Financial Performance Highlights - GAAP diluted EPS increased by 28% quarter-over-quarter (QoQ) and 14% year-over-year (YoY)[32] - Return on Assets rose by 23 basis points (bps) QoQ[32] - Return on Common Equity increased by 203 bps QoQ[32] - Provision for Credit Losses declined by 4% QoQ and 17% YoY[32] - Diluted Net Operating EPS increased +27% QoQ and +13% YoY[33] Balance Sheet - Average loans increased by $563 million QoQ[43] - CRE loans declined by 4% (-$926 million), reflecting higher payoffs and the sale of an out-of-footprint portfolio[43] - Consumer loans rose by 4% (+$1 billion), reflecting higher average recreational finance and automobile loans[43] - Average deposits increased by $22 billion or 1% QoQ[47] - Repurchased $11 billion of common shares in 2Q25[39] Income Statement - Noninterest income increased by $72 million or 12% QoQ[52] - Noninterest expense decreased by $79 million, or -6% QoQ[57] - Taxable-equivalent net interest income increased +$15 million or 1% QoQ[38] Credit Quality - Criticized loans decreased -$10 billion QoQ[68]

Core Insights - M&T Bank Corporation reported $2.4 billion in revenue for Q2 2025, a year-over-year increase of 4.1% and an EPS of $4.28 compared to $3.79 a year ago, exceeding Zacks Consensus Estimates [1] - The company achieved a revenue surprise of +0.27% and an EPS surprise of +5.94% compared to consensus estimates [1] Financial Performance Metrics - Efficiency Ratio was 55.2%, better than the estimated 56.2% [4] - Net charge-offs to average total net loans stood at 0.3%, lower than the estimated 0.4% [4] - Net interest margin was 3.6%, slightly below the estimated 3.7% [4] - Average Balance of Total earning assets was $190.54 billion, compared to the estimated $191.75 billion [4] - Tier 1 Capital Ratio was 12.5%, below the estimated 13% [4] - Total Capital Ratio was 14%, compared to the estimated 14.6% [4] - Total other income reached $683 million, exceeding the estimated $640.96 million [4] - Net interest income - taxable-equivalent was $1.72 billion, below the estimated $1.76 billion [4] - Service charges on deposit accounts were $137 million, slightly above the estimated $135.87 million [4] - Trust income was $182 million, close to the estimated $182.67 million [4] - Mortgage banking revenues were $130 million, slightly above the estimated $128.02 million [4] - Net Interest Income was $1.71 billion, compared to the estimated $1.75 billion [4] Stock Performance - M&T Bank shares returned +10.6% over the past month, outperforming the Zacks S&P 500 composite's +4.5% change [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market [3]

Earnings Release Summary [Q2 2025 Earnings Highlights](index=1&type=section&id=Q2%202025%20Earnings%20Highlights) M&T Bank reported strong Q2 2025 earnings with net income of $716 million and diluted EPS of $4.24, driven by stable NII and higher noninterest income | (Dollars in millions, except per share data) | 2Q25 | 1Q25 | 2Q24 | | :--- | :--- | :--- | :--- | | Net income | $716 | $584 | $655 | | Net income available to common shareholders - diluted | $679 | $547 | $626 | | Diluted earnings per common share | $4.24 | $3.32 | $3.73 | | Net interest income | $1,713 | $1,695 | $1,718 | | Noninterest income | $683 | $611 | $584 | | Noninterest expense | $1,336 | $1,415 | $1,297 | | Return on average assets - annualized | 1.37 % | 1.14 % | 1.24 % | | Return on average common shareholders' equity - annualized | 10.39 % | 8.36 % | 9.95 % | | CET1 capital ratio (estimated) | 10.98 % | 11.50 % | 11.45 % | - M&T significantly increased its share repurchase activity, buying back **6.1 million shares** for **$1.1 billion** in Q2 2025, compared to **3.4 million shares** for **$662 million** in Q1 2025[5](index=5&type=chunk) - The Common Equity Tier 1 (CET1) capital ratio decreased by **52 basis points** to an estimated **10.98%** at the end of Q2 2025, primarily reflecting the accelerated share repurchases[5](index=5&type=chunk) [CFO Commentary](index=1&type=section&id=CFO%20Commentary) CFO Daryl N. Bible emphasized consistent profitability, significant capital returns, reduced stress capital buffer, and prudent risk management - The CFO highlighted that **consistent profitability** supported **significant capital return** to shareholders[3](index=3&type=chunk) - A key positive development was the **reduction of M&T's stress capital buffer**, reinforcing the bank's financial strength[3](index=3&type=chunk) - The bank remains focused on **prudent risk management** and **active community involvement**[3](index=3&type=chunk) Financial Performance Analysis [Taxable-equivalent Net Interest Income](index=3&type=section&id=Taxable-equivalent%20Net%20Interest%20Income) Taxable-equivalent net interest income increased 1% QoQ to $1,722 million, driven by asset repricing and lower hedging costs, with a slight NIM decrease | (Dollars in millions) | 2Q25 | 1Q25 | 2Q24 | | :--- | :--- | :--- | :--- | | Average earning assets | $190,535 | $189,116 | $193,676 | | Net interest income - taxable-equivalent | $1,722 | $1,707 | $1,731 | | Net interest margin | 3.62% | 3.66% | 3.59% | - QoQ NII increased by **$15 million**, or **1%**, driven by an extra day of earnings, favorable asset repricing, and lower negative impact from interest rate swaps, partially offset by a **$20 million** reduction in interest income due to an alignment of amortization periods for certain municipal bonds[5](index=5&type=chunk)[8](index=8&type=chunk) - YoY NII decreased by **$9 million**, or **1%**[9](index=9&type=chunk) [Average Earning Assets](index=4&type=section&id=Average%20Earning%20Assets) Average earning assets grew 1% QoQ to $190.5 billion, driven by consumer and residential real estate loans, partially offset by a 2% YoY decrease | (Dollars in millions) | 2Q25 | 1Q25 | 2Q24 | | :--- | :--- | :--- | :--- | | **Total earning assets** | **$190,535** | **$189,116** | **$193,676** | | Interest-bearing deposits at banks | $19,698 | $19,695 | $29,294 | | Investment securities | $35,335 | $34,480 | $29,695 | | Total loans | $135,407 | $134,844 | $134,588 | - QoQ average loans increased by **$563 million**, driven by higher consumer and residential real estate loans, partially offset by a decline in commercial real estate loans, which included the sale of a loan portfolio[13](index=13&type=chunk) - YoY average loans increased by **$819 million**, reflecting growth in commercial & industrial (**+$2.9 billion**) and consumer loans (**+$3.4 billion**), which was largely offset by a **$6.1 billion** decline in commercial real estate loans[13](index=13&type=chunk) [Average Interest-bearing Liabilities](index=5&type=section&id=Average%20Interest-bearing%20Liabilities) Average interest-bearing liabilities increased 2% QoQ to $132.5 billion, driven by growth in savings and interest-checking deposits, remaining flat YoY | (Dollars in millions) | 2Q25 | 1Q25 | 2Q24 | | :--- | :--- | :--- | :--- | | **Total interest-bearing liabilities** | **$132,516** | **$129,938** | **$132,209** | | Total interest-bearing deposits | $118,253 | $115,784 | $115,757 | | Short-term borrowings | $3,327 | $2,869 | $4,962 | | Long-term borrowings | $10,936 | $11,285 | $11,490 | - QoQ, average interest-bearing liabilities increased by **$2.6 billion**, reflecting growth in savings and interest-checking deposits[14](index=14&type=chunk) - YoY, average interest-bearing deposits rose **$2.5 billion**, while average borrowings decreased **$2.2 billion**[15](index=15&type=chunk) [Provision for Credit Losses/Asset Quality](index=6&type=section&id=Provision%20for%20Credit%20Losses%2FAsset%20Quality) Provision for credit losses decreased to $125 million in Q2 2025, reflecting improved asset quality with lower loan loss allowance and reduced nonaccrual loans | (Dollars in millions) | 2Q25 | 1Q25 | 2Q24 | | :--- | :--- | :--- | :--- | | Total provision for credit losses | $125 | $130 | $150 | | Net charge-offs | $108 | $114 | $137 | | Nonaccrual loans | $1,573 | $1,540 | $2,024 | | Allowance for loan losses as % of loans | 1.61% | 1.63% | 1.63% | | Net charge-offs as % of average loans | 0.32% | 0.34% | 0.41% | - The allowance for loan losses as a percentage of loans outstanding decreased to **1.61%** at June 30, 2025, from **1.63%** at March 31, 2025, reflecting lower levels of criticized commercial real estate loans[17](index=17&type=chunk) - Nonaccrual loans decreased significantly to **$1.6 billion** at June 30, 2025, compared to **$2.0 billion** at June 30, 2024, predominantly due to decreases in commercial real estate nonaccrual loans[18](index=18&type=chunk) [Noninterest Income](index=7&type=section&id=Noninterest%20Income) Noninterest income significantly increased to $683 million in Q2 2025, up 12% QoQ and 17% YoY, driven by mortgage banking, trust income, and sales gains | (Dollars in millions) | 2Q25 | 1Q25 | 2Q24 | | :--- | :--- | :--- | :--- | | **Total Noninterest Income** | **$683** | **$611** | **$584** | | Mortgage banking revenues | $130 | $118 | $106 | | Service charges on deposit accounts | $137 | $133 | $127 | | Trust income | $182 | $177 | $170 | | Other revenues from operations | $191 | $142 | $152 | - QoQ, other revenues from operations increased by **$49 million**, which included a **$15 million** gain on the sale of a loan portfolio and a **$10 million** gain on the sale of a subsidiary[22](index=22&type=chunk) - YoY, noninterest income rose **$99 million** (**17%**), with mortgage banking revenues up **$24 million**, service charges up **$10 million**, and trust income up **$12 million**[20](index=20&type=chunk)[22](index=22&type=chunk) [Noninterest Expense](index=8&type=section&id=Noninterest%20Expense) Noninterest expense decreased 6% QoQ to $1,336 million due to lower salaries, while increasing 3% YoY from higher staffing and software costs, improving efficiency | (Dollars in millions) | 2Q25 | 1Q25 | 2Q24 | | :--- | :--- | :--- | :--- | | **Total Noninterest Expense** | **$1,336** | **$1,415** | **$1,297** | | Salaries and employee benefits | $813 | $887 | $764 | | Outside data processing and software | $138 | $136 | $124 | | FDIC assessments | $22 | $23 | $37 | - QoQ expenses decreased by **$79 million**, mainly due to a **$74 million** drop in salaries and benefits expense, which reflected seasonally higher costs (stock-based compensation, payroll taxes) in Q1[23](index=23&type=chunk) - YoY expenses increased by **$39 million**, driven by a **$49 million** rise in salaries and benefits and a **$14 million** increase in software costs, partially offset by lower FDIC assessments[24](index=24&type=chunk)[29](index=29&type=chunk) Capital Management [Capital Ratios and Share Repurchases](index=8&type=section&id=Capital%20Ratios%20and%20Share%20Repurchases) M&T's CET1 ratio declined to 10.98% due to $1.1 billion in share repurchases, but capital flexibility is enhanced by a reduced stress capital buffer | Capital Ratios | 2Q25 (Est.) | 1Q25 | 2Q24 | | :--- | :--- | :--- | :--- | | CET1 | 10.98% | 11.50% | 11.45% | | Tier 1 capital | 12.50% | 13.04% | 13.23% | | Total capital | 13.96% | 14.50% | 14.88% | - M&T repurchased **6,073,957 shares** of common stock for a total cost of **$1.1 billion** during Q2 2025[30](index=30&type=chunk) - Based on recent supervisory stress test results, M&T's stress capital buffer is estimated to decrease from **3.8%** to **2.7%** effective October 1, 2025[27](index=27&type=chunk) Financial Statements [Financial Highlights](index=11&type=section&id=Financial%20Highlights) This section presents M&T's financial performance via YoY and five-quarter trends, highlighting solid net income and EPS growth, and a strong Q2 2025 rebound Financial Highlights (YTD and YoY Comparison) | (Dollars in millions, except per share) | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--- | :--- | :--- | :--- | :--- | | Net income | $716 | $655 | $1,300 | $1,186 | | Diluted earnings per common share | $4.24 | $3.73 | $7.55 | $6.76 | | Return on average total assets | 1.37% | 1.24% | 1.25% | 1.13% | | Return on average common equity | 10.39% | 9.95% | 9.37% | 9.05% | Financial Highlights (Five Quarter Trend) | (Dollars in millions) | 2Q25 | 1Q25 | 4Q24 | 3Q24 | 2Q24 | | :--- | :--- | :--- | :--- | :--- | :--- | | Net income | $716 | $584 | $681 | $721 | $655 | | Diluted earnings per common share | $4.24 | $3.32 | $3.86 | $4.02 | $3.73 | | Net interest margin | 3.62% | 3.66% | 3.58% | 3.62% | 3.59% | | Efficiency ratio | 55.2% | 60.5% | 56.8% | 55.0% | 55.3% | [Condensed Consolidated Statement of Income](index=13&type=section&id=Condensed%20Consolidated%20Statement%20of%20Income) M&T's Q2 2025 income statement shows stable net interest income, a 17% decrease in provision for credit losses, and a 17% increase in other income, driving a 9% net income rise Condensed Consolidated Statement of Income (YoY) | (Dollars in millions) | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Change | | :--- | :--- | :--- | :--- | | Net interest income | $1,713 | $1,718 | —% | | Provision for credit losses | $125 | $150 | -17% | | Total other income | $683 | $584 | 17% | | Total other expense | $1,336 | $1,297 | 3% | | **Net income** | **$716** | **$655** | **9%** | [Condensed Consolidated Balance Sheet](index=15&type=section&id=Condensed%20Consolidated%20Balance%20Sheet) M&T's total assets reached $211.6 billion as of June 30, 2025, driven by increased investment securities and net loans, funded by 3% growth in total deposits Condensed Consolidated Balance Sheet (YoY) | (Dollars in millions) | June 30, 2025 | June 30, 2024 | Change | | :--- | :--- | :--- | :--- | | **ASSETS** | | | | | Investment securities | $35,568 | $29,894 | 19% | | Net loans | $133,919 | $132,798 | 1% | | **Total assets** | **$211,584** | **$208,855** | **1%** | | **LIABILITIES AND EQUITY** | | | | | Total deposits | $164,453 | $159,910 | 3% | | Total borrowings | $14,451 | $16,083 | -10% | | Total shareholders' equity | $28,525 | $28,424 | —% | [Condensed Consolidated Average Balance Sheet](index=17&type=section&id=Condensed%20Consolidated%20Average%20Balance%20Sheet) This schedule details average balances and annualized rates for interest-earning assets and liabilities, showing a Q2 2025 net interest spread of 2.80% and margin of 3.62% Average Balances and Rates (Q2 2025) | (Dollars in millions) | Balance | Rate | | :--- | :--- | :--- | | Total earning assets | $190,535 | 5.51% | | Total interest-bearing liabilities | $132,516 | 2.71% | | Net interest spread | | 2.80% | | Net interest margin | | 3.62% | Reconciliation of GAAP to Non-GAAP Measures M&T presents non-GAAP measures, including net operating income of $724 million and 15.54% return on average tangible common equity, for core operational insights - Management uses **non-GAAP measures** like "**net operating**" or "**tangible**" results, which exclude the after-tax effects of amortization of intangible assets and merger-related expenses, to assess **core performance**[7](index=7&type=chunk) Key Non-GAAP Measures (Q2 2025 vs Q2 2024) | (Dollars in millions, except per share data) | 2Q25 | 2Q24 | | :--- | :--- | :--- | | Net operating income | $724 | $665 | | Diluted net operating earnings per common share | $4.28 | $3.79 | | Annualized return on average tangible common equity | 15.54% | 15.27% | | Efficiency ratio | 55.2% | 55.3% | | Tangible equity per common share | $112.48 | $102.42 | - The detailed reconciliation tables show the **specific adjustments** made to GAAP figures, such as adding back amortization of core deposit and other intangible assets to calculate **net operating income** and **noninterest operating expense**[50](index=50&type=chunk)[51](index=51&type=chunk) Other Information [Conference Call Information](index=9&type=section&id=Conference%20Call%20Information) M&T will host an investor conference call on July 16, 2025, at 11:00 a.m. ET to discuss Q2 financial results, with dial-in and webcast details - An investor conference call to discuss Q2 results is scheduled for **11:00 a.m. Eastern Time** on **July 16, 2025**, with dial-in and webcast information provided for participation[31](index=31&type=chunk) [Forward-Looking Statements](index=10&type=section&id=Forward-Looking%20Statements) This section contains forward-looking statements subject to various risks and uncertainties, including economic and regulatory changes, detailed in SEC filings - The report contains **forward-looking statements** subject to **risks and uncertainties** that could cause actual results to differ materially[34](index=34&type=chunk)[35](index=35&type=chunk) - A non-exhaustive list of important risk factors includes **economic conditions**, **interest rate changes**, **competition**, and **regulatory changes**[37](index=37&type=chunk) - M&T directs stakeholders to its **Form 10-K** for a more detailed description of risks and uncertainties and states it has no duty to update forward-looking statements[39](index=39&type=chunk)

Core Viewpoint - M&T Bank Corporation reported a strong financial performance for the second quarter of 2025, with a net income of $716 million, or $4.24 per diluted share, reflecting a 9% increase compared to the same quarter in 2024 [1][44]. Financial Performance - Net interest income for 2Q25 was $1,713 million, slightly up from $1,695 million in 1Q25 but down from $1,718 million in 2Q24 [2]. - Noninterest income increased to $683 million in 2Q25, a 12% rise from $611 million in 1Q25 and a 17% increase from $584 million in 2Q24 [21][23]. - Noninterest expense decreased to $1,336 million in 2Q25 from $1,415 million in 1Q25, but increased from $1,297 million in 2Q24 [27][28]. Asset Quality - The provision for credit losses was $125 million in 2Q25, down from $130 million in 1Q25 and $150 million in 2Q24, indicating improved asset quality [19][44]. - Nonaccrual loans decreased to $1.573 billion in 2Q25 from $2.024 billion in 2Q24, reflecting a 22% improvement [20][44]. Capital Management - M&T repurchased 6,073,957 shares of common stock for a total cost of $1.1 billion in 2Q25, compared to 3,415,303 shares for $662 million in 1Q25 [33]. - The Common Equity Tier 1 (CET1) capital ratio was estimated at 10.98% as of June 30, 2025, down from 11.50% at the end of 1Q25 [30][32]. Efficiency and Returns - The efficiency ratio improved to 55.2% in 2Q25 from 60.5% in 1Q25, indicating better cost management [2][27]. - Return on average assets was 1.37% in 2Q25, up from 1.14% in 1Q25, while return on average common shareholders' equity was 10.39%, an increase from 8.36% in 1Q25 [2][44].

Core Viewpoint - M&T Bank Corporation (MTB) is expected to report year-over-year increases in quarterly revenues and earnings for Q2 2025, despite challenges such as a fall in loan balance and rising expenses in the previous quarter [1][10]. Group 1: Financial Performance Expectations - The consensus estimate for MTB's Q2 2025 earnings is $4.03 per share, reflecting a 6.3% increase from the previous year [13]. - The consensus estimate for revenues is $2.39 billion, indicating a 3.6% rise from the prior-year reported level [13]. - MTB's management anticipates a modest rise in average loans for Q2 2025, contributing to the growth of average interest-earning assets, which is estimated at $191.8 billion, a 1.4% increase from the prior quarter [4]. Group 2: Net Interest Income (NII) and Fee Income - The Zacks Consensus Estimate for NII (on a tax-equivalent basis) is projected at $1.75 billion, representing a 3.1% increase from the previous quarter [5]. - Management expects higher average total deposits in Q2 2025, which is likely to enhance revenues from service charges on deposit accounts, with a consensus estimate of $135.9 million, a 2.2% rise from the prior quarter [6]. - Mortgage banking fees are expected to improve, with the consensus estimate pegged at $128 million, indicating an 8.5% rise from the previous quarter [8]. Group 3: Expense Management - MTB's management projects a sequential decline in total expenses for Q2 2025, primarily due to lower seasonal compensation costs, with total expenses estimated at $1.37 billion, reflecting a 3.4% decrease [11]. - Despite pressures on NII and concerns regarding expenses, the company is expected to post higher earnings and revenues, supported by mortgage and deposit fees [10]. Group 4: Earnings Surprise Potential - The company has surpassed consensus estimates in three of the last four quarters, with an average negative earnings surprise of 6.67% [2]. - The Earnings ESP for MTB is +0.12%, indicating a favorable outlook for beating estimates this time [12].

Earnings Report - M&T Bank Corporation is set to release its second-quarter earnings results on July 16, with analysts expecting earnings of $4.00 per share, an increase from $3.79 per share in the same period last year [1] - The projected quarterly revenue is $2.39 billion, compared to $2.3 billion a year earlier [1] Partnership Development - On June 5, M&T Bank and the Galesi Group announced a partnership aimed at revitalizing Schenectady's Mohawk Harbor [2] - Following the announcement, M&T Bank shares rose by 1.8%, closing at $204.05 [2] Analyst Ratings - Citigroup analyst Keith Horowitz maintained a Neutral rating and raised the price target from $200 to $212 [5] - Morgan Stanley analyst Manan Gosalia maintained an Overweight rating and increased the price target from $206 to $215 [5] - RBC Capital analyst Gerard Cassidy reiterated an Outperform rating with a price target of $200 [5] - Truist Securities analyst Brian Foran maintained a Buy rating but reduced the price target from $225 to $200 [5] - RBC Capital analyst Brad Erickson maintained an Outperform rating and lowered the price target from $208 to $200 [5]

Core Viewpoint - Analysts project that M&T Bank Corporation (MTB) will report quarterly earnings of $4.03 per share, a 6.3% increase year over year, with revenues expected to reach $2.39 billion, up 3.6% from the same quarter last year [1]. Earnings Projections - The consensus EPS estimate has been revised down by 0.2% in the past 30 days, indicating a reassessment by covering analysts [2]. - Changes in earnings projections are crucial for predicting investor reactions, as empirical studies show a strong correlation between earnings estimate trends and short-term stock price movements [3]. Key Financial Metrics - Analysts forecast the 'Efficiency Ratio' to be 56.3%, compared to 55.3% a year ago [4]. - The 'Net Interest Margin' is expected to reach 3.7%, up from 3.6% in the same quarter last year [5]. - The 'Average Balance - Total Earning Assets' is projected at $191.73 billion, down from $193.68 billion year over year [5]. - The 'Tier 1 Leverage' is estimated at 10.1%, slightly up from 10.0% a year ago [5]. - The 'Tier 1 Capital Ratio' is expected to be 12.9%, down from 13.2% year over year [6]. - The 'Total Capital Ratio' is projected at 14.6%, compared to 14.9% a year ago [6]. - 'Total Other Income' is estimated at $638.93 million, up from $584.00 million year over year [6]. Revenue Estimates - The consensus for 'Net Interest Income - Taxable-Equivalent' stands at $1.76 billion, compared to $1.73 billion in the same quarter last year [7]. - 'Service Charges on Deposit Accounts' are estimated at $135.70 million, up from $127.00 million year over year [7]. - 'Trust Income' is projected to reach $181.34 million, compared to $170.00 million in the same quarter last year [8]. - 'Mortgage Banking Revenues' are expected to be $126.99 million, up from $106.00 million year over year [8]. - 'Net Interest Income' is anticipated to be $1.74 billion, compared to $1.72 billion a year ago [9]. Stock Performance - Over the past month, M&T Bank shares have returned +10.9%, outperforming the Zacks S&P 500 composite's +4.1% change [9].

Core Viewpoint - M&T Bank Corporation (MTB) is anticipated to report a year-over-year increase in earnings driven by higher revenues for the quarter ended June 2025, with a consensus EPS estimate of $4.03, reflecting a 6.3% increase from the previous year, and revenues expected to reach $2.39 billion, up 3.6% [1][3]. Earnings Expectations - The upcoming earnings report is scheduled for July 16, and the stock may rise if the reported figures exceed expectations, while a miss could lead to a decline [2]. - The consensus EPS estimate has been revised down by 0.04% over the last 30 days, indicating a slight reassessment by analysts [4]. Earnings Surprise Prediction - The Most Accurate Estimate for M&T Bank is higher than the Zacks Consensus Estimate, resulting in a positive Earnings ESP of +0.12%, suggesting a bullish outlook from analysts [12]. - The stock currently holds a Zacks Rank of 3, indicating a moderate outlook, but the combination of a positive Earnings ESP suggests a likelihood of beating the consensus EPS estimate [12]. Historical Performance - In the last reported quarter, M&T Bank was expected to post earnings of $3.41 per share but delivered $3.38, resulting in a surprise of -0.88% [13]. - Over the past four quarters, M&T Bank has beaten consensus EPS estimates three times [14]. Industry Comparison - State Street Corporation (STT), another player in the banking sector, is expected to report an EPS of $2.38 for the same quarter, reflecting a year-over-year change of +10.7%, with revenues projected at $3.37 billion, up 5.7% [18][19]. - State Street's consensus EPS estimate has been revised 2.6% higher recently, but a lower Most Accurate Estimate has resulted in a negative Earnings ESP of -0.08%, making it challenging to predict a beat [19][20].

Core Viewpoint - U.S. Bancorp (USB) and M&T Bank Corporation (MTB) are both U.S. regional banks facing similar market pressures but have distinct growth strategies and geographic exposures [1][2]. Group 1: U.S. Bancorp (USB) - USB has undertaken strategic initiatives to enhance its market position, including acquisitions and partnerships to boost digital capabilities and diversify revenue streams [3][4]. - The company has seen a rise in net interest income (NII) and expects continued growth supported by investment portfolio repositioning and stabilizing funding costs [4][5]. - Management projects total revenues for 2025 to grow by 3-5% from $27.6 billion reported in 2024, driven by growth in non-interest income and NII [5]. - As of March 31, 2025, USB had a long-term debt of $59.9 billion and $17 billion in short-term borrowings, with cash and due from banks amounting to $50 billion, indicating a strong liquidity position [6]. - USB plans to increase its quarterly dividend by 4% to 52 cents per share and continues its $5 billion share repurchase program, with $4.9 billion remaining [7][9]. - USB trades below its five-year median P/E of 10.75 and the industry average of 11.13, making it attractive for value investors [18][21]. Group 2: M&T Bank Corporation (MTB) - MTB has demonstrated significant revenue growth, with expectations for higher NII driven by modest lending demand and Fed rate cuts [10][11]. - The company recorded solid loan and deposit growth, bolstered by the acquisition of People's United in 2022, which added $36 billion in loans and $53 billion in deposits [11][12]. - MTB's management anticipates average loans and leases to be between $135 billion and $137 billion, with total deposits projected at $162–$164 billion for 2025 [12]. - As of March 31, 2025, MTB had total borrowings of $12.1 billion and cash and interest-bearing deposits of $22.8 billion, reflecting a healthy financial position [13]. - MTB has also passed the stress test and increased its quarterly dividends by 4% to $1.35 per share, with a share repurchase program authorized for up to $4 billion [14]. Group 3: Comparative Analysis - Over the past three months, USB and MTB shares increased by 19.9% and 20.9%, respectively, outperforming the industry and S&P 500 [15]. - USB's forward P/E ratio is 10.33, lower than its five-year median and industry average, while MTB's P/E is 11.42, higher than its five-year median [18][21]. - Earnings estimates for USB indicate an 8% rise for 2025, while MTB's estimates show an 8.5% increase for the same year, with upward revisions for MTB's 2026 estimates [22][24]. - USB is viewed as a more compelling investment choice for value-oriented investors due to its lower valuation and broader strategic initiatives [25][26].

Core Viewpoint - M&T Bank Corporation is set to announce its second quarter 2025 earnings results on July 16, 2025, before the market opens, followed by a conference call and webcast to discuss the results [1]. Group 1: Earnings Announcement - The earnings results will be released in a press release prior to market opening on July 16, 2025 [1]. - A conference call and webcast will take place at 11:00 a.m. (ET) on the same day to discuss the earnings results [1]. Group 2: Participation Details - Domestic callers can participate by dialing toll-free (800) 347-7315, while international participants can call (785) 424-1755 [2]. - Callers should reference M&T Bank Corporation or the conference ID MTBQ225 during the call [2]. Group 3: Replay Information - A replay of the conference call will be available until July 23, 2025, through specific phone numbers for domestic and international participants [3]. - The webcast archive will be accessible on M&T's website by 3:00 p.m. on July 16, 2025 [3]. Group 4: Company Overview - M&T Bank Corporation is a financial holding company based in Buffalo, New York, with a banking network across the eastern U.S. [4]. - The principal banking subsidiary, M&T Bank, offers a range of banking products and services, including trust-related services in select markets [4].