M & T Bank Corp

First Quarter Financial Performance: M&T Bank reported diluted GAAP earnings per share of $3.32, down from $3.86 in the prior quarter, with net income totaling $584 million compared to $681 million in the linked quarter. Despite this decline, net interest margin increased by 8 basis points to 3.66%, reflecting efficient balance sheet management.

Outlook for Net Interest Income (NII): The bank expects taxable equivalent net interest income to range between $7.05 billion and $7.15 billion for the year, with full year average loan and lease balances anticipated to be $135 billion to $137 billion, primarily impacted by declining commercial real estate (CRE) balances. The NII guidance suggests a stable margin averaging in the mid-to-high 3.60s.

Impact of Economic Uncertainty: The current economic backdrop remains volatile with mixed data on job gains and consumer sentiment. M&T noted that many business customers are pausing on capital expenditure decisions due to uncertainty regarding tariffs and regulatory conditions, which could impact loan growth and overall business investment.