Group 1 - Webster Financial Corporation operates as a commercial bank across the Northeast [1] - The company focuses on commercial banking, healthcare financial services, and consumer banking [1]

Core Viewpoint - Webster Financial Corporation has demonstrated strong financial performance in Q4 2025, with a focus on maintaining a sustainable dividend despite a freeze since 2019 [2][4][7]. Financial Performance - Webster reported an adjusted EPS of $1.59 for Q4 2025, an increase from $1.43 a year earlier [2]. - The company earned $5.90 per share over the trailing twelve months, resulting in a 27.1% payout ratio for the annual dividend of $1.60 per share [4][5]. Dividend Analysis - The annual dividend is $1.60 per share, with a dividend yield of 2.22% [3]. - The dividend has been maintained at $0.40 per quarter for seven consecutive years, with the most recent ex-dividend date on February 9, 2026 [3][6]. - The payout ratio based on operating cash flow is 20.7%, indicating strong dividend safety, with free cash flow covering the dividend 4.70 times [5][7]. Capital Management Strategy - Management has prioritized building capital and investing in organic growth, particularly in healthcare banking, rather than increasing dividends [6][7]. - The company repurchased 10.9 million shares in 2025 while maintaining a CET1 ratio of 11.2%, above its 11% target [7].