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8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D. C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d)

of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): April 17, 2023

M&T BANK CORPORATION

(Exact name of registrant as specified in its charter)

New York

(State or other jurisdiction of incorporation)


1-9861		16-0968385
(Commission File Number)		(I.R.S. Employer Identification No.)

One M&T Plaza, Buffalo, New York		14203
(Address of principal executive offices)		(Zip Code)

Registrant’s telephone number, including area code: (716) 635-4000

(NOT APPLICABLE)

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:


Title of Each Class	Trading Symbols	Name of Each Exchange on Which Registered
Common Stock, $.50 par value	MTB	New York Stock Exchange
Perpetual Fixed-to-Floating Rate Non-Cumulative Preferred Stock, Series H	MTBPrH	New York Stock Exchange

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 2.02. Results of Operations and Financial Condition.

On April 17, 2023, M&T Bank Corporation announced its results of operations for the quarter ended March 31, 2023. The public announcement was made by means of a news release, the text of which is set forth in Exhibit 99.1 hereto.

The information under Item 2.02 in this Form 8-K, including Exhibit 99.1 attached hereto, is being furnished and shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 (the “Exchange Act”), or otherwise subject to the liability of such section, nor shall it be deemed incorporated by reference in any filing of M&T Bank Corporation under the Securities Act of 1933 or the Exchange Act, regardless of any general incorporation language in such filing, unless expressly incorporated by specific reference in such filing.

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits.


Exhibit No.		Exhibit Description

99.1		News Release dated April 17, 2023.
104		Cover Page Interactive Data File (embedded within the Inline XBRL document).

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.


	M&T BANK CORPORATION

Date: April 17, 2023	By:	/s/ Darren J. King
		Darren J. King
		Senior Executive Vice President and Chief Financial Officer

EX-99

Exhibit 99.1


				FOR IMMEDIATE RELEASE:
				April 17, 2023

M&T BANK CORPORATION ANNOUNCES FIRST QUARTER RESULTS

BUFFALO, NEW YORK -- M&T Bank Corporation (“M&T”) (NYSE: MTB) today reported its results of operations for the quarter ended March 31, 2023.

GAAP Results of Operations. Diluted earnings per common share measured in accordance with generally accepted accounting principles (“GAAP”) were $4.01 in the first quarter of 2023, compared with $2.62 in the year-earlier quarter and $4.29 in the fourth quarter of 2022. GAAP-basis net income was $702 million in the recent quarter, $362 million in the first quarter of 2022 and $765 million in the final 2022 quarter. GAAP-basis net income expressed as an annualized rate of return on average assets and average common shareholders' equity was 1.40% and 11.74%, respectively, in the first quarter of 2023, compared with .97% and 8.55%, respectively, in the corresponding 2022 period and 1.53% and 12.59%, respectively, in the fourth quarter of 2022. Non-operating merger-related expenses associated with the April 1, 2022 acquisition of People's United Financial, Inc. ("People's United") totaled $17 million ($13 million after-tax effect, or $.10 of diluted earnings per common share) in 2022's first quarter and $45 million ($33 million after-tax effect, or $.20 of diluted earnings per common share) in the fourth quarter of 2022. M&T incurred no merger-related expenses in the first quarter of 2023.

Darren J. King, Chief Financial Officer, commenting on M&T’s results noted, "The strength of M&T's diversified community banking model and prudent management have positioned M&T to continue to deliver for our customers. First quarter net income nearly doubled from the year-earlier quarter. These results reflect loan growth, steady credit quality, a strong liquidity position and, as in past years, seasonally higher salaries and employee benefits expense. M&T's estimated Common Equity Tier 1 ratio was 10.15% at March 31, 2023 compared with 10.44% at last year's end."

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Earnings Highlights

										Change 1Q23 vs.
($ in millions, except per share data)	1Q23			1Q22			4Q22			1Q22			4Q22

Net income	$	702		$	362		$	765			94	%		-8	%
Net income available to common shareholders ̶ diluted	$	676		$	340		$	739			99	%		-9	%
Diluted earnings per common share	$	4.01		$	2.62		$	4.29			53	%		-7	%
Annualized return on average assets		1.40	%		.97	%		1.53	%
Annualized return on average common equity		11.74	%		8.55	%		12.59	%

Supplemental Reporting of Non-GAAP Results of Operations. 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 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, travel costs and, in the second quarter of 2022, an initial provision for credit losses of $242 million on loans not deemed to be purchased credit deteriorated ("PCD") on the April 1, 2022 acquisition date of People's United. Given the requirement under GAAP to recognize such losses above and beyond the impact of forecasted losses used in determining the fair value of acquired loans, M&T considers that initial provision to be a merger-related expense. Although "net operating income" as defined by M&T is not a GAAP measure, M&T's management believes that this information helps investors understand the effect of acquisition activity in reported results. 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 first quarter of 2023.

Diluted net operating earnings per common share were $4.09 in the first quarter of 2023, $2.73 in the year-earlier quarter and $4.57 in last year's fourth quarter. Net operating income was $715 million in 2023's initial quarter, compared with $376 million in the first quarter of 2022 and $812 million in the final quarter of 2022. Net operating income expressed as an annualized rate of return on average tangible assets and average tangible common shareholders' equity was 1.49% and 19.00%, respectively, in the first quarter of 2023, compared with 1.04% and 12.44%, respectively, in the corresponding 2022 quarter and 1.70% and 21.29%, respectively, in the fourth quarter of 2022.

Taxable-equivalent Net Interest Income. Net interest income expressed on a taxable-equivalent basis totaled $1.832 billion in the recent quarter, up 102% from $907 million earned in the first quarter of 2022. That improvement reflected a $45.4 billion or 33% increase in average earning assets, largely attributable to the acquisition of People's United, and a 139 basis point widening of the net interest margin to 4.04% from 2.65%

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M&T BANK CORPORATION

resulting from a rising interest rate environment. In the fourth quarter of 2022, taxable-equivalent net interest income was $1.841 billion, the net interest margin was 4.06% and average earning assets were $179.9 billion. The modestly lower taxable-equivalent net interest income in the recent quarter as compared with 2022's fourth quarter is reflective of two fewer days in the first quarter of 2023 while the impact of the slightly lower net interest margin was offset by a $4.16 billion increase in average earning assets.



Taxable-equivalent Net Interest Income

										Change 1Q23 vs.
($ in millions)	1Q23			1Q22			4Q22			1Q22			4Q22

Average earning assets	$	184,069		$	138,624		$	179,914			33	%		2	%
Net interest income ̶ taxable-equivalent	$	1,832		$	907		$	1,841			102	%		—
Net interest margin		4.04	%		2.65	%		4.06	%

Provision for Credit Losses/Asset Quality. M&T recorded a provision for credit losses of $120 million in the first quarter of 2023, up from $10 million in the year-earlier quarter and $90 million in the fourth quarter of 2022. The higher levels of provision in the two most recent quarters as compared with 2022's first quarter reflect the impact of weaker forecasted economic conditions on several loan categories and higher outstanding loan balances on which to estimate credit losses. Charge-offs of loans, net of recoveries of previously charged-off loans, were $70 million in the first quarter of 2023, $7 million in the first quarter of 2022 and $40 million in 2022’s fourth quarter. Net charge-offs expressed as an annualized percentage of average loans outstanding were .22% and .03% in the first quarters of 2023 and 2022, respectively, and .12% in the fourth quarter of 2022.

Nonaccrual loans were $2.56 billion or 1.92% of loans outstanding at March 31, 2023 compared with $2.44 billion or 1.85% at December 31, 2022 and $2.13 billion or 2.32% at March 31, 2022. The balance of nonaccrual loans at the end of the two most recent quarters as compared with March 31, 2022 reflects loans obtained in the acquisition of People’s United that totaled $605 million and $572 million at March 31, 2023 and December 31, 2022, respectively. Assets taken in foreclosure of defaulted loans were $44 million at March 31, 2023, $24 million at March 31, 2022 and $41 million at December 31, 2022.

Allowance for Credit Losses. For purposes of determining the adequacy of the allowance for credit losses M&T regularly performs comprehensive analyses of its loan portfolios and assesses forecasted economic conditions. As a result of those procedures and reflecting the impact of loan growth, the allowance for credit losses totaled $1.98 billion or 1.49% of loans outstanding at March 31, 2023 compared with $1.47 billion or 1.60% of loans outstanding at March 31, 2022 and $1.93 billion or 1.46% at December 31, 2022. The acquisition of People’s United loans and leases resulted in a $341 million increase in the allowance for credit losses as of April 1, 2022, including $99 million related to PCD loans and $242 million related to non-PCD loans. Including the impact of the acquisition, M&T’s allowance for credit losses was $1.81 billion on April 1, 2022, or 1.42% of then outstanding loans.

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M&T BANK CORPORATION


Asset Quality Metrics
										Change 1Q23 vs.
($ in millions)	1Q23			1Q22			4Q22			1Q22			4Q22

At end of quarter
Nonaccrual loans	$	2,557		$	2,134		$	2,439			20	%		5	%
Real estate and other foreclosed assets	$	44		$	24		$	41			89	%		8	%
Total nonperforming assets	$	2,601		$	2,158		$	2,480			21	%		5	%
Accruing loans past due 90 days or more (1)	$	407		$	777		$	491			-48	%		-17	%
Nonaccrual loans as % of loans outstanding		1.92	%		2.32	%		1.85	%

Allowance for credit losses	$	1,975		$	1,472		$	1,925			34	%		3	%
Allowance for credit losses as % of loans outstanding		1.49	%		1.60	%		1.46	%

For the period
Provision for credit losses	$	120		$	10		$	90			—			33	%
Net charge-offs	$	70		$	7		$	40			—			74	%
Net charge-offs as % of average loans (annualized)		.22	%		.03	%		.12	%

(1)

Predominantly government-guaranteed residential real estate loans.

Noninterest Income and Expense. Noninterest income totaled $587 million in the first quarter of 2023, compared with $541 million in the year-earlier quarter. The increase reflects the impact from People's United (predominantly service charges on deposit accounts, credit-related fees and trust income), offset, in part, by a decline in mortgage banking revenues resulting from lower gains on sales of residential mortgage loans originated for sale and a decrease in residential mortgage servicing income, lower insurance revenues reflecting the sale of M&T Insurance Agency ("MTIA") in last year's fourth quarter and a reduced distribution from Bayview Lending Group LLC ("BLG") as compared with the year-earlier quarter. Noninterest income was $682 million in 2022’s fourth quarter. The comparative decrease in the recent quarter was driven by the $136 million gain recorded on the sale of MTIA in the fourth quarter of 2022, partially offset by a $20 million distribution from BLG received in the first quarter of 2023.


Noninterest Income

									Change 1Q23 vs.
($ in millions)	1Q23		1Q22			4Q22			1Q22			4Q22

Mortgage banking revenues	$	85	$	109		$	82			-22	%		4	%
Service charges on deposit accounts		113		102			106			12	%		7	%
Trust income		194		169			195			15	%		-1	%
Brokerage services income		24		20			22			19	%		7	%
Trading account and non-hedging derivative gains		12		5			14			117	%		-17	%
Gain (loss) on bank investment securities		—		(1	)		(4	)		—			—
Other revenues from operations		159		137			267			17	%		-40	%
Total	$	587	$	541		$	682			9	%		-14	%

Trust income associated with M&T's Collective Investment Trust business that is expected to be sold in the current quarter totaled approximately $45 million in the first quarter of 2023, compared with $42 million in each of the first and fourth quarters of 2022. After considering expenses, the results of operations of that business were not material to M&T's net income in each of those periods. In addition to expenses associated

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with those operations, professional services expense associated with the pending sale was $5 million in the recent quarter.

Noninterest expense totaled $1.359 billion in the first quarter of 2023, compared with $960 million in the similar quarter of 2022 and $1.408 billion in the fourth quarter of 2022. Excluding expenses considered to be nonoperating in nature, such as amortization of core deposit and other intangible assets and merger-related expenses, noninterest operating expenses were $1.342 billion in the recent quarter, $941 million in the first quarter of 2022 and $1.346 billion in 2022’s fourth quarter. The higher level of operating expenses in the recent quarter as compared with the year-earlier quarter reflects the impact of operations obtained in the People's United acquisition, higher salaries and employee benefits expense, including incentive compensation, a rise in outside data processing and software costs, advertising and marketing expenses, FDIC assessments and professional services. The decline of operating expenses in the recent quarter as compared with the fourth quarter of 2022 reflects a $135 million contribution to The M&T Charitable Foundation recorded in the 2022 quarter, partially offset by higher salaries and employee benefits expense, including approximately $99 million of seasonally higher stock-based compensation, payroll-related taxes and other employee benefits expense. Those seasonal expenses totaled $74 million in the first quarter of 2022.


Noninterest Expense

							Change 1Q23 vs.
($ in millions)	1Q23		1Q22		4Q22		1Q22			4Q22

Salaries and employee benefits	$	808	$	578	$	697		40	%		16	%
Equipment and net occupancy		127		86		137		48	%		-7	%
Outside data processing and software		106		80		108		33	%		-2	%
FDIC assessments		30		16		24		91	%		24	%
Advertising and marketing		31		16		32		94	%		-5	%
Printing, postage and supplies		14		10		15		40	%		-6	%
Amortization of core deposit and other intangible assets		17		1		18		—			-2	%
Other costs of operations		226		173		377		30	%		-40	%
Total	$	1,359	$	960	$	1,408		42	%		-3	%

The efficiency ratio, or noninterest operating expenses divided by the sum of taxable-equivalent net interest income and noninterest income (exclusive of gains and losses from bank investment securities), measures the relationship of operating expenses to revenues. M&T's efficiency ratio was 55.5% in the first quarter of 2023, 64.9% in the year-earlier quarter and 53.3% in the fourth quarter of 2022.

Balance Sheet. M&T had total assets of $203.0 billion at March 31, 2023, compared with $149.9 billion and $200.7 billion at March 31, 2022 and December 31, 2022, respectively. Loans and leases, net of unearned discount, were $132.9 billion at March 31, 2023, compared with $91.8 billion at March 31, 2022 and $131.6 billion at December 31, 2022. The higher level of loans and leases at the recent quarter-end and December 31, 2022 as compared with March 31, 2022 is largely a reflection of balances associated with the acquisition of People’s United. Also reflective of that acquisition, total deposits were $159.1 billion at the recent quarter-end

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M&T BANK CORPORATION

and $163.5 billion at December 31, 2022, compared with $126.3 billion at March 31, 2022. The three percent decline in total deposits since December 31, 2022 includes the impact of seasonal decreases and customer use of off-balance sheet investment products.

Total shareholders' equity was $25.4 billion or 12.50% of total assets at March 31, 2023, $17.9 billion or 11.93% at March 31, 2022 and $25.3 billion or 12.61% at December 31, 2022. Common shareholders' equity was $23.4 billion, or $140.88 per share, at March 31, 2023, compared with $16.1 billion, or $124.93 per share, a year earlier and $23.3 billion, or $137.68 per share, at December 31, 2022. Tangible equity per common share was $88.81 at March 31, 2023, $89.33 at March 31, 2022 and $86.59 at December 31, 2022. In the calculation of tangible equity per common share, common shareholders' equity is reduced by the carrying values of goodwill and core deposit and other intangible assets, net of applicable deferred tax balances. M&T estimates that the ratio of Common Equity Tier 1 to risk-weighted assets under regulatory capital rules was approximately 10.15% at March 31, 2023, compared with 10.44% three months earlier.

M&T repurchased 3,838,157 shares of its common stock in accordance with its capital plan during the recent quarter at an average cost per share of $154.76 resulting in a total cost, including the share repurchase excise tax, of $600 million, compared with 3,664,887 shares at an average cost per share of $163.72 and total cost of $600 million in the fourth quarter of 2022. No share repurchases occurred in the first quarter of 2022.

Conference Call. Investors will have an opportunity to listen to M&T's conference call to discuss first quarter financial results today at 11:00 a.m. Eastern Time. Those wishing to participate in the call may dial (800) 225-9448. International participants, using any applicable international calling codes, may dial (203) 518-9708. Callers should reference M&T Bank Corporation or the conference ID #MTBQ123. 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 Monday April 24, 2023 by calling (800) 753-6121, or (402) 220-2676 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.

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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. Statements regarding M&T's expectations, including statements regarding expected financial results, prospects, targets, goals and outlook, are also forward-looking statements.

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 the People's United transaction (as described in the next paragraph); economic conditions including inflation and market volatility; international conflicts, domestic or international political developments and other geopolitical events; the impact of the COVID-19 pandemic; 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 of 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; legislation and/or regulations affecting the financial services industry, and/or M&T and its subsidiaries individually or collectively, including tax policy; regulatory supervision and oversight, including monetary policy and capital requirements; governmental and public policy changes; 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.

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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, 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.


INVESTOR CONTACT:		Brian Klock
		(716) 842-5138

MEDIA CONTACT:		Maya Dillon
		(646) 735-1958

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M&T BANK CORPORATION

Financial Highlights


	Three months ended
	March 31
Amounts in thousands, except per share	2023			2022			Change
Performance
Net income	$	701,624			362,174			94	%
Net income available to common shareholders		675,511			339,590			99	%
Per common share:
Basic earnings	$	4.03			2.63			53	%
Diluted earnings		4.01			2.62			53	%
Cash dividends	$	1.30			1.20			8	%
Common shares outstanding:
Average - diluted (1)		168,410			129,416			30	%
Period end (2)		165,865			129,080			28	%
Return on (annualized):
Average total assets		1.40	%		.97	%
Average common shareholders' equity		11.74	%		8.55	%
Taxable-equivalent net interest income	$	1,831,726			907,408			102	%
Yield on average earning assets		5.16	%		2.72	%
Cost of interest-bearing liabilities		1.86	%		.13	%
Net interest spread		3.30	%		2.59	%
Contribution of interest-free funds		.74	%		.06	%
Net interest margin		4.04	%		2.65	%
Net charge-offs to average total net loans (annualized)		.22	%		.03	%
Net operating results (3)
Net operating income	$	714,935			375,999			90	%
Diluted net operating earnings per common share		4.09			2.73			50	%
Return on (annualized):
Average tangible assets		1.49	%		1.04	%
Average tangible common equity		19.00	%		12.44	%
Efficiency ratio		55.5	%		64.9	%

	At March 31
Loan quality	2023			2022			Change
Nonaccrual loans	$	2,556,799			2,134,231			20	%
Real estate and other foreclosed assets		44,567			23,524			89	%
Total nonperforming assets	$	2,601,366			2,157,755			21	%
Accruing loans past due 90 days or more (4)	$	407,457			776,751			-48	%
Government guaranteed loans included in totals above:
Nonaccrual loans	$	42,102			46,151			-9	%
Accruing loans past due 90 days or more		306,049			689,831			-56	%
Nonaccrual loans to total net loans		1.92	%		2.32	%
Allowance for credit losses to total loans		1.49	%		1.60	%

(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 on page 16.

(4) Predominantly residential real estate loans.

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Financial Highlights, Five Quarter Trend


	Three months ended
	March 31,			December 31,			September 30,			June 30,			March 31,
Amounts in thousands, except per share	2023			2022			2022			2022			2022
Performance
Net income	$	701,624			765,371			646,596			217,522			362,174
Net income available to common shareholders		675,511			739,126			620,554			192,236			339,590
Per common share:
Basic earnings	$	4.03			4.32			3.55			1.08			2.63
Diluted earnings		4.01			4.29			3.53			1.08			2.62
Cash dividends	$	1.30			1.20			1.20			1.20			1.20
Common shares outstanding:
Average - diluted (1)		168,410			172,149			175,682			178,277			129,416
Period end (2)		165,865			169,285			172,900			175,969			129,080
Return on (annualized):
Average total assets		1.40	%		1.53	%		1.28	%		.42	%		.97	%
Average common shareholders' equity		11.74	%		12.59	%		10.43	%		3.21	%		8.55	%
Taxable-equivalent net interest income	$	1,831,726			1,840,759			1,690,518			1,422,443			907,408
Yield on average earning assets		5.16	%		4.60	%		3.90	%		3.12	%		2.72	%
Cost of interest-bearing liabilities		1.86	%		.98	%		.41	%		.20	%		.13	%
Net interest spread		3.30	%		3.62	%		3.49	%		2.92	%		2.59	%
Contribution of interest-free funds		.74	%		.44	%		.19	%		.09	%		.06	%
Net interest margin		4.04	%		4.06	%		3.68	%		3.01	%		2.65	%
Net charge-offs to average total net loans (annualized)		.22	%		.12	%		.20	%		.16	%		.03	%
Net operating results (3)
Net operating income	$	714,935			812,359			700,030			577,622			375,999
Diluted net operating earnings per common share		4.09			4.57			3.83			3.10			2.73
Return on (annualized):
Average tangible assets		1.49	%		1.70	%		1.44	%		1.16	%		1.04	%
Average tangible common equity		19.00	%		21.29	%		17.89	%		14.41	%		12.44	%
Efficiency ratio		55.5	%		53.3	%		53.6	%		58.3	%		64.9	%

	March 31,			December 31,			September 30,			June 30,			March 31,
Loan quality	2023			2022			2022			2022			2022
Nonaccrual loans	$	2,556,799			2,438,435			2,429,326			2,633,005			2,134,231
Real estate and other foreclosed assets		44,567			41,375			37,031			28,692			23,524
Total nonperforming assets	$	2,601,366			2,479,810			2,466,357			2,661,697			2,157,755
Accruing loans past due 90 days or more (4)	$	407,457			491,018			476,503			523,662			776,751
Government guaranteed loans included in totals above:
Nonaccrual loans	$	42,102			43,536			44,797			46,937			46,151
Accruing loans past due 90 days or more		306,049			363,409			423,371			467,834			689,831
Nonaccrual loans to total net loans		1.92	%		1.85	%		1.89	%		2.05	%		2.32	%
Allowance for credit losses to total loans		1.49	%		1.46	%		1.46	%		1.42	%		1.60	%

(1) Includes common stock equivalents.

(2) Includes common stock issuable under deferred compensation plans.

(4) Predominantly residential real estate loans.

11-11-11-11-11

M&T BANK CORPORATION

Condensed Consolidated Statement of Income


	Three months ended
	March 31
Dollars in thousands	2023			2022			Change
Interest income	$	2,326,985			928,256			151	%
Interest expense		508,721			24,082			—
Net interest income		1,818,264			904,174			101
Provision for credit losses		120,000			10,000			—
Net interest income after provision for credit losses		1,698,264			894,174			90
Other income
Mortgage banking revenues		84,985			109,148			-22
Service charges on deposit accounts		113,546			101,507			12
Trust income		193,802			169,213			15
Brokerage services income		24,041			20,190			19
Trading account and non-hedging derivative gains		11,675			5,369			117
Gain (loss) on bank investment securities		(416	)		(743	)		—
Other revenues from operations		159,500			136,203			17
Total other income		587,133			540,887			9
Other expense
Salaries and employee benefits		807,942			577,520			40
Equipment and net occupancy		126,904			85,812			48
Outside data processing and software		105,780			79,719			33
FDIC assessments		29,758			15,576			91
Advertising and marketing		31,063			16,024			94
Printing, postage and supplies		14,183			10,150			40
Amortization of core deposit and other intangible assets		17,208			1,256			—
Other costs of operations		226,392			173,684			30
Total other expense		1,359,230			959,741			42
Income before income taxes		926,167			475,320			95
Applicable income taxes		224,543			113,146			98
Net income	$	701,624			362,174			94	%

12-12-12-12-12

M&T BANK CORPORATION

Condensed Consolidated Statement of Income, Five Quarter Trend


	Three months ended
	March 31,			December 31,			September 30,			June 30,			March 31,
Dollars in thousands	2023			2022			2022			2022			2022
Interest income	$	2,326,985			2,072,209			1,781,513			1,465,142			928,256
Interest expense		508,721			244,835			102,822			53,425			24,082
Net interest income		1,818,264			1,827,374			1,678,691			1,411,717			904,174
Provision for credit losses		120,000			90,000			115,000			302,000			10,000
Net interest income after provision for credit losses		1,698,264			1,737,374			1,563,691			1,109,717			894,174
Other income
Mortgage banking revenues		84,985			81,521			83,041			82,926			109,148
Service charges on deposit accounts		113,546			105,714			115,213			124,170			101,507
Trust income		193,802			194,843			186,577			190,084			169,213
Brokerage services income		24,041			22,463			21,086			24,138			20,190
Trading account and non-hedging derivative gains		11,675			14,043			5,081			2,293			5,369
Gain (loss) on bank investment securities		(416	)		(3,773	)		(1,108	)		(62	)		(743	)
Other revenues from operations		159,500			266,726			153,189			147,551			136,203
Total other income		587,133			681,537			563,079			571,100			540,887
Other expense
Salaries and employee benefits		807,942			697,276			736,354			776,201			577,520
Equipment and net occupancy		126,904			136,732			127,117			124,655			85,812
Outside data processing and software		105,780			107,886			95,068			93,820			79,719
FDIC assessments		29,758			24,008			28,105			22,585			15,576
Advertising and marketing		31,063			32,691			21,398			20,635			16,024
Printing, postage and supplies		14,183			15,082			14,768			15,570			10,150
Amortization of core deposit and other intangible assets		17,208			17,600			18,384			18,384			1,256
Other costs of operations		226,392			377,013			238,059			331,304			173,684
Total other expense		1,359,230			1,408,288			1,279,253			1,403,154			959,741
Income before income taxes		926,167			1,010,623			847,517			277,663			475,320
Applicable income taxes		224,543			245,252			200,921			60,141			113,146
Net income	$	701,624			765,371			646,596			217,522			362,174

13-13-13-13-13

M&T BANK CORPORATION

Condensed Consolidated Balance Sheet


	March 31
Dollars in thousands	2023		2022		Change
ASSETS
Cash and due from banks	$	1,817,740		1,411,460		29	%
Interest-bearing deposits at banks		22,306,425		36,025,382		-38
Trading account		165,216		46,854		253
Investment securities		28,443,209		9,356,832		204
Loans and leases:
Commercial, financial, etc.		43,758,361		23,496,017		86
Real estate - commercial		45,072,541		34,553,558		30
Real estate - consumer		23,789,945		15,595,879		53
Consumer		20,316,845		18,162,938		12
Total loans and leases, net of unearned discount		132,937,692		91,808,392		45
Less: allowance for credit losses		1,975,110		1,472,359		34
Net loans and leases		130,962,582		90,336,033		45
Goodwill		8,490,089		4,593,112		85
Core deposit and other intangible assets		192,166		2,742		—
Other assets		10,578,980		8,091,137		31
Total assets	$	202,956,407		149,863,552		35	%

LIABILITIES AND SHAREHOLDERS' EQUITY
Noninterest-bearing deposits	$	59,955,033		58,520,366		2	%
Interest-bearing deposits		99,120,207		67,798,347		46
Total deposits		159,075,240		126,318,713		26
Short-term borrowings		6,995,302		50,307		—
Accrued interest and other liabilities		4,045,804		2,174,925		86
Long-term borrowings		7,462,890		3,443,587		117
Total liabilities		177,579,236		131,987,532		35
Shareholders' equity:
Preferred		2,010,600		1,750,000		15
Common		23,366,571		16,126,020		45
Total shareholders' equity		25,377,171		17,876,020		42
Total liabilities and shareholders' equity	$	202,956,407		149,863,552		35	%

14-14-14-14-14

M&T BANK CORPORATION

Condensed Consolidated Balance Sheet, Five Quarter Trend



	March 31,		December 31,		September 30,		June 30,		March 31,
Dollars in thousands	2023		2022		2022		2022		2022
ASSETS
Cash and due from banks	$	1,817,740		1,517,244		2,255,810		1,688,274		1,411,460
Interest-bearing deposits at banks		22,306,425		24,958,719		25,391,528		33,437,454		36,025,382
Federal funds sold and agreements to resell securities		—		3,000		—		250,250		—
Trading account		165,216		117,847		129,672		133,855		46,854
Investment securities		28,443,209		25,210,871		24,603,765		22,801,717		9,356,832
Loans and leases:
Commercial, financial, etc.		43,758,361		41,850,566		38,807,949		39,108,676		23,496,017
Real estate - commercial		45,072,541		45,364,571		46,138,665		46,795,139		34,553,558
Real estate - consumer		23,789,945		23,755,947		23,074,280		22,767,107		15,595,879
Consumer		20,316,845		20,593,079		20,204,693		19,815,198		18,162,938
Total loans and leases, net of unearned discount		132,937,692		131,564,163		128,225,587		128,486,120		91,808,392
Less: allowance for credit losses		1,975,110		1,925,331		1,875,591		1,823,790		1,472,359
Net loans and leases		130,962,582		129,638,832		126,349,996		126,662,330		90,336,033
Goodwill		8,490,089		8,490,089		8,501,357		8,501,357		4,593,112
Core deposit and other intangible assets		192,166		209,374		226,974		245,358		2,742
Other assets		10,578,980		10,583,865		10,496,377		10,312,294		8,091,137
Total assets	$	202,956,407		200,729,841		197,955,479		204,032,889		149,863,552

LIABILITIES AND SHAREHOLDERS' EQUITY
Noninterest-bearing deposits	$	59,955,033		65,501,860		73,023,271		72,375,515		58,520,366
Interest-bearing deposits		99,120,207		98,013,008		90,822,117		97,982,881		67,798,347
Total deposits		159,075,240		163,514,868		163,845,388		170,358,396		126,318,713
Short-term borrowings		6,995,302		3,554,951		917,806		1,119,321		50,307
Accrued interest and other liabilities		4,045,804		4,377,495		4,476,456		3,743,278		2,174,925
Long-term borrowings		7,462,890		3,964,537		3,459,336		3,017,363		3,443,587
Total liabilities		177,579,236		175,411,851		172,698,986		178,238,358		131,987,532
Shareholders' equity:
Preferred		2,010,600		2,010,600		2,010,600		2,010,600		1,750,000
Common		23,366,571		23,307,390		23,245,893		23,783,931		16,126,020
Total shareholders' equity		25,377,171		25,317,990		25,256,493		25,794,531		17,876,020
Total liabilities and shareholders' equity	$	202,956,407		200,729,841		197,955,479		204,032,889		149,863,552

15-15-15-15-15

M&T BANK CORPORATION

Condensed Consolidated Average Balance Sheet and Annualized Taxable-equivalent Rates


	Three months ended															Change in balance
	March 31,					March 31,					December 31,					March 31, 2023 from
Dollars in millions	2023					2022					2022					March 31,			December 31,
	Balance		Rate			Balance		Rate			Balance		Rate			2022			2022
ASSETS
Interest-bearing deposits at banks	$	24,312		4.64	%		38,693		.19	%		25,089		3.75	%		-37	%		-3	%
Federal funds sold and agreements to resell securities		—		4.89			—		.71			—		4.32			—			-41
Trading account		123		2.32			48		1.61			122		2.13			155			—
Investment securities		27,622		3.00			7,724		2.06			25,297		2.77			258			9
Loans and leases, net of unearned discount
Commercial, financial, etc.		42,428		6.46			23,305		3.61			40,038		5.76			82			6
Real estate - commercial		45,327		5.82			34,957		3.86			45,690		5.06			30			-1
Real estate - consumer		23,770		3.96			15,870		3.55			23,334		3.92			50			2
Consumer		20,487		5.67			18,027		4.23			20,344		5.28			14			1
Total loans and leases, net		132,012		5.70			92,159		3.85			129,406		5.12			43			2
Total earning assets		184,069		5.16			138,624		2.72			179,914		4.60			33			2
Goodwill		8,490					4,593					8,494					85			—
Core deposit and other intangible assets		201					3					218					—			-8
Other assets		9,839					8,428					9,966					17			-1
Total assets	$	202,599					151,648					198,592					34	%		2	%

LIABILITIES AND SHAREHOLDERS' EQUITY
Interest-bearing deposits
Savings and interest-checking deposits	$	88,053		1.28			67,267		.04			87,068		.76			31	%		1	%
Time deposits		11,630		3.11			2,647		.21			6,182		1.29			339			88
Total interest-bearing deposits		99,683		1.49			69,914		.05			93,250		.80			43			7
Short-term borrowings		4,994		4.69			56		.01			1,632		3.24			—			206
Long-term borrowings		6,511		5.27			3,442		1.88			3,753		4.65			89			73
Total interest-bearing liabilities		111,188		1.86			73,412		.13			98,635		.98			51			13
Noninterest-bearing deposits		61,854					58,141					70,218					6			-12
Other liabilities		4,180					2,201					4,393					90			-5
Total liabilities		177,222					133,754					173,246					32			2
Shareholders' equity		25,377					17,894					25,346					42			—
Total liabilities and shareholders' equity	$	202,599					151,648					198,592					34	%		2	%

Net interest spread				3.30					2.59					3.62
Contribution of interest-free funds				.74					.06					.44
Net interest margin				4.04	%				2.65	%				4.06	%

16-16-16-16-16

M&T BANK CORPORATION

Reconciliation of Quarterly GAAP to Non-GAAP Measures, Five Quarter Trend


	Three months ended
	March 31,			December 31,			September 30,			June 30,			March 31,
	2023			2022			2022			2022			2022
Income statement data
In thousands, except per share
Net income
Net income	$	701,624			765,371			646,596			217,522			362,174
Amortization of core deposit and other intangible assets (1)		13,311			13,559			14,141			14,138			933
Merger-related expenses (1)		—			33,429			39,293			345,962			12,892
Net operating income	$	714,935			812,359			700,030			577,622			375,999

Earnings per common share
Diluted earnings per common share	$	4.01			4.29			3.53			1.08			2.62
Amortization of core deposit and other intangible assets (1)		.08			.08			.08			.08			.01
Merger-related expenses (1)		—			.20			.22			1.94			.10
Diluted net operating earnings per common share	$	4.09			4.57			3.83			3.10			2.73

Other expense
Other expense	$	1,359,230			1,408,288			1,279,253			1,403,154			959,741
Amortization of core deposit and other intangible assets		(17,208	)		(17,600	)		(18,384	)		(18,384	)		(1,256	)
Merger-related expenses		—			(45,113	)		(53,027	)		(222,809	)		(17,372	)
Noninterest operating expense	$	1,342,022			1,345,575			1,207,842			1,161,961			941,113
Merger-related expenses
Salaries and employee benefits	$	—			3,670			13,094			85,299			87
Equipment and net occupancy		—			2,294			2,106			502			1,807
Outside data processing and software		—			2,193			2,277			716			252
Advertising and marketing		—			5,258			2,177			1,199			628
Printing, postage and supplies		—			2,953			651			2,460			722
Other costs of operations		—			28,745			32,722			132,633			13,876
Other expense		—			45,113			53,027			222,809			17,372
Provision for credit losses		—			—			—			242,000			—
Total	$	—			45,113			53,027			464,809			17,372
Efficiency ratio
Noninterest operating expense (numerator)	$	1,342,022			1,345,575			1,207,842			1,161,961			941,113
Taxable-equivalent net interest income	$	1,831,726			1,840,759			1,690,518			1,422,443			907,408
Other income		587,133			681,537			563,079			571,100			540,887
Less: Gain (loss) on bank investment securities		(416	)		(3,773	)		(1,108	)		(62	)		(743	)
Denominator	$	2,419,275			2,526,069			2,254,705			1,993,605			1,449,038
Efficiency ratio		55.5	%		53.3	%		53.6	%		58.3	%		64.9	%
Balance sheet data
In millions
Average assets
Average assets	$	202,599			198,592			201,131			208,865			151,648
Goodwill		(8,490	)		(8,494	)		(8,501	)		(8,501	)		(4,593	)
Core deposit and other intangible assets		(201	)		(218	)		(236	)		(254	)		(3	)
Deferred taxes		49			54			56			60			1
Average tangible assets	$	193,957			189,934			192,450			200,170			147,053
Average common equity
Average total equity	$	25,377			25,346			25,665			26,090			17,894
Preferred stock		(2,011	)		(2,011	)		(2,011	)		(2,011	)		(1,750	)
Average common equity		23,366			23,335			23,654			24,079			16,144
Goodwill		(8,490	)		(8,494	)		(8,501	)		(8,501	)		(4,593	)
Core deposit and other intangible assets		(201	)		(218	)		(236	)		(254	)		(3	)
Deferred taxes		49			54			56			60			1
Average tangible common equity	$	14,724			14,677			14,973			15,384			11,549
At end of quarter
Total assets
Total assets	$	202,956			200,730			197,955			204,033			149,864
Goodwill		(8,490	)		(8,490	)		(8,501	)		(8,501	)		(4,593	)
Core deposit and other intangible assets		(192	)		(209	)		(227	)		(245	)		(3	)
Deferred taxes		47			51			54			57			1
Total tangible assets	$	194,321			192,082			189,281			195,344			145,269
Total common equity
Total equity	$	25,377			25,318			25,256			25,795			17,876
Preferred stock		(2,011	)		(2,011	)		(2,011	)		(2,011	)		(1,750	)
Common equity		23,366			23,307			23,245			23,784			16,126
Goodwill		(8,490	)		(8,490	)		(8,501	)		(8,501	)		(4,593	)
Core deposit and other intangible assets		(192	)		(209	)		(227	)		(245	)		(3	)
Deferred taxes		47			51			54			57			1
Total tangible common equity	$	14,731			14,659			14,571			15,095			11,531

(1) After any related tax effect.