change
3Q23 vs.
|
|
($ in
millions)
|
|
3Q23
|
|
|
2Q23
|
|
|
2Q23
|
|
|
3Q22
|
|
|
3Q22
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
At end of
quarter
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonaccrual
loans
|
|
$
|
2,342
|
|
|
$
|
2,435
|
|
|
|
-4
|
%
|
|
$
|
2,429
|
|
|
|
-4
|
%
|
Real estate and other
foreclosed assets
|
|
|
37
|
|
|
|
43
|
|
|
|
-13
|
%
|
|
|
37
|
|
|
|
—
|
|
Total nonperforming
assets
|
|
$
|
2,379
|
|
|
$
|
2,478
|
|
|
|
-4
|
%
|
|
$
|
2,466
|
|
|
|
-4
|
%
|
Accruing loans past due
90 days or more (1)
|
|
$
|
354
|
|
|
$
|
380
|
|
|
|
-7
|
%
|
|
$
|
477
|
|
|
|
-26
|
%
|
Nonaccrual loans as %
of loans outstanding
|
|
|
1.77
|
%
|
|
|
1.83
|
%
|
|
|
|
|
|
1.89
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for credit
losses
|
|
$
|
2,052
|
|
|
$
|
1,998
|
|
|
|
3
|
%
|
|
$
|
1,876
|
|
|
|
9
|
%
|
Allowance for credit
losses as % of loans outstanding
|
|
|
1.55
|
%
|
|
|
1.50
|
%
|
|
|
|
|
|
1.46
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the
period
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Provision for credit
losses
|
|
$
|
150
|
|
|
$
|
150
|
|
|
|
—
|
|
|
$
|
115
|
|
|
|
30
|
%
|
Net
charge-offs
|
|
$
|
96
|
|
|
$
|
127
|
|
|
|
-24
|
%
|
|
$
|
63
|
|
|
|
52
|
%
|
Net charge-offs as % of
average loans (annualized)
|
|
|
.29
|
%
|
|
|
.38
|
%
|
|
|
|
|
|
.20
|
%
|
|
|
|
|
|
|
|
|
(1)
|
Predominantly
government-guaranteed residential real estate loans.
|
M&T recorded a provision for credit losses of $150 million in each of the third and second
quarters of 2023 compared with $115
million in the third quarter of 2022. The comparatively
higher provisions for credit losses in the most recent two quarters
compared with the third quarter of 2022 reflect a softening of
commercial real estate values. Net charge-offs totaled $96 million in 2023's third quarter, compared
with $127 million in 2023's second
quarter and $63 million in the
year-earlier quarter reflective of variability in the timing and
amount of commercial real estate charge-offs.
Nonaccrual loans were $2.34
billion at September 30, 2023, $94 million lower than June 30, 2023 and
$87 million lower than
September 30, 2022. Those declines are reflective of lower
levels of hospitality-related commercial real estate nonaccrual
loans.
Noninterest
Income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Change
3Q23 vs.
|
|
|
|
|
|
Change
3Q23 vs.
|
|
($ in
millions)
|
|
3Q23
|
|
|
2Q23
|
|
|
2Q23
|
|
|
3Q22
|
|
|
3Q22
|
|
Mortgage banking
revenues
|
|
$
|
105
|
|
|
$
|
107
|
|
|
|
-2
|
%
|
|
$
|
83
|
|
|
|
26
|
%
|
Service charges on
deposit accounts
|
|
|
121
|
|
|
|
119
|
|
|
|
2
|
%
|
|
|
115
|
|
|
|
5
|
%
|
Trust income
|
|
|
155
|
|
|
|
172
|
|
|
|
-10
|
%
|
|
|
187
|
|
|
|
-17
|
%
|
Brokerage services
income
|
|
|
27
|
|
|
|
25
|
|
|
|
7
|
%
|
|
|
21
|
|
|
|
28
|
%
|
Trading account and
non-hedging derivative gains
|
|
|
9
|
|
|
|
17
|
|
|
|
-44
|
%
|
|
|
5
|
|
|
|
85
|
%
|
Gain (loss) on bank
investment securities
|
|
|
—
|
|
|
|
1
|
|
|
|
—
|
|
|
|
(1)
|
|
|
|
—
|
|
Other revenues from
operations
|
|
|
143
|
|
|
|
362
|
|
|
|
-61
|
%
|
|
|
153
|
|
|
|
-7
|
%
|
Total
|
|
$
|
560
|
|
|
$
|
803
|
|
|
|
-30
|
%
|
|
$
|
563
|
|
|
|
-1
|
%
|
Noninterest income in the third quarter of 2023 decreased
$244 million, or 30%, as compared
with 2023's second quarter.
- Other revenues from operations decreased $219 million reflecting a $225 million gain on sale of the Company's
Collective Investment Trust ("CIT") business in the second quarter
of 2023.
- Trust income declined $17
million, predominantly reflective of one month of revenues
associated with the CIT business recognized prior to its sale in
the second quarter of 2023.
- Trading account and non-hedging derivative gains decreased
$7 million from the second quarter
due to a decline in customer interest rate swap revenues and market
conditions.
Noninterest income decreased $3
million, or less than 1%, as compared with the year-earlier
third quarter.
- Trust income decreased $31
million reflecting lower revenues associated with the CIT
business as a result of its sale in April
2023.
- Other revenues from operations declined $11 million due to lower insurance income
reflecting the sale of M&T Insurance Agency in December 2022.
- Mortgage banking revenues increased $21
million due to higher servicing income related to the bulk
purchase of residential mortgage loan servicing rights in the first
quarter of 2023 and higher gains on sales of residential mortgage
loans. The Company returned to originating for sale the majority of
its newly originated residential mortgage loans in the first
quarter of 2023.
Noninterest
Expense
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Change
3Q23 vs.
|
|
|
|
|
|
Change
3Q23 vs.
|
|
($ in
millions)
|
|
3Q23
|
|
|
2Q23
|
|
|
2Q23
|
|
|
3Q22
|
|
|
3Q22
|
|
Salaries and employee
benefits
|
|
$
|
727
|
|
|
$
|
738
|
|
|
|
-1
|
%
|
|
$
|
736
|
|
|
|
-1
|
%
|
Equipment and net
occupancy
|
|
|
131
|
|
|
|
129
|
|
|
|
2
|
%
|
|
|
127
|
|
|
|
3
|
%
|
Outside data processing
and software
|
|
|
111
|
|
|
|
106
|
|
|
|
4
|
%
|
|
|
95
|
|
|
|
16
|
%
|
FDIC
assessments
|
|
|
29
|
|
|
|
28
|
|
|
|
5
|
%
|
|
|
28
|
|
|
|
4
|
%
|
Advertising and
marketing
|
|
|
23
|
|
|
|
28
|
|
|
|
-19
|
%
|
|
|
21
|
|
|
|
7
|
%
|
Printing, postage and
supplies
|
|
|
14
|
|
|
|
14
|
|
|
|
-2
|
%
|
|
|
15
|
|
|
|
-5
|
%
|
Amortization of core
deposit and other intangible assets
|
|
|
15
|
|
|
|
15
|
|
|
|
—
|
|
|
|
18
|
|
|
|
-19
|
%
|
Other costs of
operations
|
|
|
228
|
|
|
|
235
|
|
|
|
-3
|
%
|
|
|
239
|
|
|
|
-4
|
%
|
Total
|
|
$
|
1,278
|
|
|
$
|
1,293
|
|
|
|
-1
|
%
|
|
$
|
1,279
|
|
|
|
—
|
|
Noninterest expense aggregated $1.28
billion in the recent quarter, down from $1.29 billion in the second quarter of 2023.
Excluding the amortization of core deposit and other intangible
assets considered to be nonoperating in nature, noninterest
operating expenses decreased $15
million, or 1%, to $1.26
billion in the recent quarter from $1.28 billion in the immediately preceding
quarter.
- Salaries and employee benefits expense decreased $11 million reflecting lower average headcount
and lower expenses for contracted resources and overtime.
- Other costs of operations decreased $6
million reflecting lower sub-advisory fees as a result of
the sale of the CIT business in April
2023 and a decline in legal-related expenses, partially
offset by losses associated with certain retail banking
activities.
Noninterest expense decreased $2
million from the third quarter of 2022. Noninterest
operating expenses aggregated $1.21
billion in the third quarter of 2022 after excluding
$53 million of merger-related
expenses associated with the People's United acquisition and
$18 million of amortization of core
deposit and other intangible assets. Noninterest operating expenses
increased $55 million, or 5%, from
the prior year third quarter inclusive of the following:
- Other costs of operations increased $23
million resulting from the amortization of the bulk purchase
of residential mortgage loan servicing rights purchased in
March 2023 and losses associated with
certain retail banking activities, partially offset by lower
professional and other outside services expenses reflecting lower
sub-advisory fees as a result of the sale of the CIT
business.
- Outside data processing and software costs increased
$18 million, or 19%, primarily due to
higher software maintenance costs, offshore processing and data
processing fees.
Average
Earning Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Change
3Q23 vs.
|
|
|
|
|
|
Change
3Q23 vs.
|
|
($ in
millions)
|
|
3Q23
|
|
|
2Q23
|
|
|
2Q23
|
|
|
3Q22
|
|
|
3Q22
|
|
Interest-bearing
deposits at banks
|
|
$
|
26,657
|
|
|
$
|
23,617
|
|
|
|
13
|
%
|
|
$
|
30,752
|
|
|
|
-13
|
%
|
Federal funds sold and
agreements to resell securities
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
29
|
|
|
|
-100
|
%
|
Trading
account
|
|
|
136
|
|
|
|
151
|
|
|
|
-9
|
%
|
|
|
131
|
|
|
|
4
|
%
|
Investment
securities
|
|
|
27,993
|
|
|
|
28,623
|
|
|
|
-2
|
%
|
|
|
23,945
|
|
|
|
17
|
%
|
Loans and leases, net
of unearned discount
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial, financial,
etc.
|
|
|
44,625
|
|
|
|
44,531
|
|
|
|
—
|
|
|
|
38,321
|
|
|
|
16
|
%
|
Real estate -
commercial
|
|
|
44,230
|
|
|
|
44,944
|
|
|
|
-2
|
%
|
|
|
46,282
|
|
|
|
-4
|
%
|
Real estate -
consumer
|
|
|
23,573
|
|
|
|
23,781
|
|
|
|
-1
|
%
|
|
|
22,962
|
|
|
|
3
|
%
|
Consumer
|
|
|
20,189
|
|
|
|
20,289
|
|
|
|
—
|
|
|
|
19,960
|
|
|
|
1
|
%
|
Total loans and
leases, net
|
|
|
132,617
|
|
|
|
133,545
|
|
|
|
-1
|
%
|
|
|
127,525
|
|
|
|
4
|
%
|
Total earning
assets
|
|
$
|
187,403
|
|
|
$
|
185,936
|
|
|
|
1
|
%
|
|
$
|
182,382
|
|
|
|
3
|
%
|
Average earning assets increased $1.5
billion, or 1%, from the second quarter of 2023.
- Average interest-bearing deposits at banks increased
$3.0 billion due to increased
liquidity from a rise in average deposits and a decline in average
loan and investment securities balances.
- Average loans and leases decreased $928
million primarily reflective of a $714 million decline in average balances of
commercial real estate loans.
- Average investment securities declined $630 million primarily due to pay downs of fixed
rate mortgage-backed securities.
Average earning assets increased $5.0
billion, or 3%, from the year-earlier third quarter.
- Average loans and leases increased $5.1
billion predominantly due to higher average outstanding
balances of commercial and industrial loans and leases reflecting
lending activities to financial and insurance industry customers
and motor vehicle and recreational finance dealers, partially
offset by a $2.1 billion decline in
average commercial real estate loans.
- Average investment securities increased $4.0 billion due to the purchases of additional
investment securities in the fourth quarter of 2022 and the first
quarter of 2023.
- Average interest-bearing deposits at banks decreased
$4.1 billion reflecting lower
deposits, incremental loan balances and purchases of investment
securities, partially offset by higher borrowings.
Average
Interest-bearing Liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Change
3Q23 vs.
|
|
|
|
|
|
Change
3Q23 vs.
|
|
($ in
millions)
|
|
3Q23
|
|
|
2Q23
|
|
|
2Q23
|
|
|
3Q22
|
|
|
3Q22
|
|
Interest-bearing
deposits
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Savings and
interest-checking deposits
|
|
$
|
89,274
|
|
|
$
|
87,210
|
|
|
|
2
|
%
|
|
$
|
89,360
|
|
|
|
—
|
|
Time
deposits
|
|
|
19,528
|
|
|
|
16,009
|
|
|
|
22
|
%
|
|
|
5,050
|
|
|
|
287
|
%
|
Total interest-bearing
deposits
|
|
|
108,802
|
|
|
|
103,219
|
|
|
|
5
|
%
|
|
|
94,410
|
|
|
|
15
|
%
|
Short-term
borrowings
|
|
|
5,346
|
|
|
|
7,539
|
|
|
|
-29
|
%
|
|
|
913
|
|
|
|
485
|
%
|
Long-term
borrowings
|
|
|
7,240
|
|
|
|
7,516
|
|
|
|
-4
|
%
|
|
|
3,281
|
|
|
|
121
|
%
|
Total interest-bearing
liabilities
|
|
$
|
121,388
|
|
|
$
|
118,274
|
|
|
|
3
|
%
|
|
$
|
98,604
|
|
|
|
23
|
%
|
Average interest-bearing liabilities increased $3.1 billion, or 3%, from the second quarter of
2023.
- Average interest-bearing deposits increased $5.6 billion, including a $3.3 billion increase in average non-brokered
deposits.
- Average borrowings decreased $2.5
billion predominantly due to lower levels of short-term
borrowings from the Federal Home Loan Bank ("FHLB") of New York.
Average interest-bearing liabilities increased $22.8 billion, or 23%, from the third quarter of
2022.
- Average interest-bearing deposits increased $14.4 billion, including a $5.3 billion increase in average non-brokered
deposits.
- Average borrowings increased $8.4
billion predominantly due to issuances of long-term senior
notes totaling $3.5 billion in the
first quarter of 2023 and increases in short-term borrowings from
the FHLB of New York.
Capital
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3Q23
|
|
|
2Q23
|
|
|
3Q22
|
|
CET1
|
|
|
10.94
|
%
|
(1)
|
|
10.59
|
%
|
|
|
10.75
|
%
|
Tier 1
capital
|
|
|
12.27
|
%
|
(1)
|
|
11.91
|
%
|
|
|
12.13
|
%
|
Total
capital
|
|
|
13.99
|
%
|
(1)
|
|
13.71
|
%
|
|
|
13.96
|
%
|
Tangible capital –
common
|
|
|
7.78
|
%
|
|
|
7.63
|
%
|
|
|
7.70
|
%
|
|
|
|
|
|
(1)
|
September 30, 2023
capital ratios 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 $217 million and $25
million, respectively, for the quarter ended
September 30, 2023. M&T did not repurchase any shares of
its common stock in the third quarter of 2023.
The CET1 capital ratio for M&T was estimated at 10.94% as of
September 30, 2023. M&T's total risk-weighted assets at
September 30, 2023 are estimated to be $152 billion.
Capital regulations require buffers in addition to the minimum
risk-based capital ratios noted above. M&T is subject to a
stress capital buffer requirement that is determined through the
Federal Reserve's supervisory stress tests and M&T's bank
subsidiaries are subject to a 2.5% capital conservation buffer
requirement. The buffer requirement must be composed entirely of
CET1. In June 2023, the Federal
Reserve released the results of its most recent supervisory stress
tests. Based on those results, on October 1,
2023, M&T's stress capital buffer of 4.0% became
effective.
M&T repurchased 3,282,449 shares of its common stock at an
average cost per share of $182.79
resulting in a total cost of $600
million in 2022's third quarter. There were no share
repurchases in the second or third quarters of 2023.
Conference Call
Investors will have an opportunity to listen to M&T's
conference call to discuss third quarter financial results today at
10:00 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 #MTBQ323. The
conference call will be webcast live through M&T's website at
https://ir.mtb.com/events-presentations. A replay of the call will
be available through Wednesday October 25,
2023 by calling (800) 839-5631, or (402) 220-2558 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/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 in 12 states across 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, including
economic conditions, 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 ("Future Factors")
which are difficult to predict. Therefore, actual outcomes and
results may differ materially from what is expressed or forecasted
in such forward-looking statements.
Examples of Future Factors include: the impact of M&T's
acquisition of People's United (as described in the next
paragraph); events and developments in the financial services
industry, including legislation, regulations and other governmental
actions as well as business conditions affecting the industry
and/or M&T and its subsidiaries, individually or collectively;
economic conditions, including inflation and market volatility;
changes in interest rates, spreads on earning assets and
interest-bearing liabilities, and interest rate sensitivity;
prepayment speeds, loan originations, credit losses and market
values on loans, collateral securing loans, and other assets;
sources of liquidity; common shares outstanding; 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; regulatory supervision and
oversight, including monetary policy and capital requirements;
domestic or international political developments and other
geopolitical events, including international conflicts;
governmental and public policy changes, including tax policy; 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; rapid 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; containing costs and
expenses; 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.
In addition, Future Factors related to the acquisition of
People's United include, among others: the possibility that the
anticipated benefits of the transaction will not be realized when
expected or at all; potential adverse reactions or changes to
business, customer or employee relationships; M&T's success in
executing its business plans and strategies and managing the risks
involved in the foregoing; the results and costs of integration
efforts; the business, economic and political conditions in the
markets in which M&T and its subsidiaries operate; the outcome
of any legal proceedings that may be instituted against M&T or
its subsidiaries; and other factors related to the acquisition that
may affect future results of M&T.
These are representative of the Future 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, including interest rate and currency
exchange rate fluctuations, changes and trends in the securities
markets, and other Future Factors.
M&T provides further detail regarding these risks and
uncertainties in its Form 10-K for the year ended December 31, 2022, 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 made, and
M&T does not assume any duty and does not undertake to update
forward-looking statements.
Financial
Highlights
|
|
|
Three months
ended
|
|
|
|
|
|
Nine months
ended
|
|
|
|
|
|
September 30
|
|
|
|
|
|
September 30
|
|
|
|
|
Dollars in millions,
except per share, shares in thousands
|
2023
|
|
|
2022
|
|
|
Change
|
|
|
2023
|
|
|
2022
|
|
|
Change
|
|
Performance
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
$
|
690
|
|
|
|
647
|
|
|
|
7
|
%
|
|
$
|
2,259
|
|
|
|
1,226
|
|
|
|
84
|
%
|
Net income available to
common shareholders
|
|
664
|
|
|
|
621
|
|
|
|
7
|
%
|
|
|
2,180
|
|
|
|
1,152
|
|
|
|
89
|
%
|
Per common
share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
earnings
|
$
|
4.00
|
|
|
|
3.55
|
|
|
|
13
|
%
|
|
$
|
13.09
|
|
|
|
7.18
|
|
|
|
82
|
%
|
Diluted
earnings
|
|
3.98
|
|
|
|
3.53
|
|
|
|
13
|
%
|
|
|
13.05
|
|
|
|
7.14
|
|
|
|
83
|
%
|
Cash
dividends
|
|
1.30
|
|
|
|
1.20
|
|
|
|
8
|
%
|
|
|
3.90
|
|
|
|
3.60
|
|
|
|
8
|
%
|
Common shares
outstanding:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average - diluted
(1)
|
|
166,570
|
|
|
|
175,682
|
|
|
|
-5
|
%
|
|
|
167,093
|
|
|
|
161,295
|
|
|
|
4
|
%
|
Period end
(2)
|
|
165,970
|
|
|
|
172,900
|
|
|
|
-4
|
%
|
|
|
165,970
|
|
|
|
172,900
|
|
|
|
-4
|
%
|
Return on
(annualized):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average total
assets
|
|
1.33
|
%
|
|
|
1.28
|
%
|
|
|
|
|
|
1.48
|
%
|
|
|
.87
|
%
|
|
|
|
Average common
shareholders' equity
|
|
10.99
|
%
|
|
|
10.43
|
%
|
|
|
|
|
|
12.33
|
%
|
|
|
7.24
|
%
|
|
|
|
Taxable-equivalent net
interest income
|
$
|
1,790
|
|
|
|
1,691
|
|
|
|
6
|
%
|
|
$
|
5,434
|
|
|
|
4,020
|
|
|
|
35
|
%
|
Yield on average
earning assets
|
|
5.62
|
%
|
|
|
3.90
|
%
|
|
|
|
|
|
5.41
|
%
|
|
|
3.30
|
%
|
|
|
|
Cost of
interest-bearing liabilities
|
|
2.83
|
%
|
|
|
.41
|
%
|
|
|
|
|
|
2.39
|
%
|
|
|
.27
|
%
|
|
|
|
Net interest
spread
|
|
2.79
|
%
|
|
|
3.49
|
%
|
|
|
|
|
|
3.02
|
%
|
|
|
3.03
|
%
|
|
|
|
Contribution of
interest-free funds
|
|
1.00
|
%
|
|
|
.19
|
%
|
|
|
|
|
|
.89
|
%
|
|
|
.12
|
%
|
|
|
|
Net interest
margin
|
|
3.79
|
%
|
|
|
3.68
|
%
|
|
|
|
|
|
3.91
|
%
|
|
|
3.15
|
%
|
|
|
|
Net charge-offs to
average total net loans (annualized)
|
|
.29
|
%
|
|
|
.20
|
%
|
|
|
|
|
|
.30
|
%
|
|
|
.14
|
%
|
|
|
|
Net operating
results (3)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net operating
income
|
$
|
702
|
|
|
|
700
|
|
|
|
—
|
|
|
$
|
2,295
|
|
|
|
1,654
|
|
|
|
39
|
%
|
Diluted net operating
earnings per common share
|
|
4.05
|
|
|
|
3.83
|
|
|
|
6
|
%
|
|
|
13.26
|
|
|
|
9.78
|
|
|
|
36
|
%
|
Return on
(annualized):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average tangible
assets
|
|
1.41
|
%
|
|
|
1.44
|
%
|
|
|
|
|
|
1.57
|
%
|
|
|
1.23
|
%
|
|
|
|
Average tangible
common equity
|
|
17.41
|
%
|
|
|
17.89
|
%
|
|
|
|
|
|
19.70
|
%
|
|
|
15.13
|
%
|
|
|
|
Efficiency
ratio
|
|
53.7
|
%
|
|
|
53.6
|
%
|
|
|
|
|
|
52.6
|
%
|
|
|
58.1
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
At
September 30
|
|
|
|
|
|
|
|
|
|
|
|
Loan
quality
|
2023
|
|
|
2022
|
|
|
Change
|
|
|
|
|
|
|
|
|
|
|
Nonaccrual
loans
|
$
|
2,342
|
|
|
|
2,429
|
|
|
|
-4
|
%
|
|
|
|
|
|
|
|
|
|
Real estate and other
foreclosed assets
|
|
37
|
|
|
|
37
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
Total nonperforming
assets
|
$
|
2,379
|
|
|
|
2,466
|
|
|
|
-4
|
%
|
|
|
|
|
|
|
|
|
|
Accruing loans past due
90 days or more (4)
|
$
|
354
|
|
|
|
477
|
|
|
|
-26
|
%
|
|
|
|
|
|
|
|
|
|
Government guaranteed
loans included in totals above:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonaccrual
loans
|
$
|
40
|
|
|
|
45
|
|
|
|
-11
|
%
|
|
|
|
|
|
|
|
|
|
Accruing loans past
due 90 days or more
|
|
269
|
|
|
|
423
|
|
|
|
-37
|
%
|
|
|
|
|
|
|
|
|
|
Nonaccrual loans to
total net loans
|
|
1.77
|
%
|
|
|
1.89
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for credit
losses to total loans
|
|
1.55
|
%
|
|
|
1.46
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(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
residential real estate loans.
|
Financial Highlights,
Five Quarter Trend
|
|
|
Three months
ended
|
|
|
September 30,
|
|
|
June 30,
|
|
|
March 31,
|
|
|
December 31,
|
|
|
September 30,
|
|
Dollars in millions,
except per share, shares in thousands
|
2023
|
|
|
2023
|
|
|
2023
|
|
|
2022
|
|
|
2022
|
|
Performance
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
$
|
690
|
|
|
|
867
|
|
|
|
702
|
|
|
|
765
|
|
|
|
647
|
|
Net income available to
common shareholders
|
|
664
|
|
|
|
841
|
|
|
|
676
|
|
|
|
739
|
|
|
|
621
|
|
Per common
share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
earnings
|
$
|
4.00
|
|
|
|
5.07
|
|
|
|
4.03
|
|
|
|
4.32
|
|
|
|
3.55
|
|
Diluted
earnings
|
|
3.98
|
|
|
|
5.05
|
|
|
|
4.01
|
|
|
|
4.29
|
|
|
|
3.53
|
|
Cash
dividends
|
|
1.30
|
|
|
|
1.30
|
|
|
|
1.30
|
|
|
|
1.20
|
|
|
|
1.20
|
|
Common shares
outstanding:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average - diluted
(1)
|
|
166,570
|
|
|
|
166,320
|
|
|
|
168,410
|
|
|
|
172,149
|
|
|
|
175,682
|
|
Period end
(2)
|
|
165,970
|
|
|
|
165,894
|
|
|
|
165,865
|
|
|
|
169,285
|
|
|
|
172,900
|
|
Return on
(annualized):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average total
assets
|
|
1.33
|
%
|
|
|
1.70
|
%
|
|
|
1.40
|
%
|
|
|
1.53
|
%
|
|
|
1.28
|
%
|
Average common
shareholders' equity
|
|
10.99
|
%
|
|
|
14.27
|
%
|
|
|
11.74
|
%
|
|
|
12.59
|
%
|
|
|
10.43
|
%
|
Taxable-equivalent net
interest income
|
$
|
1,790
|
|
|
|
1,813
|
|
|
|
1,832
|
|
|
|
1,841
|
|
|
|
1,691
|
|
Yield on average
earning assets
|
|
5.62
|
%
|
|
|
5.46
|
%
|
|
|
5.16
|
%
|
|
|
4.60
|
%
|
|
|
3.90
|
%
|
Cost of
interest-bearing liabilities
|
|
2.83
|
%
|
|
|
2.43
|
%
|
|
|
1.86
|
%
|
|
|
.98
|
%
|
|
|
.41
|
%
|
Net interest
spread
|
|
2.79
|
%
|
|
|
3.03
|
%
|
|
|
3.30
|
%
|
|
|
3.62
|
%
|
|
|
3.49
|
%
|
Contribution of
interest-free funds
|
|
1.00
|
%
|
|
|
.88
|
%
|
|
|
.74
|
%
|
|
|
.44
|
%
|
|
|
.19
|
%
|
Net interest
margin
|
|
3.79
|
%
|
|
|
3.91
|
%
|
|
|
4.04
|
%
|
|
|
4.06
|
%
|
|
|
3.68
|
%
|
Net charge-offs to
average total net loans (annualized)
|
|
.29
|
%
|
|
|
.38
|
%
|
|
|
.22
|
%
|
|
|
.12
|
%
|
|
|
.20
|
%
|
Net operating
results (3)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net operating
income
|
$
|
702
|
|
|
|
879
|
|
|
|
715
|
|
|
|
812
|
|
|
|
700
|
|
Diluted net operating
earnings per common share
|
|
4.05
|
|
|
|
5.12
|
|
|
|
4.09
|
|
|
|
4.57
|
|
|
|
3.83
|
|
Return on
(annualized):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average tangible
assets
|
|
1.41
|
%
|
|
|
1.80
|
%
|
|
|
1.49
|
%
|
|
|
1.70
|
%
|
|
|
1.44
|
%
|
Average tangible
common equity
|
|
17.41
|
%
|
|
|
22.73
|
%
|
|
|
19.00
|
%
|
|
|
21.29
|
%
|
|
|
17.89
|
%
|
Efficiency
ratio
|
|
53.7
|
%
|
|
|
48.9
|
%
|
|
|
55.5
|
%
|
|
|
53.3
|
%
|
|
|
53.6
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
September 30,
|
|
|
June 30,
|
|
|
March 31,
|
|
|
December 31,
|
|
|
September 30,
|
|
Loan
quality
|
2023
|
|
|
2023
|
|
|
2023
|
|
|
2022
|
|
|
2022
|
|
Nonaccrual
loans
|
$
|
2,342
|
|
|
|
2,435
|
|
|
|
2,557
|
|
|
|
2,439
|
|
|
|
2,429
|
|
Real estate and other
foreclosed assets
|
|
37
|
|
|
|
43
|
|
|
|
44
|
|
|
|
41
|
|
|
|
37
|
|
Total nonperforming
assets
|
$
|
2,379
|
|
|
|
2,478
|
|
|
|
2,601
|
|
|
|
2,480
|
|
|
|
2,466
|
|
Accruing loans past due
90 days or more (4)
|
$
|
354
|
|
|
|
380
|
|
|
|
407
|
|
|
|
491
|
|
|
|
477
|
|
Government guaranteed
loans included in totals above:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonaccrual
loans
|
$
|
40
|
|
|
|
40
|
|
|
|
42
|
|
|
|
44
|
|
|
|
45
|
|
Accruing loans past
due 90 days or more
|
|
269
|
|
|
|
294
|
|
|
|
306
|
|
|
|
363
|
|
|
|
423
|
|
Nonaccrual loans to
total net loans
|
|
1.77
|
%
|
|
|
1.83
|
%
|
|
|
1.92
|
%
|
|
|
1.85
|
%
|
|
|
1.89
|
%
|
Allowance for credit
losses to total loans
|
|
1.55
|
%
|
|
|
1.50
|
%
|
|
|
1.49
|
%
|
|
|
1.46
|
%
|
|
|
1.46
|
%
|
|
|
|
|
|
|
|
|
|
|
(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
residential real estate loans.
|
Condensed Consolidated
Statement of Income
|
|
|
|
Three months ended
|
|
|
|
|
|
Nine months
ended
|
|
|
|
|
|
|
September 30
|
|
|
|
|
|
September 30
|
|
|
|
|
Dollars in
millions
|
|
2023
|
|
|
2022
|
|
|
Change
|
|
|
2023
|
|
|
2022
|
|
|
Change
|
|
Interest
income
|
|
$
|
2,641
|
|
|
|
1,782
|
|
|
|
48
|
%
|
|
$
|
7,484
|
|
|
|
4,175
|
|
|
|
79
|
%
|
Interest
expense
|
|
|
866
|
|
|
|
103
|
|
|
|
742
|
|
|
|
2,091
|
|
|
|
180
|
|
|
|
—
|
|
Net interest
income
|
|
|
1,775
|
|
|
|
1,679
|
|
|
|
6
|
|
|
|
5,393
|
|
|
|
3,995
|
|
|
|
35
|
|
Provision for credit
losses
|
|
|
150
|
|
|
|
115
|
|
|
|
30
|
|
|
|
420
|
|
|
|
427
|
|
|
|
-2
|
|
Net interest income
after provision for credit losses
|
|
|
1,625
|
|
|
|
1,564
|
|
|
|
4
|
|
|
|
4,973
|
|
|
|
3,568
|
|
|
|
39
|
|
Other income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mortgage banking
revenues
|
|
|
105
|
|
|
|
83
|
|
|
|
26
|
|
|
|
297
|
|
|
|
275
|
|
|
|
8
|
|
Service charges on
deposit accounts
|
|
|
121
|
|
|
|
115
|
|
|
|
5
|
|
|
|
354
|
|
|
|
341
|
|
|
|
4
|
|
Trust
income
|
|
|
155
|
|
|
|
187
|
|
|
|
-17
|
|
|
|
521
|
|
|
|
546
|
|
|
|
-4
|
|
Brokerage services
income
|
|
|
27
|
|
|
|
21
|
|
|
|
28
|
|
|
|
76
|
|
|
|
65
|
|
|
|
16
|
|
Trading account and
non-hedging
derivative gains
|
|
|
9
|
|
|
|
5
|
|
|
|
85
|
|
|
|
38
|
|
|
|
13
|
|
|
|
197
|
|
Gain (loss) on bank
investment securities
|
|
|
—
|
|
|
|
(1)
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(2)
|
|
|
|
—
|
|
Other revenues from
operations
|
|
|
143
|
|
|
|
153
|
|
|
|
-7
|
|
|
|
664
|
|
|
|
437
|
|
|
|
52
|
|
Total other
income
|
|
|
560
|
|
|
|
563
|
|
|
|
-1
|
|
|
|
1,950
|
|
|
|
1,675
|
|
|
|
16
|
|
Other
expense
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee
benefits
|
|
|
727
|
|
|
|
736
|
|
|
|
-1
|
|
|
|
2,273
|
|
|
|
2,090
|
|
|
|
9
|
|
Equipment and net
occupancy
|
|
|
131
|
|
|
|
127
|
|
|
|
3
|
|
|
|
387
|
|
|
|
338
|
|
|
|
14
|
|
Outside data
processing and software
|
|
|
111
|
|
|
|
95
|
|
|
|
16
|
|
|
|
323
|
|
|
|
269
|
|
|
|
20
|
|
FDIC
assessments
|
|
|
29
|
|
|
|
28
|
|
|
|
4
|
|
|
|
87
|
|
|
|
66
|
|
|
|
31
|
|
Advertising and
marketing
|
|
|
23
|
|
|
|
21
|
|
|
|
7
|
|
|
|
82
|
|
|
|
58
|
|
|
|
42
|
|
Printing, postage and
supplies
|
|
|
14
|
|
|
|
15
|
|
|
|
-5
|
|
|
|
42
|
|
|
|
40
|
|
|
|
5
|
|
Amortization of core
deposit and other
intangible assets
|
|
|
15
|
|
|
|
18
|
|
|
|
-19
|
|
|
|
47
|
|
|
|
38
|
|
|
|
24
|
|
Other costs of
operations
|
|
|
228
|
|
|
|
239
|
|
|
|
-4
|
|
|
|
689
|
|
|
|
743
|
|
|
|
-7
|
|
Total other
expense
|
|
|
1,278
|
|
|
|
1,279
|
|
|
|
—
|
|
|
|
3,930
|
|
|
|
3,642
|
|
|
|
8
|
|
Income before income
taxes
|
|
|
907
|
|
|
|
848
|
|
|
|
7
|
|
|
|
2,993
|
|
|
|
1,601
|
|
|
|
87
|
|
Applicable income
taxes
|
|
|
217
|
|
|
|
201
|
|
|
|
8
|
|
|
|
734
|
|
|
|
375
|
|
|
|
96
|
|
Net income
|
|
$
|
690
|
|
|
|
647
|
|
|
|
7
|
%
|
|
$
|
2,259
|
|
|
|
1,226
|
|
|
|
84
|
%
|
Condensed Consolidated
Statement of Income, Five Quarter Trend
|
|
|
|
|
|
Three months
ended
|
|
|
|
September 30,
|
|
|
June 30,
|
|
|
March 31,
|
|
|
December 31,
|
|
|
September 30,
|
|
Dollars in
millions
|
|
2023
|
|
|
2023
|
|
|
2023
|
|
|
2022
|
|
|
2022
|
|
Interest
income
|
|
$
|
2,641
|
|
|
|
2,516
|
|
|
|
2,327
|
|
|
|
2,072
|
|
|
|
1,782
|
|
Interest
expense
|
|
|
866
|
|
|
|
717
|
|
|
|
509
|
|
|
|
245
|
|
|
|
103
|
|
Net interest
income
|
|
|
1,775
|
|
|
|
1,799
|
|
|
|
1,818
|
|
|
|
1,827
|
|
|
|
1,679
|
|
Provision for credit
losses
|
|
|
150
|
|
|
|
150
|
|
|
|
120
|
|
|
|
90
|
|
|
|
115
|
|
Net interest income
after provision for credit losses
|
|
|
1,625
|
|
|
|
1,649
|
|
|
|
1,698
|
|
|
|
1,737
|
|
|
|
1,564
|
|
Other income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mortgage banking
revenues
|
|
|
105
|
|
|
|
107
|
|
|
|
85
|
|
|
|
82
|
|
|
|
83
|
|
Service charges on
deposit accounts
|
|
|
121
|
|
|
|
119
|
|
|
|
113
|
|
|
|
106
|
|
|
|
115
|
|
Trust
income
|
|
|
155
|
|
|
|
172
|
|
|
|
194
|
|
|
|
195
|
|
|
|
187
|
|
Brokerage services
income
|
|
|
27
|
|
|
|
25
|
|
|
|
24
|
|
|
|
22
|
|
|
|
21
|
|
Trading account and
non-hedging
derivative gains
|
|
|
9
|
|
|
|
17
|
|
|
|
12
|
|
|
|
14
|
|
|
|
5
|
|
Gain (loss) on bank
investment securities
|
|
|
—
|
|
|
|
1
|
|
|
|
—
|
|
|
|
(3)
|
|
|
|
(1)
|
|
Other revenues from
operations
|
|
|
143
|
|
|
|
362
|
|
|
|
159
|
|
|
|
266
|
|
|
|
153
|
|
Total other
income
|
|
|
560
|
|
|
|
803
|
|
|
|
587
|
|
|
|
682
|
|
|
|
563
|
|
Other
expense
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee
benefits
|
|
|
727
|
|
|
|
738
|
|
|
|
808
|
|
|
|
697
|
|
|
|
736
|
|
Equipment and net
occupancy
|
|
|
131
|
|
|
|
129
|
|
|
|
127
|
|
|
|
137
|
|
|
|
127
|
|
Outside data
processing and software
|
|
|
111
|
|
|
|
106
|
|
|
|
106
|
|
|
|
108
|
|
|
|
95
|
|
FDIC
assessments
|
|
|
29
|
|
|
|
28
|
|
|
|
30
|
|
|
|
24
|
|
|
|
28
|
|
Advertising and
marketing
|
|
|
23
|
|
|
|
28
|
|
|
|
31
|
|
|
|
32
|
|
|
|
21
|
|
Printing, postage and
supplies
|
|
|
14
|
|
|
|
14
|
|
|
|
14
|
|
|
|
15
|
|
|
|
15
|
|
Amortization of core
deposit and other
intangible assets
|
|
|
15
|
|
|
|
15
|
|
|
|
17
|
|
|
|
18
|
|
|
|
18
|
|
Other costs of
operations
|
|
|
228
|
|
|
|
235
|
|
|
|
226
|
|
|
|
377
|
|
|
|
239
|
|
Total other
expense
|
|
|
1,278
|
|
|
|
1,293
|
|
|
|
1,359
|
|
|
|
1,408
|
|
|
|
1,279
|
|
Income before income
taxes
|
|
|
907
|
|
|
|
1,159
|
|
|
|
926
|
|
|
|
1,011
|
|
|
|
848
|
|
Applicable income
taxes
|
|
|
217
|
|
|
|
292
|
|
|
|
224
|
|
|
|
246
|
|
|
|
201
|
|
Net income
|
|
$
|
690
|
|
|
|
867
|
|
|
|
702
|
|
|
|
765
|
|
|
|
647
|
|
Condensed Consolidated
Balance Sheet
|
|
|
|
September 30
|
|
|
|
|
|
Dollars in
millions
|
|
2023
|
|
|
2022
|
|
|
Change
|
|
|
ASSETS
|
|
|
|
|
|
|
|
|
|
|
Cash and due from
banks
|
|
$
|
1,769
|
|
|
|
2,256
|
|
|
|
-22
|
|
%
|
Interest-bearing
deposits at banks
|
|
|
30,114
|
|
|
|
25,392
|
|
|
|
19
|
|
|
Trading
account
|
|
|
137
|
|
|
|
130
|
|
|
|
6
|
|
|
Investment
securities
|
|
|
27,336
|
|
|
|
24,604
|
|
|
|
11
|
|
|
Loans and
leases:
|
|
|
|
|
|
|
|
|
|
|
Commercial, financial,
etc.
|
|
|
45,058
|
|
|
|
38,808
|
|
|
|
16
|
|
|
Real estate -
commercial
|
|
|
43,574
|
|
|
|
46,139
|
|
|
|
-6
|
|
|
Real estate -
consumer
|
|
|
23,448
|
|
|
|
23,074
|
|
|
|
2
|
|
|
Consumer
|
|
|
20,275
|
|
|
|
20,205
|
|
|
|
—
|
|
|
Total loans and
leases, net of unearned discount
|
|
|
132,355
|
|
|
|
128,226
|
|
|
|
3
|
|
|
Less: allowance for
credit losses
|
|
|
2,052
|
|
|
|
1,876
|
|
|
|
9
|
|
|
Net loans and
leases
|
|
|
130,303
|
|
|
|
126,350
|
|
|
|
3
|
|
|
Goodwill
|
|
|
8,465
|
|
|
|
8,501
|
|
|
|
—
|
|
|
Core deposit and other
intangible assets
|
|
|
162
|
|
|
|
227
|
|
|
|
-29
|
|
|
Other assets
|
|
|
10,838
|
|
|
|
10,495
|
|
|
|
3
|
|
|
Total
assets
|
|
$
|
209,124
|
|
|
|
197,955
|
|
|
|
6
|
|
%
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND
SHAREHOLDERS' EQUITY
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing
deposits
|
|
$
|
53,787
|
|
|
|
73,023
|
|
|
|
-26
|
|
%
|
Interest-bearing
deposits
|
|
|
110,341
|
|
|
|
90,822
|
|
|
|
21
|
|
|
Total
deposits
|
|
|
164,128
|
|
|
|
163,845
|
|
|
|
—
|
|
|
Short-term
borrowings
|
|
|
6,731
|
|
|
|
918
|
|
|
|
633
|
|
|
Accrued interest and
other liabilities
|
|
|
4,946
|
|
|
|
4,477
|
|
|
|
10
|
|
|
Long-term
borrowings
|
|
|
7,123
|
|
|
|
3,459
|
|
|
|
106
|
|
|
Total
liabilities
|
|
|
182,928
|
|
|
|
172,699
|
|
|
|
6
|
|
|
Shareholders'
equity:
|
|
|
|
|
|
|
|
|
|
|
Preferred
|
|
|
2,011
|
|
|
|
2,011
|
|
|
|
—
|
|
|
Common
|
|
|
24,185
|
|
|
|
23,245
|
|
|
|
4
|
|
|
Total shareholders'
equity
|
|
|
26,196
|
|
|
|
25,256
|
|
|
|
4
|
|
|
Total liabilities and
shareholders' equity
|
|
$
|
209,124
|
|
|
|
197,955
|
|
|
|
6
|
|
%
|
Condensed Consolidated
Balance Sheet, Five Quarter Trend
|
|
|
|
|
|
September 30,
|
|
|
June 30,
|
|
|
March 31,
|
|
|
December 31,
|
|
|
September 30,
|
|
Dollars in
millions
|
2023
|
|
|
2023
|
|
|
2023
|
|
|
2022
|
|
|
2022
|
|
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and due from
banks
|
$
|
1,769
|
|
|
|
1,848
|
|
|
|
1,818
|
|
|
|
1,517
|
|
|
|
2,256
|
|
Interest-bearing
deposits at banks
|
|
30,114
|
|
|
|
27,107
|
|
|
|
22,306
|
|
|
|
24,959
|
|
|
|
25,392
|
|
Federal funds sold and
agreements to resell
securities
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
3
|
|
|
|
—
|
|
Trading
account
|
|
137
|
|
|
|
137
|
|
|
|
165
|
|
|
|
118
|
|
|
|
130
|
|
Investment
securities
|
|
27,336
|
|
|
|
27,917
|
|
|
|
28,443
|
|
|
|
25,211
|
|
|
|
24,604
|
|
Loans and
leases:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial, financial,
etc.
|
|
45,058
|
|
|
|
44,684
|
|
|
|
43,758
|
|
|
|
41,850
|
|
|
|
38,808
|
|
Real estate -
commercial
|
|
43,574
|
|
|
|
44,649
|
|
|
|
45,073
|
|
|
|
45,365
|
|
|
|
46,139
|
|
Real estate -
consumer
|
|
23,448
|
|
|
|
23,762
|
|
|
|
23,790
|
|
|
|
23,756
|
|
|
|
23,074
|
|
Consumer
|
|
20,275
|
|
|
|
20,249
|
|
|
|
20,317
|
|
|
|
20,593
|
|
|
|
20,205
|
|
Total loans and leases, net of unearned discount
|
|
132,355
|
|
|
|
133,344
|
|
|
|
132,938
|
|
|
|
131,564
|
|
|
|
128,226
|
|
Less: allowance for
credit losses
|
|
2,052
|
|
|
|
1,998
|
|
|
|
1,975
|
|
|
|
1,925
|
|
|
|
1,876
|
|
Net loans and
leases
|
|
130,303
|
|
|
|
131,346
|
|
|
|
130,963
|
|
|
|
129,639
|
|
|
|
126,350
|
|
Goodwill
|
|
8,465
|
|
|
|
8,465
|
|
|
|
8,490
|
|
|
|
8,490
|
|
|
|
8,501
|
|
Core deposit and other
intangible assets
|
|
162
|
|
|
|
177
|
|
|
|
192
|
|
|
|
209
|
|
|
|
227
|
|
Other assets
|
|
10,838
|
|
|
|
10,675
|
|
|
|
10,579
|
|
|
|
10,584
|
|
|
|
10,495
|
|
Total
assets
|
$
|
209,124
|
|
|
|
207,672
|
|
|
|
202,956
|
|
|
|
200,730
|
|
|
|
197,955
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND
SHAREHOLDERS' EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing
deposits
|
$
|
53,787
|
|
|
|
54,938
|
|
|
|
59,955
|
|
|
|
65,502
|
|
|
|
73,023
|
|
Interest-bearing
deposits
|
|
110,341
|
|
|
|
107,120
|
|
|
|
99,120
|
|
|
|
98,013
|
|
|
|
90,822
|
|
Total
deposits
|
|
164,128
|
|
|
|
162,058
|
|
|
|
159,075
|
|
|
|
163,515
|
|
|
|
163,845
|
|
Short-term
borrowings
|
|
6,731
|
|
|
|
7,908
|
|
|
|
6,995
|
|
|
|
3,555
|
|
|
|
918
|
|
Accrued interest and
other liabilities
|
|
4,946
|
|
|
|
4,488
|
|
|
|
4,046
|
|
|
|
4,377
|
|
|
|
4,477
|
|
Long-term
borrowings
|
|
7,123
|
|
|
|
7,417
|
|
|
|
7,463
|
|
|
|
3,965
|
|
|
|
3,459
|
|
Total
liabilities
|
|
182,928
|
|
|
|
181,871
|
|
|
|
177,579
|
|
|
|
175,412
|
|
|
|
172,699
|
|
Shareholders'
equity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred
|
|
2,011
|
|
|
|
2,011
|
|
|
|
2,011
|
|
|
|
2,011
|
|
|
|
2,011
|
|
Common
|
|
24,185
|
|
|
|
23,790
|
|
|
|
23,366
|
|
|
|
23,307
|
|
|
|
23,245
|
|
Total shareholders'
equity
|
|
26,196
|
|
|
|
25,801
|
|
|
|
25,377
|
|
|
|
25,318
|
|
|
|
25,256
|
|
Total liabilities and
shareholders' equity
|
$
|
209,124
|
|
|
|
207,672
|
|
|
|
202,956
|
|
|
|
200,730
|
|
|
|
197,955
|
|
Condensed Consolidated
Average Balance Sheet and Annualized Taxable-equivalent
Rates
|
|
|
|
Three months
ended
|
|
|
Change in
balance
|
|
|
Nine months
ended
|
|
|
|
|
|
|
|
September
30,
|
|
|
June 30,
|
|
|
September 30,
|
|
|
September 30, 2023
from
|
|
|
September 30
|
|
|
Change
|
|
|
Dollars in
millions
|
|
2023
|
|
|
2023
|
|
|
2022
|
|
|
June 30,
|
|
|
September
30,
|
|
|
2023
|
|
|
2022
|
|
|
in
|
|
|
|
|
Balance
|
|
|
Rate
|
|
|
Balance
|
|
|
Rate
|
|
|
Balance
|
|
|
Rate
|
|
|
2023
|
|
|
2022
|
|
|
Balance
|
|
|
Rate
|
|
|
Balance
|
|
|
Rate
|
|
|
balance
|
|
|
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
deposits at banks
|
|
$
|
26,657
|
|
|
|
5.40
|
|
%
|
|
23,617
|
|
|
|
5.14
|
|
%
|
|
30,752
|
|
|
|
2.23
|
|
%
|
|
13
|
|
%
|
|
-13
|
|
%
|
$
|
24,871
|
|
|
|
5.07
|
|
%
|
|
36,248
|
|
|
|
1.00
|
|
%
|
|
-31
|
|
%
|
Federal funds sold and
agreements to resell
securities
|
|
|
—
|
|
|
|
5.79
|
|
|
|
—
|
|
|
|
5.53
|
|
|
|
29
|
|
|
|
.55
|
|
|
|
-99
|
|
|
|
-100
|
|
|
|
—
|
|
|
|
5.34
|
|
|
|
93
|
|
|
|
.42
|
|
|
|
-100
|
|
|
Trading
account
|
|
|
136
|
|
|
|
4.05
|
|
|
|
151
|
|
|
|
2.66
|
|
|
|
131
|
|
|
|
1.78
|
|
|
|
-9
|
|
|
|
4
|
|
|
|
136
|
|
|
|
3.02
|
|
|
|
105
|
|
|
|
1.24
|
|
|
|
29
|
|
|
Investment
securities
|
|
|
27,993
|
|
|
|
3.14
|
|
|
|
28,623
|
|
|
|
3.09
|
|
|
|
23,945
|
|
|
|
2.62
|
|
|
|
-2
|
|
|
|
17
|
|
|
|
28,081
|
|
|
|
3.08
|
|
|
|
18,077
|
|
|
|
2.51
|
|
|
|
55
|
|
|
Loans and leases, net
of unearned discount
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial, financial,
etc.
|
|
|
44,625
|
|
|
|
7.01
|
|
|
|
44,531
|
|
|
|
6.79
|
|
|
|
38,321
|
|
|
|
4.87
|
|
|
|
—
|
|
|
|
16
|
|
|
|
43,870
|
|
|
|
6.76
|
|
|
|
33,203
|
|
|
|
4.24
|
|
|
|
32
|
|
|
Real estate -
commercial
|
|
|
44,230
|
|
|
|
6.41
|
|
|
|
44,944
|
|
|
|
6.25
|
|
|
|
46,282
|
|
|
|
4.49
|
|
|
|
-2
|
|
|
|
-4
|
|
|
|
44,830
|
|
|
|
6.16
|
|
|
|
42,864
|
|
|
|
4.09
|
|
|
|
5
|
|
|
Real estate -
consumer
|
|
|
23,573
|
|
|
|
4.14
|
|
|
|
23,781
|
|
|
|
4.10
|
|
|
|
22,962
|
|
|
|
3.84
|
|
|
|
-1
|
|
|
|
3
|
|
|
|
23,707
|
|
|
|
4.06
|
|
|
|
20,557
|
|
|
|
3.69
|
|
|
|
15
|
|
|
Consumer
|
|
|
20,189
|
|
|
|
6.16
|
|
|
|
20,289
|
|
|
|
5.88
|
|
|
|
19,960
|
|
|
|
4.76
|
|
|
|
—
|
|
|
|
1
|
|
|
|
20,320
|
|
|
|
5.90
|
|
|
|
19,267
|
|
|
|
4.43
|
|
|
|
5
|
|
|
Total loans and
leases, net
|
|
|
132,617
|
|
|
|
6.19
|
|
|
|
133,545
|
|
|
|
6.02
|
|
|
|
127,525
|
|
|
|
4.55
|
|
|
|
-1
|
|
|
|
4
|
|
|
|
132,727
|
|
|
|
5.98
|
|
|
|
115,891
|
|
|
|
4.14
|
|
|
|
15
|
|
|
Total earning
assets
|
|
|
187,403
|
|
|
|
5.62
|
|
|
|
185,936
|
|
|
|
5.46
|
|
|
|
182,382
|
|
|
|
3.90
|
|
|
|
1
|
|
|
|
3
|
|
|
|
185,815
|
|
|
|
5.41
|
|
|
|
170,414
|
|
|
|
3.30
|
|
|
|
9
|
|
|
Goodwill
|
|
|
8,465
|
|
|
|
|
|
|
8,473
|
|
|
|
|
|
|
8,501
|
|
|
|
|
|
|
—
|
|
|
|
—
|
|
|
|
8,476
|
|
|
|
|
|
|
7,214
|
|
|
|
|
|
|
17
|
|
|
Core deposit and other intangible
assets
|
|
|
170
|
|
|
|
|
|
|
185
|
|
|
|
|
|
|
236
|
|
|
|
|
|
|
-8
|
|
|
|
-28
|
|
|
|
185
|
|
|
|
|
|
|
165
|
|
|
|
|
|
|
12
|
|
|
Other assets
|
|
|
9,753
|
|
|
|
|
|
|
9,782
|
|
|
|
|
|
|
10,012
|
|
|
|
|
|
|
—
|
|
|
|
-3
|
|
|
|
9,790
|
|
|
|
|
|
|
9,602
|
|
|
|
|
|
|
2
|
|
|
Total
assets
|
|
$
|
205,791
|
|
|
|
|
|
|
204,376
|
|
|
|
|
|
|
201,131
|
|
|
|
|
|
|
1
|
|
%
|
|
2
|
|
%
|
$
|
204,266
|
|
|
|
|
|
|
187,395
|
|
|
|
|
|
|
9
|
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND
SHAREHOLDERS' EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
deposits
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Savings and
interest-checking deposits
|
|
$
|
89,274
|
|
|
|
2.20
|
|
|
|
87,210
|
|
|
|
1.69
|
|
|
|
89,360
|
|
|
|
.31
|
|
|
|
2
|
|
%
|
|
—
|
|
%
|
$
|
88,184
|
|
|
|
1.73
|
|
|
|
84,006
|
|
|
|
.16
|
|
|
|
5
|
|
%
|
Time
deposits
|
|
|
19,528
|
|
|
|
4.09
|
|
|
|
16,009
|
|
|
|
3.77
|
|
|
|
5,050
|
|
|
|
.09
|
|
|
|
22
|
|
|
|
287
|
|
|
|
15,751
|
|
|
|
3.74
|
|
|
|
4,401
|
|
|
|
.11
|
|
|
|
258
|
|
|
Total interest-bearing
deposits
|
|
|
108,802
|
|
|
|
2.54
|
|
|
|
103,219
|
|
|
|
2.02
|
|
|
|
94,410
|
|
|
|
.29
|
|
|
|
5
|
|
|
|
15
|
|
|
|
103,935
|
|
|
|
2.03
|
|
|
|
88,407
|
|
|
|
.16
|
|
|
|
18
|
|
|
Short-term
borrowings
|
|
|
5,346
|
|
|
|
5.16
|
|
|
|
7,539
|
|
|
|
5.11
|
|
|
|
913
|
|
|
|
1.16
|
|
|
|
-29
|
|
|
|
485
|
|
|
|
5,961
|
|
|
|
5.01
|
|
|
|
701
|
|
|
|
1.16
|
|
|
|
750
|
|
|
Long-term
borrowings
|
|
|
7,240
|
|
|
|
5.52
|
|
|
|
7,516
|
|
|
|
5.43
|
|
|
|
3,281
|
|
|
|
3.67
|
|
|
|
-4
|
|
|
|
121
|
|
|
|
7,092
|
|
|
|
5.42
|
|
|
|
3,335
|
|
|
|
2.69
|
|
|
|
113
|
|
|
Total interest-bearing
liabilities
|
|
|
121,388
|
|
|
|
2.83
|
|
|
|
118,274
|
|
|
|
2.43
|
|
|
|
98,604
|
|
|
|
.41
|
|
|
|
3
|
|
|
|
23
|
|
|
|
116,988
|
|
|
|
2.39
|
|
|
|
92,443
|
|
|
|
.27
|
|
|
|
27
|
|
|
Noninterest-bearing
deposits
|
|
|
53,886
|
|
|
|
|
|
|
56,180
|
|
|
|
|
|
|
72,861
|
|
|
|
|
|
|
-4
|
|
|
|
-26
|
|
|
|
57,277
|
|
|
|
|
|
|
68,406
|
|
|
|
|
|
|
-16
|
|
|
Other
liabilities
|
|
|
4,497
|
|
|
|
|
|
|
4,237
|
|
|
|
|
|
|
4,001
|
|
|
|
|
|
|
6
|
|
|
|
12
|
|
|
|
4,305
|
|
|
|
|
|
|
3,301
|
|
|
|
|
|
|
30
|
|
|
Total
liabilities
|
|
|
179,771
|
|
|
|
|
|
|
178,691
|
|
|
|
|
|
|
175,466
|
|
|
|
|
|
|
1
|
|
|
|
2
|
|
|
|
178,570
|
|
|
|
|
|
|
164,150
|
|
|
|
|
|
|
9
|
|
|
Shareholders'
equity
|
|
|
26,020
|
|
|
|
|
|
|
25,685
|
|
|
|
|
|
|
25,665
|
|
|
|
|
|
|
1
|
|
|
|
1
|
|
|
|
25,696
|
|
|
|
|
|
|
23,245
|
|
|
|
|
|
|
11
|
|
|
Total liabilities and
shareholders' equity
|
|
$
|
205,791
|
|
|
|
|
|
|
204,376
|
|
|
|
|
|
|
201,131
|
|
|
|
|
|
|
1
|
|
%
|
|
2
|
|
%
|
$
|
204,266
|
|
|
|
|
|
|
187,395
|
|
|
|
|
|
|
9
|
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
spread
|
|
|
|
|
|
2.79
|
|
|
|
|
|
|
3.03
|
|
|
|
|
|
|
3.49
|
|
|
|
|
|
|
|
|
|
|
|
|
3.02
|
|
|
|
|
|
|
3.03
|
|
|
|
|
|
Contribution of
interest-free funds
|
|
|
|
|
|
1.00
|
|
|
|
|
|
|
.88
|
|
|
|
|
|
|
.19
|
|
|
|
|
|
|
|
|
|
|
|
|
.89
|
|
|
|
|
|
|
.12
|
|
|
|
|
|
Net interest
margin
|
|
|
|
|
|
3.79
|
|
%
|
|
|
|
|
3.91
|
|
%
|
|
|
|
|
3.68
|
|
%
|
|
|
|
|
|
|
|
|
|
|
3.91
|
|
%
|
|
|
|
|
3.15
|
|
%
|
|
|
|
Reconciliation of
Quarterly GAAP to Non-GAAP Measures
|
|
|
|
|
|
Three months
ended
|
|
|
Nine months
ended
|
|
|
|
September 30
|
|
|
September 30
|
|
|
|
2023
|
|
|
2022
|
|
|
2023
|
|
|
2022
|
|
Income statement
data
|
|
|
|
|
|
|
|
|
|
|
|
|
In millions, except per
share
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
income
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
|
$
|
690
|
|
|
|
647
|
|
|
$
|
2,259
|
|
|
|
1,226
|
|
Amortization of core
deposit and other intangible assets (1)
|
|
|
12
|
|
|
|
14
|
|
|
|
36
|
|
|
|
29
|
|
Merger-related expenses
(1)
|
|
|
—
|
|
|
|
39
|
|
|
|
—
|
|
|
|
399
|
|
Net operating
income
|
|
$
|
702
|
|
|
|
700
|
|
|
|
2,295
|
|
|
|
1,654
|
|
Earnings per
common share
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings per
common share
|
|
$
|
3.98
|
|
|
|
3.53
|
|
|
$
|
13.05
|
|
|
|
7.14
|
|
Amortization of core
deposit and other intangible assets (1)
|
|
|
.07
|
|
|
|
.08
|
|
|
|
.21
|
|
|
|
.18
|
|
Merger-related expenses
(1)
|
|
|
—
|
|
|
|
.22
|
|
|
|
—
|
|
|
|
2.46
|
|
Diluted net operating
earnings per common share
|
|
$
|
4.05
|
|
|
|
3.83
|
|
|
|
13.26
|
|
|
|
9.78
|
|
Other
expense
|
|
|
|
|
|
|
|
|
|
|
|
|
Other
expense
|
|
$
|
1,278
|
|
|
|
1,279
|
|
|
$
|
3,929
|
|
|
|
3,642
|
|
Amortization of core
deposit and other intangible assets
|
|
|
(15)
|
|
|
|
(18)
|
|
|
|
(47)
|
|
|
|
(38)
|
|
Merger-related
expenses
|
|
|
—
|
|
|
|
(53)
|
|
|
|
—
|
|
|
|
(293)
|
|
Noninterest operating
expense
|
|
$
|
1,263
|
|
|
|
1,208
|
|
|
$
|
3,882
|
|
|
|
3,311
|
|
Merger-related
expenses
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee
benefits
|
|
$
|
—
|
|
|
|
13
|
|
|
$
|
—
|
|
|
|
99
|
|
Equipment and net
occupancy
|
|
|
—
|
|
|
|
2
|
|
|
|
—
|
|
|
|
4
|
|
Outside data processing
and software
|
|
|
—
|
|
|
|
2
|
|
|
|
—
|
|
|
|
3
|
|
Advertising and
marketing
|
|
|
—
|
|
|
|
2
|
|
|
|
—
|
|
|
|
4
|
|
Printing, postage and
supplies
|
|
|
—
|
|
|
|
1
|
|
|
|
—
|
|
|
|
4
|
|
Other costs of
operations
|
|
|
—
|
|
|
|
33
|
|
|
|
—
|
|
|
|
179
|
|
Other
expense
|
|
|
—
|
|
|
|
53
|
|
|
|
—
|
|
|
|
293
|
|
Provision for credit
losses
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
242
|
|
Total
|
|
$
|
—
|
|
|
|
53
|
|
|
$
|
—
|
|
|
|
535
|
|
Efficiency
ratio
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest operating
expense (numerator)
|
|
$
|
1,263
|
|
|
|
1,208
|
|
|
$
|
3,882
|
|
|
|
3,311
|
|
Taxable-equivalent net
interest income
|
|
$
|
1,790
|
|
|
|
1,691
|
|
|
$
|
5,434
|
|
|
|
4,020
|
|
Other income
|
|
|
560
|
|
|
|
563
|
|
|
|
1,950
|
|
|
|
1,675
|
|
Less: Gain (loss)
on bank investment securities
|
|
|
—
|
|
|
|
(1)
|
|
|
|
—
|
|
|
|
(2)
|
|
Denominator
|
|
$
|
2,350
|
|
|
|
2,255
|
|
|
$
|
7,384
|
|
|
|
5,697
|
|
Efficiency
ratio
|
|
|
53.7
|
%
|
|
|
53.6
|
%
|
|
|
52.6
|
%
|
|
|
58.1
|
%
|
Balance sheet
data
|
|
|
|
|
|
|
|
|
|
|
|
|
In millions
|
|
|
|
|
|
|
|
|
|
|
|
|
Average
assets
|
|
|
|
|
|
|
|
|
|
|
|
|
Average
assets
|
|
$
|
205,791
|
|
|
|
201,131
|
|
|
$
|
204,266
|
|
|
|
187,395
|
|
Goodwill
|
|
|
(8,465)
|
|
|
|
(8,501)
|
|
|
|
(8,476)
|
|
|
|
(7,214)
|
|
Core deposit and other
intangible assets
|
|
|
(170)
|
|
|
|
(236)
|
|
|
|
(185)
|
|
|
|
(165)
|
|
Deferred
taxes
|
|
|
43
|
|
|
|
56
|
|
|
|
46
|
|
|
|
38
|
|
Average tangible
assets
|
|
$
|
197,199
|
|
|
|
192,450
|
|
|
$
|
195,651
|
|
|
|
180,054
|
|
Average common
equity
|
|
|
|
|
|
|
|
|
|
|
|
|
Average total
equity
|
|
$
|
26,020
|
|
|
|
25,665
|
|
|
$
|
25,696
|
|
|
|
23,245
|
|
Preferred
stock
|
|
|
(2,011)
|
|
|
|
(2,011)
|
|
|
|
(2,011)
|
|
|
|
(1,925)
|
|
Average common
equity
|
|
|
24,009
|
|
|
|
23,654
|
|
|
|
23,685
|
|
|
|
21,320
|
|
Goodwill
|
|
|
(8,465)
|
|
|
|
(8,501)
|
|
|
|
(8,476)
|
|
|
|
(7,214)
|
|
Core deposit and other
intangible assets
|
|
|
(170)
|
|
|
|
(236)
|
|
|
|
(185)
|
|
|
|
(165)
|
|
Deferred
taxes
|
|
|
43
|
|
|
|
56
|
|
|
|
46
|
|
|
|
38
|
|
Average tangible
common equity
|
|
$
|
15,417
|
|
|
|
14,973
|
|
|
$
|
15,070
|
|
|
|
13,979
|
|
At end of
quarter
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
assets
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets
|
|
$
|
209,124
|
|
|
|
197,955
|
|
|
|
|
|
|
|
Goodwill
|
|
|
(8,465)
|
|
|
|
(8,501)
|
|
|
|
|
|
|
|
Core deposit and other
intangible assets
|
|
|
(162)
|
|
|
|
(227)
|
|
|
|
|
|
|
|
Deferred
taxes
|
|
|
41
|
|
|
|
54
|
|
|
|
|
|
|
|
Total tangible
assets
|
|
$
|
200,538
|
|
|
|
189,281
|
|
|
|
|
|
|
|
Total common
equity
|
|
|
|
|
|
|
|
|
|
|
|
|
Total equity
|
|
$
|
26,197
|
|
|
|
25,256
|
|
|
|
|
|
|
|
Preferred
stock
|
|
|
(2,011)
|
|
|
|
(2,011)
|
|
|
|
|
|
|
|
Common
equity
|
|
|
24,186
|
|
|
|
23,245
|
|
|
|
|
|
|
|
Goodwill
|
|
|
(8,465)
|
|
|
|
(8,501)
|
|
|
|
|
|
|
|
Core deposit and other
intangible assets
|
|
|
(162)
|
|
|
|
(227)
|
|
|
|
|
|
|
|
Deferred
taxes
|
|
|
41
|
|
|
|
54
|
|
|
|
|
|
|
|
Total tangible common
equity
|
|
$
|
15,600
|
|
|
|
14,571
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
After any related tax
effect.
|
Reconciliation of
Quarterly GAAP to Non-GAAP Measures, Five Quarter Trend
|
|
|
|
|
|
Three months
ended
|
|
|
|
September 30,
|
|
|
June 30,
|
|
|
March 31,
|
|
|
December 31,
|
|
|
September 30,
|
|
|
|
2023
|
|
|
2023
|
|
|
2023
|
|
|
2022
|
|
|
2022
|
|
Income statement
data
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
In millions, except per
share
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
|
$
|
690
|
|
|
|
867
|
|
|
|
702
|
|
|
|
765
|
|
|
|
647
|
|
Amortization of core
deposit and other intangible assets (1)
|
|
|
12
|
|
|
|
12
|
|
|
|
13
|
|
|
|
14
|
|
|
|
14
|
|
Merger-related expenses
(1)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
33
|
|
|
|
39
|
|
Net operating
income
|
|
$
|
702
|
|
|
|
879
|
|
|
|
715
|
|
|
|
812
|
|
|
|
700
|
|
Earnings per
common share
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings per
common share
|
|
$
|
3.98
|
|
|
|
5.05
|
|
|
|
4.01
|
|
|
|
4.29
|
|
|
|
3.53
|
|
Amortization of core
deposit and other intangible assets (1)
|
|
|
.07
|
|
|
|
.07
|
|
|
|
.08
|
|
|
|
.08
|
|
|
|
.08
|
|
Merger-related expenses
(1)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
.20
|
|
|
|
.22
|
|
Diluted net operating
earnings per common share
|
|
$
|
4.05
|
|
|
|
5.12
|
|
|
|
4.09
|
|
|
|
4.57
|
|
|
|
3.83
|
|
Other
expense
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other
expense
|
|
$
|
1,278
|
|
|
|
1,293
|
|
|
|
1,359
|
|
|
|
1,408
|
|
|
|
1,279
|
|
Amortization of core
deposit and other intangible assets
|
|
|
(15)
|
|
|
|
(15)
|
|
|
|
(17)
|
|
|
|
(18)
|
|
|
|
(18)
|
|
Merger-related
expenses
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(45)
|
|
|
|
(53)
|
|
Noninterest operating
expense
|
|
$
|
1,263
|
|
|
|
1,278
|
|
|
|
1,342
|
|
|
|
1,345
|
|
|
|
1,208
|
|
Merger-related
expenses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee
benefits
|
|
$
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
4
|
|
|
|
13
|
|
Equipment and net
occupancy
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
2
|
|
|
|
2
|
|
Outside data processing
and software
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
2
|
|
|
|
2
|
|
Advertising and
marketing
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
5
|
|
|
|
2
|
|
Printing, postage and
supplies
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
3
|
|
|
|
1
|
|
Other costs of
operations
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
29
|
|
|
|
33
|
|
Other
expense
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
45
|
|
|
|
53
|
|
Provision for credit
losses
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
Total
|
|
$
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
45
|
|
|
|
53
|
|
Efficiency
ratio
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest operating
expense (numerator)
|
|
$
|
1,263
|
|
|
|
1,278
|
|
|
|
1,342
|
|
|
|
1,345
|
|
|
|
1,208
|
|
Taxable-equivalent net
interest income
|
|
$
|
1,790
|
|
|
|
1,813
|
|
|
|
1,832
|
|
|
|
1,841
|
|
|
|
1,691
|
|
Other income
|
|
|
560
|
|
|
|
803
|
|
|
|
587
|
|
|
|
682
|
|
|
|
563
|
|
Less: Gain (loss)
on bank investment securities
|
|
|
—
|
|
|
|
1
|
|
|
|
—
|
|
|
|
(3)
|
|
|
|
(1)
|
|
Denominator
|
|
$
|
2,350
|
|
|
|
2,615
|
|
|
|
2,419
|
|
|
|
2,526
|
|
|
|
2,255
|
|
Efficiency
ratio
|
|
|
53.7
|
%
|
|
|
48.9
|
%
|
|
|
55.5
|
%
|
|
|
53.3
|
%
|
|
|
53.6
|
%
|
Balance sheet
data
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
In millions
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average
assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average
assets
|
|
$
|
205,791
|
|
|
|
204,376
|
|
|
|
202,599
|
|
|
|
198,592
|
|
|
|
201,131
|
|
Goodwill
|
|
|
(8,465)
|
|
|
|
(8,473)
|
|
|
|
(8,490)
|
|
|
|
(8,494)
|
|
|
|
(8,501)
|
|
Core deposit and other
intangible assets
|
|
|
(170)
|
|
|
|
(185)
|
|
|
|
(201)
|
|
|
|
(218)
|
|
|
|
(236)
|
|
Deferred
taxes
|
|
|
43
|
|
|
|
46
|
|
|
|
49
|
|
|
|
54
|
|
|
|
56
|
|
Average tangible
assets
|
|
$
|
197,199
|
|
|
|
195,764
|
|
|
|
193,957
|
|
|
|
189,934
|
|
|
|
192,450
|
|
Average common
equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average total
equity
|
|
$
|
26,020
|
|
|
|
25,685
|
|
|
|
25,377
|
|
|
|
25,346
|
|
|
|
25,665
|
|
Preferred
stock
|
|
|
(2,011)
|
|
|
|
(2,011)
|
|
|
|
(2,011)
|
|
|
|
(2,011)
|
|
|
|
(2,011)
|
|
Average common
equity
|
|
|
24,009
|
|
|
|
23,674
|
|
|
|
23,366
|
|
|
|
23,335
|
|
|
|
23,654
|
|
Goodwill
|
|
|
(8,465)
|
|
|
|
(8,473)
|
|
|
|
(8,490)
|
|
|
|
(8,494)
|
|
|
|
(8,501)
|
|
Core deposit and other
intangible assets
|
|
|
(170)
|
|
|
|
(185)
|
|
|
|
(201)
|
|
|
|
(218)
|
|
|
|
(236)
|
|
Deferred
taxes
|
|
|
43
|
|
|
|
46
|
|
|
|
49
|
|
|
|
54
|
|
|
|
56
|
|
Average tangible
common equity
|
|
$
|
15,417
|
|
|
|
15,062
|
|
|
|
14,724
|
|
|
|
14,677
|
|
|
|
14,973
|
|
At end of
quarter
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets
|
|
$
|
209,124
|
|
|
|
207,672
|
|
|
|
202,956
|
|
|
|
200,730
|
|
|
|
197,955
|
|
Goodwill
|
|
|
(8,465)
|
|
|
|
(8,465)
|
|
|
|
(8,490)
|
|
|
|
(8,490)
|
|
|
|
(8,501)
|
|
Core deposit and other
intangible assets
|
|
|
(162)
|
|
|
|
(177)
|
|
|
|
(192)
|
|
|
|
(209)
|
|
|
|
(227)
|
|
Deferred
taxes
|
|
|
41
|
|
|
|
44
|
|
|
|
47
|
|
|
|
51
|
|
|
|
54
|
|
Total tangible
assets
|
|
$
|
200,538
|
|
|
|
199,074
|
|
|
|
194,321
|
|
|
|
192,082
|
|
|
|
189,281
|
|
Total common
equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total equity
|
|
$
|
26,197
|
|
|
|
25,801
|
|
|
|
25,377
|
|
|
|
25,318
|
|
|
|
25,256
|
|
Preferred
stock
|
|
|
(2,011)
|
|
|
|
(2,011)
|
|
|
|
(2,011)
|
|
|
|
(2,011)
|
|
|
|
(2,011)
|
|
Common
equity
|
|
|
24,186
|
|
|
|
23,790
|
|
|
|
23,366
|
|
|
|
23,307
|
|
|
|
23,245
|
|
Goodwill
|
|
|
(8,465)
|
|
|
|
(8,465)
|
|
|
|
(8,490)
|
|
|
|
(8,490)
|
|
|
|
(8,501)
|
|
Core deposit and other
intangible assets
|
|
|
(162)
|
|
|
|
(177)
|
|
|
|
(192)
|
|
|
|
(209)
|
|
|
|
(227)
|
|
Deferred
taxes
|
|
|
41
|
|
|
|
44
|
|
|
|
47
|
|
|
|
51
|
|
|
|
54
|
|
Total tangible common
equity
|
|
$
|
15,600
|
|
|
|
15,192
|
|
|
|
14,731
|
|
|
|
14,659
|
|
|
|
14,571
|
|
|
|
|
|
|
(1)
|
After any related tax
effect.
|
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SOURCE M&T Bank Corporation