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M&T Bank's Revenue Growth Remains Solid: What to Expect Ahead?
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Key Takeaways
M&T Bank saw 7.8% revenue CAGR over 2018-2025, led by solid NII and non-interest income growth.
MTB's loan and deposit CAGRs of 12.9% and 9.2% fueled NII, supported by lending and rate environment.
MTB projects higher 2026 NII and loans, signaling continued balance-sheet and revenue expansion.
M&T Bank (MTB - Free Report) has shown remarkable revenue growth over the past few years. This is driven by growth in its core lending business and fee-based businesses, giving the company a more balanced revenue base.
Key Drivers of MTB’s Revenue Growth
The main driver of this growth has been higher NII, helped by loan growth, a strong deposit franchise and the benefit of Federal Reserve rate cuts. Over the seven years ended 2025, NII witnessed a CAGR of 7.9%.
The company’s loans and leases saw a CAGR of 12.9% over the same period, while deposits witnessed a CAGR of 9.2%. Its deposits are well-diversified in terms of clients and offerings, which will support growth in the upcoming period. Also, improvements in consumer, C&I and residential mortgage lending will aid loan growth.
M&T Bank has also been strengthening non-interest income through treasury management, capital markets, mortgage banking and trust services, which should continue to support top-line expansion. Over 2018-2025, fee income saw a CAGR of 3.9%.
Looking ahead, a rise in NII, given stabilizing funding costs and strength in loans and deposit balances, along with non-interest income growth, will continue to support revenue expansion. The bank projects NII of $7.2-$7.35 billion and non-interest income of $2.67-$2.77 billion in 2026. In 2025, NII was $6.95 billion while non-interest income was $2.74 billion.
Management expects average loans of $140-$142 billion and average deposits of $165-$167 billion in 2026, which indicates continued balance-sheet growth. It suggests a rise from $136 billion in average loans and $163 billion in average deposits in 2025.
Given this, revenues are expected to improve in the upcoming quarters. The Zacks Consensus Estimates also point to gradual expansion, with 2026 revenues expected to rise 3.2% year over year.
Sales Estimates
Image Source: Zacks Investment Research
MTB’s Price Performance & Zacks Rank
MTB shares have gained 8.7% in the past year compared with the industry’s growth of 16.9%.
Citizens Financial (CFG - Free Report) has been witnessing a rising revenue trend. The company’s total revenues witnessed a CAGR of 3.6% over the last five years (2020-2025).
Decent loan demand and the Fed’s rate cuts are expected to support Citizens Financial’s NII growth in the upcoming period. Strength in the fee-based business is likely to drive non-interest income growth in the near term. Thus, these will benefit CFG’s top-line growth in the upcoming period.
Similarly, WaFd, Inc.’s (WAFD - Free Report) revenues witnessed a CAGR of 3.2% over the last three fiscal years (2022-2025) and improved further in first-quarter fiscal 2026 (ended Dec. 31, 2025), supported by higher NII, healthy loan demand and improved non-interest income.
Organic growth initiatives, improving loan demand and expanding fee-based income streams are expected to support revenue growth of WAFD in the upcoming period.
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M&T Bank's Revenue Growth Remains Solid: What to Expect Ahead?
Key Takeaways
M&T Bank (MTB - Free Report) has shown remarkable revenue growth over the past few years. This is driven by growth in its core lending business and fee-based businesses, giving the company a more balanced revenue base.
Key Drivers of MTB’s Revenue Growth
The main driver of this growth has been higher NII, helped by loan growth, a strong deposit franchise and the benefit of Federal Reserve rate cuts. Over the seven years ended 2025, NII witnessed a CAGR of 7.9%.
The company’s loans and leases saw a CAGR of 12.9% over the same period, while deposits witnessed a CAGR of 9.2%. Its deposits are well-diversified in terms of clients and offerings, which will support growth in the upcoming period. Also, improvements in consumer, C&I and residential mortgage lending will aid loan growth.
M&T Bank has also been strengthening non-interest income through treasury management, capital markets, mortgage banking and trust services, which should continue to support top-line expansion. Over 2018-2025, fee income saw a CAGR of 3.9%.
Looking ahead, a rise in NII, given stabilizing funding costs and strength in loans and deposit balances, along with non-interest income growth, will continue to support revenue expansion. The bank projects NII of $7.2-$7.35 billion and non-interest income of $2.67-$2.77 billion in 2026. In 2025, NII was $6.95 billion while non-interest income was $2.74 billion.
Management expects average loans of $140-$142 billion and average deposits of $165-$167 billion in 2026, which indicates continued balance-sheet growth. It suggests a rise from $136 billion in average loans and $163 billion in average deposits in 2025.
Given this, revenues are expected to improve in the upcoming quarters. The Zacks Consensus Estimates also point to gradual expansion, with 2026 revenues expected to rise 3.2% year over year.
Sales Estimates
Image Source: Zacks Investment Research
MTB’s Price Performance & Zacks Rank
MTB shares have gained 8.7% in the past year compared with the industry’s growth of 16.9%.
Price Performance
Image Source: Zacks Investment Research
Currently, M&T Bank carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
How Do Other Banks Sustain Revenue Growth?
Citizens Financial (CFG - Free Report) has been witnessing a rising revenue trend. The company’s total revenues witnessed a CAGR of 3.6% over the last five years (2020-2025).
Decent loan demand and the Fed’s rate cuts are expected to support Citizens Financial’s NII growth in the upcoming period. Strength in the fee-based business is likely to drive non-interest income growth in the near term. Thus, these will benefit CFG’s top-line growth in the upcoming period.
Similarly, WaFd, Inc.’s (WAFD - Free Report) revenues witnessed a CAGR of 3.2% over the last three fiscal years (2022-2025) and improved further in first-quarter fiscal 2026 (ended Dec. 31, 2025), supported by higher NII, healthy loan demand and improved non-interest income.
Organic growth initiatives, improving loan demand and expanding fee-based income streams are expected to support revenue growth of WAFD in the upcoming period.