M&T and PNC Beat Estimates as Higher Rates Lift Q2 Earnings

M&T Bank Corp. reported second-quarter net income of $716 million, or $4.24 a share, topping analysts’ consensus of $3.99. Net interest income rose to $1.71 billion, driving a net interest margin of 3.62%. The Buffalo-based lender set aside $125 million for potential credit losses and ended the period with a common equity Tier 1 capital ratio of 10.98%. PNC Financial Services Group also beat expectations, earning $3.85 a share on revenue of $5.7 billion, ahead of the $3.54 and $5.6 billion analysts had forecast. Loans expanded to $326.34 billion, while provisions for credit losses fell below estimates at $254 million. The Pittsburgh-based bank reported a CET1 ratio of 10.5% and net income of $1.64 billion.