Have you been eager to see how M&T Bank Corporation (MTB - Free Report) performed in Q3 in comparison with the market expectations? Let’s quickly scan through the key facts from this New York-based major bank’s earnings release this morning:
An Earnings Beat
M&T Bank came out with net operating earnings per share of $2.13 for third-quarter 2016, surpassing the Zacks Consensus Estimate by 9 cents per share.
Earnings beat reflected increased revenues.
How Was the Estimate Revision Trend?
You should note that the earnings estimate for M&T Bank was stable prior to the earnings release. The Zacks Consensus Estimate remained unchanged at $2.04 over the last 7 days.
Regarding earnings surprise history, before posting earnings beat in Q3, the company delivered positive earnings surprise in one of the trailing four quarters.
Revenue Came In Higher Than Expected
M&T Bank posted revenues of $1.35 billion, which surpassed the Zacks Consensus Estimate of $1.32 billion. Moreover, it compared favorably with the year-ago number of $1.13 billion.
Net operating income came in at $355.9 million, up 26% year over year.
Net interest income increased 24% year over year to $858.3 million.
Non-interest expense of $752 million increased 15% year over year.
Efficiency ratio declined to 55.9% in quarter from 57.05% in the prior year quarter. Generally, a lower ratio indicates improved efficiency.
What Zacks Rank Says
The estimate revisions that we discussed earlier have driven a Zacks Rank #3 (Hold) for M&T Bank. However, since the latest earnings performance is yet to be reflected in the estimate revisions, the rank is subject to change. Now, it all depends on what sense the just-released report makes to the analysts.
(You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here.)
Check back later for our full write up on this M&T Bank earnings report!
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