UPDATE: M&T Bank Posts Downbeat Q3 Earnings

M&T Bank

reported weaker-than-expected earnings for the third quarter. The Buffalo, New York-based bank posted a quarterly profit of $275.3 million, or $1.91 per share, versus a year-ago profit of $294.5 million, $2.11 per share. Its operating earnings came in at $1.94 per share in the quarter. Its revenue came in at $1.12 billion in the quarter. However, analysts were projecting earnings of $1.98 per share on revenue of $1.13 billion. Mortgage banking revenue climbed 44% y/y in the same quarter. Noninterest income fell to $451 million from $477 million in the year-ago quarter, while noninterest expenses increased to $679 million from $659 million. The provision for credit losses was $29 million in the quarter, down from $48 million in the year-ago quarter. At September 30, 2014, M&T had total assets of $97.2 billion, up 15% versus $84.4 billion a year ago. Rene F. Jones, Vice Chairman and Chief Financial Officer, said, "Revenue levels were largely unchanged in comparison with the linked quarter. Average loans grew modestly and fee income declined slightly from the strong second quarter performance. Most important was the substantial progress we have made on our key initiatives related to strengthening M&T's BSA/AML, compliance and risk management infrastructure.” M&T Bank shares closed at $116.16 yesterday.