NBT Bancorp Inc. Announces Second Quarter 2025 Net Income and Approves an 8.8% Cash Dividend Increase

July 28, 2025 at 4:15 PM EDT
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NORWICH, N.Y., July 28, 2025 (GLOBE NEWSWIRE) -- NBT Bancorp Inc. (“NBT” or the “Company”) (NASDAQ: NBTB) reported net income and diluted earnings per share for the three and six months ended June 30, 2025.

Net income for the second quarter of 2025 was $22.5 million, or $0.44 per diluted common share, compared to $32.7 million, or $0.69 per diluted common share, for the second quarter of 2024, and $36.7 million, or $0.77 per diluted common share, for the first quarter of 2025. Operating diluted earnings per share(1), a non-GAAP measure, was $0.88 for the second quarter of 2025, compared to $0.69 for the second quarter of 2024 and $0.80 for the first quarter of 2025.

The Company completed the acquisition of Evans Bancorp, Inc. (“Evans”) on May 2, 2025, adding 200 employees and 18 banking locations in Western New York, $1.67 billion in loans and $1.86 billion in deposits. In connection with the transaction, the Company issued 5.1 million shares of common stock, with a value of $221.8 million as of the closing date. The comparisons to the first quarter of 2025 and to the second quarter of 2024 are significantly impacted by the Evans acquisition.

CEO Comments

“Continued improvement in net interest margin results and the additive impact of our successful merger with Evans Bancorp, Inc. resulted in second quarter operating earnings per share that were 28% above the second quarter of 2024 and 10% higher than the first quarter of this year,” said NBT President and CEO Scott Kingsley. “The detailed plans executed by our integration team resulted in a seamless transition experience, and we are excited that we are now building on the relationships Evans established with customers, employees, communities and shareholders in the Western Region of New York.”

“We are also pleased to announce that we have increased our dividend for the thirteenth consecutive year to $0.37 per share in the third quarter,” added Kingsley. “This increase in the quarterly cash dividend of 8.8% affirms our continued commitment to providing favorable long-term returns to our shareholders.”

Second Quarter 2025 Financial Highlights

Net Income
  • Net income was $22.5 million and diluted earnings per share was $0.44
  • Operating net income was $44.9 million and operating diluted earnings per share of $0.88(1)
Net Interest Income
/ NIM
  • Net interest income on a fully taxable equivalent (“FTE”) basis was $124.9 million, an increase of $17.0 million from the prior quarter(1)
  • Net interest margin (“NIM”) on an FTE basis was 3.59%(1), an increase of 15 basis points (“bps”) from the prior quarter
  • Earning asset yields of 5.12% were up 17 bps from the prior quarter
  • Total cost of funds of 1.62% were up 2 bps from the prior quarter
  • Included in FTE net interest income was $5.0 million of acquisition-related net accretion, which was up $2.8 million from the first quarter of 2025
Noninterest Income
  • Noninterest income was $46.8 million and 27% of total revenues, excluding net securities gains (losses)
Loans and Credit
Quality
  • Period end total loans were $11.62 billion as of June 30, 2025, including $1.67 billion of loans acquired from Evans
  • Net charge-offs to average loans was 0.09% annualized
  • Nonperforming loans to total loans was 0.40%
  • Allowance for loan losses to total loans was 1.21%
  • Provision for loan losses was $17.8 million and included $13.0 million of acquisition-related provision for credit losses
Deposits
  • Deposits were $13.52 billion as of June 30, 2025, including $1.86 billion in deposits acquired from Evans
  • Total cost of deposits was 1.51% for the second quarter of 2025, up 2 bps from the first quarter of 2025
Capital
  • Stockholders’ equity was $1.81 billion as of June 30, 2025
  • Tangible book value per share(2) was $24.57 at June 30, 2025
  • Tangible equity to assets of 8.30%(1)
  • CET1 ratio of 11.37%; Leverage ratio of 9.55%

Loans

  • Period end total loans were $11.62 billion at June 30, 2025, compared to $9.97 billion at December 31, 2024 and $9.85 billion at June 30, 2024.
  • Period end total loans increased $1.65 billion from December 31, 2024 and $1.77 billion from June 30, 2024. Excluding the other consumer and residential solar portfolios, which are in a planned run-off status, and the loans acquired from Evans, period end loans increased $221.0 million, or 2.5%, from June 30, 2024.

Deposits

  • Total deposits at June 30, 2025 were $13.52 billion, compared to $11.55 billion at December 31, 2024 and $11.27 billion at June 30, 2024. Excluding the deposits acquired from Evans, deposits increased $104.4 million from December 31, 2024 and $379.7 million, or 3.4%, from June 30, 2024. Deposit mix characteristics also improved with an increase in demand deposits, interest-bearing checking and money market accounts offset by a decrease in time deposits.
  • The loan to deposit ratio was 86.0% at June 30, 2025, compared to 86.3% at December 31, 2024 and 87.4% at June 30, 2024.

Net Interest Income and Net Interest Margin

  • Net interest income for the second quarter of 2025 was $124.2 million, an increase of $17.0 million, or 15.9%, from the first quarter of 2025 and an increase of $27.0 million, or 27.8%, from the second quarter of 2024. The increase in net interest income from the first quarter of 2025 was largely attributed to the Evans acquisition with higher earning asset yields also contributing to the increase. The increase in net interest income from the second quarter of 2024 resulted primarily from the Evans acquisition, the improvement in net interest margin and organic growth in interest-earning assets.
  • The NIM on an FTE basis for the second quarter of 2025 was 3.59%, an increase of 15 bps from the first quarter of 2025. This increase was primarily driven by an increase in earning asset yields and acquisition-related net accretion. The NIM on an FTE basis increased 41 bps from the second quarter of 2024 due to higher yields on earning assets, including acquisition-related net accretion and a decrease in the cost of interest-bearing liabilities.
  • Earning asset yields for the three months ended June 30, 2025 increased 17 bps from the prior quarter to 5.12%. Loan yields for the three months ended June 30, 2025 increased 15 bps from the prior quarter to 5.77%, due to loans originating at higher rates than portfolio yields during the quarter and acquisition-related net accretion. Earnings asset yields increased 20 bps from the same quarter in the prior year as new loan yields were priced higher than portfolio yields and acquisition-related net accretion. Average earning assets increased $1.26 billion, or 9.9%, from the first quarter of 2025 and grew $1.59 billion, or 12.9%, from the second quarter of 2024 due primarily to the addition of $1.95 billion in interest-earnings assets in May of 2025 from the Evans acquisition and organic earning asset growth.
  • NBT completed the sale of the Evans available for sale investment securities portfolio in May which contributed to the increase in short-term interest-bearing accounts in the second quarter of 2025. At acquisition, the portfolio had a fair value of approximately $255 million.
  • Total cost of deposits, including noninterest bearing deposits, was 1.51% for the second quarter of 2025, an increase of 2 bps from the prior quarter as Evans higher cost of deposits, primarily in interest-bearing checking and savings deposit accounts, were partially offset by a decrease in the cost of time deposits. Total cost of deposits decreased 17 bps from the same period in the prior year.
  • Total cost of funds for the three months ended June 30, 2025 was 1.62%, an increase of 2 bps from the prior quarter and a decrease of 23 bps from the second quarter of 2024.

Asset Quality and Allowance for Loan Losses

  • Net charge-offs to total average loans for the second quarter of 2025 was 9 bps compared to 27 bps in the prior quarter primarily due to a decrease in both commercial and consumer net charge-offs. Included in net charge-offs for the first quarter of 2025 was a $2.1 million write-down of a nonperforming commercial real estate loan to the estimated fair value in the first quarter of 2025.
  • Nonperforming assets to total assets was 0.29% at June 30, 2025, compared to 0.35% at March 31, 2025 and compared to 0.38% at December 31, 2024. During the second quarter of 2025, the foreclosure on the collateral of a nonperforming commercial real estate loan, where the Company was not the lead bank, was completed. The Company’s participation interest was transferred into a newly formed special purpose entity structured as a limited liability company, which will be accounted for using the equity method of accounting and was reported in other assets.
  • Provision expense for the three months ended June 30, 2025 was $17.8 million, compared to $7.6 million for the first quarter of 2025. The increase in the provision for loan losses during the quarter was due to $13.0 million of acquisition-related provision for loan losses and modest deterioration in the economic forecast, partially offset by a decrease in net charge-offs from the prior quarter and portfolio mix changes with the run-off of the other consumer and residential solar portfolios.
  • The allowance for loan losses was $140.2 million, or 1.21% of total loans, at June 30, 2025, compared to $117.0 million, or 1.17% of total loans, at March 31, 2025 and compared to $116.0 million, or 1.16% of total loans, at December 31, 2024. The increase in the allowance for loan losses in the second quarter of 2025 included $20.7 million of allowance for acquired Evans loans, which included both the $13.0 million of non-purchased credit deteriorated allowance recognized through the provision for loan losses and the $7.7 million of purchased credit deteriorated allowance reclassified from loans. In addition, a modest deterioration of the economic forecast contributed to the increase in the allowance for loan losses, partially offset by the portfolio mix changes with the run-off of the other consumer and residential solar portfolios.
  • The reserve for unfunded loan commitments was $6.2 million at June 30, 2025, compared to $4.5 million at March 31, 2025 and compared to $4.4 million at December 31, 2024. The provision for unfunded loan commitments in the second quarter of 2025 included $0.5 million of acquisition-related provision for unfunded loan commitments.

Noninterest Income

  • Total noninterest income, excluding securities gains (losses), was $46.8 million for the three months ended June 30, 2025, down $0.7 million, or 1.5%, from the first quarter of 2025, and up $3.5 million, or 8.1%, from the second quarter of 2024.
  • Card services income increased $0.8 million from the prior quarter and increased $0.5 million from the second quarter of 2024, driven by the Evans acquisition and increased volumes.
  • Retirement plan administration fees were consistent with the prior quarter and increased $0.9 million, or 6.2%, from the second quarter of 2024. The increase from the second quarter of 2024 was driven by higher market values of assets under administration and the acquisition of a small third-party administrator (“TPA”) business in the fourth quarter of 2024.
  • Wealth management fees were consistent with the prior quarter and increased $0.5 million, or 5.0%, from the second quarter of 2024. The increase from the second quarter of 2024 was driven by market performance and growth in new customer accounts.
  • Insurance revenues decreased $0.7 million from the seasonally high first quarter of 2025 and increased 6.5% from the prior year due to organic growth.
  • Bank owned life insurance income decreased from the first quarter of 2025 due to a $1.3 million gain recognized in the first quarter of 2025.

Noninterest Expense

  • Total noninterest expense was $122.6 million for the second quarter of 2025, compared to $99.9 million for the first quarter of 2025 and $89.6 million for the second quarter of 2024. Total noninterest expense, excluding $17.2 million of acquisition expenses in the second quarter of 2025 and $1.2 million of acquisition expenses in the first quarter of 2025, increased 6.8% compared to the previous quarter and increased 17.7% from the second quarter of 2024. The increase was primarily due to the acquisition of Evans.
  • Salaries and benefits increased 5.7% from the prior quarter driven by the Evans acquisition as we added 200 Evans employees to NBT in May, a full quarter of merit pay increases, which were effective in March, and higher medical costs. These increases were partially offset by lower payroll taxes and stock-based compensation expenses which are seasonally higher in the first quarter. The increase from the second quarter of 2024 was driven by the impact of the Evans acquisition, merit pay increases, higher medical and other benefit costs.
  • Technology and data services increased $0.6 million from the prior quarter and $1.6 million from the second quarter of 2024 primarily due to the Evans acquisition, timing of planned initiatives and continued investment in digital platform solutions.
  • Occupancy costs were consistent from the prior quarter due to lower seasonal maintenance and utilities costs being offset by the additional expenses from the Evans acquisition. The $1.4 million increase from the second quarter of 2024 was driven by the additional expenses from the Evans acquisition, higher utilities and higher facilities costs related to new banking locations.
  • Amortization of intangible assets increased $0.9 million from the prior quarter and from the second quarter of 2024 primarily due to the amortization of intangible assets related to the Evans acquisition.

Income Taxes

  • The effective tax rate for the second quarter of 2025 was 26.7%, which was up from 22.0% for the second quarter of 2024 primarily due to the estimated impact of acquisition expenses related to the Evans acquisition and a lower level of tax-exempt income as a percentage of total taxable income.

Capital

  • Tangible common equity to tangible assets(1) was 8.30% at June 30, 2025. Tangible book value per share(2) was $24.57 at June 30, 2025, $24.74 at March 31, 2025 and $22.54 at June 30, 2024.
  • Stockholders’ equity increased $279.0 million from December 31, 2024 driven by the Evans acquisition adding $221.8 million of capital, net income generation of $59.3 million and a $31.4 million decrease in accumulated other comprehensive loss reflecting the change in the fair value of securities available for sale, partially offset by dividends declared of $33.9 million.
  • As of June 30, 2025, CET1 capital ratio of 11.37%, leverage ratio of 9.55% and total risk-based capital ratio of 14.48%.

Dividend

  • The Board of Directors approved a third-quarter cash dividend of $0.37 per share at a meeting held earlier today. The dividend represents a $0.03 per quarter, or 8.8%, increase over the dividend paid in the third quarter of 2024. This is the Company’s thirteenth consecutive year of annual dividend increases. The dividend will be paid on September 15, 2025 to stockholders of record as of September 1, 2025.

Stock Repurchase

  • The Company did not purchase shares of its common stock during the three months ended June 30, 2025. The Company may repurchase shares of its common stock from time to time to mitigate the potential dilutive effects of stock-based incentive plans and other potential uses of common stock for corporate purposes. As of June 30, 2025, there were 1,992,400 shares available under the Company’s share repurchase program.

Evans Bancorp, Inc. Merger

  • On May 2, 2025, the Company completed the acquisition of Evans. Evans was headquartered in Williamsville, New York. Its primary subsidiary, Evans Bank, National Association, was a federally-chartered national banking association operating 18 banking locations in Western New York.
  • In connection with the acquisition, the Company issued 5.1 million shares and acquired approximately $130.4 million of net assets, including $1.67 billion of loans and $1.86 billion in deposits. As a result of the acquisition, the Company recorded $91.4 million in goodwill and a $33.2 million core deposit intangible. As of the acquisition date, the fair value discount was $95.2 million for loans, net of the reclassification of the purchase credit deteriorated allowance and a $0.6 million net discount related to long-term debt.

Subordinated Debt Redemption

  • In July of 2025, the Company redeemed $118 million of subordinated debt that had a weighted average rate of 5.45% using existing liquidity sources. The $118 million of subordinated debt would have converted to a weighted average floating rate above 9%.

Conference Call and Webcast

The Company will host a conference call at 10:00 a.m. (Eastern) Tuesday, July 29, 2025, to review the second quarter 2025 financial results. The audio webcast link, along with the corresponding presentation slides, will be available on the Company’s Event Calendar page at www.nbtbancorp.com/bn/presentations-events.html#events and will be archived for twelve months.

Corporate Overview

NBT Bancorp Inc. is a financial holding company headquartered in Norwich, NY, with total assets of $16.01 billion at June 30, 2025. The Company primarily operates through NBT Bank, N.A., a full-service community bank, and through two financial services companies. NBT Bank, N.A. has 175 banking locations in New York, Pennsylvania, Vermont, Massachusetts, New Hampshire, Maine and Connecticut. EPIC Retirement Plan Services, based in Rochester, NY, is a national benefits administration firm. NBT Insurance Agency, LLC, based in Norwich, NY, is a full-service insurance agency. More information about NBT and its divisions is available online at: www.nbtbancorp.com, www.nbtbank.com, www.epicrps.com and www.nbtbank.com/Insurance.

Forward-Looking Statements

This press release contains forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995. These statements may be identified by the use of phrases such as “anticipate,” “believe,” “expect,” “forecasts,” “projects,” “will,” “can,” “would,” “should,” “could,” “may,” or other similar terms. There are a number of factors, many of which are beyond the Company’s control, that could cause actual results to differ materially from those contemplated by the forward-looking statements. Factors that may cause actual results to differ materially from those contemplated by such forward-looking statements include, among others, the following possibilities: (1) local, regional, national and international economic conditions, including actual or potential stress in the banking industry, and the impact they may have on the Company and its customers, and the Company’s assessment of that impact; (2) changes in the level of nonperforming assets and charge-offs; (3) changes in estimates of future reserve requirements based upon the periodic review thereof under relevant regulatory and accounting requirements; (4) the effects of and changes in trade and monetary and fiscal policies and laws, including the interest rate policies of the Federal Reserve Board (“FRB”) and international trade disputes (including threatened or implemented tariffs imposed by the U.S. and threatened or implemented tariffs imposed by foreign countries in retaliation); (5) inflation, interest rate, securities market and monetary fluctuations; (6) political instability; (7) acts of war, including international military conflicts, or terrorism; (8) the timely development and acceptance of new products and services and the perceived overall value of these products and services by users; (9) changes in consumer spending, borrowing and saving habits; (10) changes in the financial performance and/or condition of the Company’s borrowers; (11) technological changes; (12) acquisition and integration of acquired businesses; (13) the possibility that NBT may be unable to achieve expected synergies and operating efficiencies in the Evans merger within the expected timeframes or at all or to successfully integrate Evans operations and those of NBT; (14) the ability to increase market share and control expenses; (15) changes in the competitive environment among financial holding companies; (16) the effect of changes in laws and regulations (including laws and regulations concerning taxes, banking, securities and insurance) with which the Company and its subsidiaries must comply, including those under the Dodd-Frank Act, and the Economic Growth, Regulatory Relief, and Consumer Protection Act of 2018; (17) the effect of changes in accounting policies and practices, as may be adopted by the regulatory agencies, as well as the Public Company Accounting Oversight Board, the Financial Accounting Standards Board and other accounting standard setters; (18) changes in the Company’s organization, compensation and benefit plans; (19) the costs and effects of legal and regulatory developments, including the resolution of legal proceedings or regulatory or other governmental inquiries, and the results of regulatory examinations or reviews; (20) greater than expected costs or difficulties related to the integration of new products and lines of business; and (21) the Company’s success at managing the risks involved in the foregoing items.

The Company cautions readers not to place undue reliance on any forward-looking statements, which speak only as of the date made, and advises readers that various factors, including, but not limited to, those described above and other factors discussed in the Company’s annual and quarterly reports previously filed with the SEC, could affect the Company’s financial performance and could cause the Company’s actual results or circumstances for future periods to differ materially from those anticipated or projected.

Unless required by law, the Company does not undertake, and specifically disclaims any obligations to, publicly release any revisions that may be made to any forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date of such statements.

Non-GAAP Measures

This press release contains financial information determined by methods other than in accordance with U.S. generally accepted accounting principles (“GAAP”). Where non-GAAP disclosures are used in this press release, the comparable GAAP measure, as well as a reconciliation to the comparable GAAP measure, is provided in the accompanying tables. Management believes that these non-GAAP measures provide useful information that is important to an understanding of the results of the Company’s core business as well as provide information standard in the financial institution industry. Non-GAAP measures should not be considered a substitute for financial measures determined in accordance with GAAP and investors should consider the Company’s performance and financial condition as reported under GAAP and all other relevant information when assessing the performance or financial condition of the Company. Amounts previously reported in the consolidated financial statements are reclassified whenever necessary to conform to current period presentation.

Contact: Scott A. Kingsley, President and CEO
  Annette L. Burns, Executive Vice President and CFO
  NBT Bancorp Inc.
  52 South Broad Street
  Norwich, NY 13815
  607-337-6589
   


NBT Bancorp Inc. and Subsidiaries            
Selected Financial Data            
(unaudited, dollars in thousands except per share data)          
             
    2025     2024    
  2nd Q 1st Q 4th Q 3rd Q 2nd Q  
Profitability (reported)            
Diluted earnings per share $ 0.44   $ 0.77   $ 0.76   $ 0.80   $ 0.69    
Weighted average diluted common shares outstanding   50,787,474     47,477,391     47,505,760     47,473,417     47,382,814    
Return on average assets(3)   0.59 %   1.08 %   1.04 %   1.12 %   0.98 %  
Return on average equity(3)   5.27 %   9.68 %   9.44 %   10.21 %   9.12 %  
Return on average tangible common equity(1)(3)   8.01 %   13.63 %   13.36 %   14.54 %   13.23 %  
Net interest margin(1)(3)   3.59 %   3.44 %   3.34 %   3.27 %   3.18 %  
             
  6 Months Ended June 30,        
    2025     2024          
Profitability (reported)            
Diluted earnings per share $ 1.21   $ 1.40          
Weighted average diluted common shares outstanding   49,143,067     47,381,054          
Return on average assets(3)   0.82 %   1.00 %        
Return on average equity(3)   7.35 %   9.32 %        
Return on average tangible common equity(1)(3)   10.69 %   13.55 %        
Net interest margin(1)(3)   3.52 %   3.16 %        
             
    2025     2024    
  2nd Q 1st Q 4th Q 3rd Q 2nd Q  
Profitability (operating)            
Diluted earnings per share(1) $ 0.88   $ 0.80   $ 0.77   $ 0.80   $ 0.69    
Return on average assets(1)(3)   1.19 %   1.11 %   1.06 %   1.12 %   0.98 %  
Return on average equity(1)(3)   10.52 %   9.95 %   9.60 %   10.23 %   9.14 %  
Return on average tangible common equity(1)(3)   15.25 %   13.99 %   13.57 %   14.56 %   13.26 %  
             
  6 Months Ended June 30,        
    2025     2024          
Profitability (operating)            
Diluted earnings per share(1) $ 1.70   $ 1.37          
Return on average assets(1)(3)   1.16 %   0.98 %        
Return on average equity(1)(3)   10.34 %   9.09 %        
Return on average tangible common equity(1)(3)   14.77 %   13.23 %        
             
    2025     2024    
  2nd Q 1st Q 4th Q 3rd Q 2nd Q  
Balance sheet data            
Short-term interest-bearing accounts $ 276,786   $ 37,385   $ 78,973   $ 231,671   $ 35,207    
Securities available for sale   1,729,428     1,704,677     1,574,664     1,509,338     1,439,445    
Securities held to maturity   809,664     836,833     842,921     854,941     878,909    
Net loans   11,484,480     9,863,267     9,853,910     9,787,541     9,733,847    
Total assets   16,014,781     13,864,251     13,786,666     13,839,552     13,501,909    
Total deposits   13,515,232     11,708,511     11,546,761     11,588,278     11,271,459    
Total borrowings   411,376     312,977     414,983     456,666     476,082    
Total liabilities   14,209,615     12,298,476     12,260,525     12,317,572     12,039,954    
Stockholders' equity   1,805,166     1,565,775     1,526,141     1,521,980     1,461,955    
             
Capital            
Equity to assets   11.27 %   11.29 %   11.07 %   11.00 %   10.83 %  
Tangible equity ratio(1)   8.30 %   8.68 %   8.42 %   8.36 %   8.11 %  
Book value per share $ 34.46   $ 33.13   $ 32.34   $ 32.26   $ 31.00    
Tangible book value per share(2) $ 24.57   $ 24.74   $ 23.88   $ 23.83   $ 22.54    
Leverage ratio   9.55 %   10.39 %   10.24 %   10.29 %   10.16 %  
Common equity tier 1 capital ratio   11.37 %   12.12 %   11.93 %   11.86 %   11.70 %  
Tier 1 capital ratio   11.37 %   13.02 %   12.83 %   12.77 %   12.61 %  
Total risk-based capital ratio   14.48 %   15.24 %   15.03 %   15.02 %   14.88 %  
Common stock price (end of period) $ 41.55   $ 42.90   $ 47.76   $ 44.23   $ 38.60    
             
             


NBT Bancorp Inc. and Subsidiaries            
Asset Quality and Consolidated Loan Balances            
(unaudited, dollars in thousands)            
             
    2025     2024    
  2nd Q 1st Q 4th Q 3rd Q 2nd Q  
Asset quality            
Nonaccrual loans $ 43,181   $ 44,829   $ 45,819   $ 33,338   $ 34,755    
90 days past due and still accruing   3,211     2,862     5,798     3,981     3,333    
Total nonperforming loans   46,392     47,691     51,617     37,319     38,088    
Other real estate owned   345     308     182     127     74    
Total nonperforming assets   46,737     47,999     51,799     37,446     38,162    
Allowance for loan losses   140,200     117,000     116,000     119,500     120,500    
             
Asset quality ratios            
Allowance for loan losses to total loans   1.21 %   1.17 %   1.16 %   1.21 %   1.22 %  
Total nonperforming loans to total loans   0.40 %   0.48 %   0.52 %   0.38 %   0.39 %  
Total nonperforming assets to total assets   0.29 %   0.35 %   0.38 %   0.27 %   0.28 %  
Allowance for loan losses to total nonperforming loans   302.21 %   245.33 %   224.73 %   320.21 %   316.37 %  
Past due loans to total loans(4)   0.38 %   0.32 %   0.34 %   0.36 %   0.30 %  
Net charge-offs to average loans(3)   0.09 %   0.27 %   0.23 %   0.16 %   0.15 %  
             
    2025     2024    
  2nd Q 1st Q 4th Q 3rd Q 2nd Q  
Loan net charge-offs by line of business            
Commercial $ 97   $ 2,109   $ 2,542   $ 807   $ (8 )  
Residential real estate and home equity   (27 )   (25 )   (25 )   (64 )   (76 )  
Indirect auto   749     1,155     675     725     747    
Residential solar and other consumer   1,542     3,315     2,517     2,452     3,036    
Total loan net charge-offs $ 2,361   $ 6,554   $ 5,709   $ 3,920   $ 3,699    
             
    2025     2024    
  2nd Q 1st Q 4th Q 3rd Q 2nd Q  
Allowance for loan losses as a percentage of loans by segment        
Commercial & industrial   0.79 %   0.76 %   0.73 %   0.73 %   0.76 %  
Commercial real estate   1.14 %   1.02 %   0.95 %   1.01 %   1.00 %  
Residential real estate   1.05 %   1.00 %   1.00 %   1.00 %   0.98 %  
Auto   0.70 %   0.72 %   0.81 %   0.83 %   0.85 %  
Residential solar and other consumer   3.64 %   3.61 %   3.64 %   3.69 %   3.78 %  
Total   1.21 %   1.17 %   1.16 %   1.21 %   1.22 %  
             
    2025     2024    
  2nd Q 1st Q 4th Q 3rd Q 2nd Q  
Loans by line of business            
Commercial & industrial $ 1,692,335   $ 1,436,990   $ 1,426,482   $ 1,458,926   $ 1,397,935    
Commercial real estate   4,800,494     3,890,115     3,876,698     3,792,498     3,784,214    
Residential real estate   2,530,344     2,127,588     2,142,249     2,143,766     2,134,875    
Home equity   423,355     331,400     334,268     328,687     326,556    
Indirect auto   1,319,401     1,309,084     1,273,253     1,235,175     1,225,786    
Residential solar and other consumer   858,751     885,090     916,960     947,989     984,981    
Total loans $ 11,624,680   $ 9,980,267   $ 9,969,910   $ 9,907,041   $ 9,854,347    
             


NBT Bancorp Inc. and Subsidiaries      
Consolidated Balance Sheets      
(unaudited, in thousands)      
       
  June 30, December 31,  
    2025   2024  
Assets      
Cash and due from banks $ 264,777 $ 205,083  
Short-term interest-bearing accounts   276,786   78,973  
Equity securities, at fair value   46,658   42,372  
Securities available for sale, at fair value   1,729,428   1,574,664  
Securities held to maturity (fair value $735,387 and $749,945, respectively)   809,664   842,921  
Federal Reserve and Federal Home Loan Bank stock   40,813   33,957  
Loans held for sale   3,756   9,744  
Loans   11,624,680   9,969,910  
Less allowance for loan losses   140,200   116,000  
Net loans $ 11,484,480 $ 9,853,910  
Premises and equipment, net   95,793   80,840  
Goodwill   454,072   362,663  
Intangible assets, net   64,447   36,360  
Bank owned life insurance   318,004   272,657  
Other assets   426,103   392,522  
Total assets $ 16,014,781 $ 13,786,666  
       
Liabilities and stockholders' equity      
Demand (noninterest bearing) $ 3,866,856 $ 3,446,068  
Savings, interest-bearing checking and money market   7,997,219   6,658,188  
Time   1,651,157   1,442,505  
Total deposits $ 13,515,232 $ 11,546,761  
Short-term borrowings   112,970   162,942  
Long-term debt   44,842   29,644  
Subordinated debt, net   141,943   121,201  
Junior subordinated debt   111,621   101,196  
Other liabilities   283,007   298,781  
Total liabilities $ 14,209,615 $ 12,260,525  
       
Total stockholders' equity $ 1,805,166 $ 1,526,141  
       
Total liabilities and stockholders' equity $ 16,014,781 $ 13,786,666  
       


NBT Bancorp Inc. and Subsidiaries          
Consolidated Statements of Income          
(unaudited, in thousands except per share data)          
           
  Three Months Ended Six Months Ended  
  June 30, June 30,  
    2025   2024     2025   2024    
Interest, fee and dividend income          
Interest and fees on loans $ 158,912 $ 136,606   $ 296,964 $ 269,752    
Securities available for sale   11,609   7,562     21,871   14,686    
Securities held to maturity   4,870   5,190     9,784   10,493    
Other   2,186   1,408     3,362   2,772    
Total interest, fee and dividend income $ 177,577 $ 150,766   $ 331,981 $ 297,703    
Interest expense          
Deposits $ 48,219 $ 46,688   $ 90,807 $ 91,027    
Short-term borrowings   1,046   2,899     1,912   6,320    
Long-term debt   296   291     562   581    
Subordinated debt   2,001   1,806     3,823   3,606    
Junior subordinated debt   1,795   1,908     3,434   3,821    
Total interest expense $ 53,357 $ 53,592   $ 100,538 $ 105,355    
Net interest income $ 124,220 $ 97,174   $ 231,443 $ 192,348    
Provision for loan losses $ 4,813 $ 8,899   $ 12,367 $ 14,478    
Provision for loan losses - acquisition day 1 non-PCD   13,022   -     13,022   -    
Total provision for loan losses $ 17,835 $ 8,899   $ 25,389 $ 14,478    
Net interest income after provision for loan losses $ 106,385 $ 88,275   $ 206,054 $ 177,870    
Noninterest income          
Service charges on deposit accounts $ 4,578 $ 4,219   $ 8,821 $ 8,336    
Card services income   6,077   5,587     11,394   10,782    
Retirement plan administration fees   15,710   14,798     31,568   29,085    
Wealth management   10,678   10,173     21,624   19,870    
Insurance services   4,097   3,848     8,858   8,236    
Bank owned life insurance income   2,180   1,834     5,577   4,186    
Net securities gains (losses)   112   (92 )   8   2,091    
Other   3,500   2,865     6,534   6,038    
Total noninterest income $ 46,932 $ 43,232   $ 94,384 $ 88,624    
Noninterest expense          
Salaries and employee benefits $ 64,155 $ 55,393   $ 124,849 $ 111,097    
Technology and data services   10,804   9,249     21,042   18,999    
Occupancy   9,038   7,671     18,065   15,769    
Professional fees and outside services   5,021   4,565     9,973   9,418    
Amortization of intangible assets   3,042   2,133     5,153   4,301    
Reserve for unfunded loan commitments   1,702   (380 )   1,792   (830 )  
Acquisition expenses   17,180   -     18,401   -    
Other   11,668   10,957     23,235   22,607    
Total noninterest expense $ 122,610 $ 89,588   $ 222,510 $ 181,361    
Income before income tax expense $ 30,707 $ 41,919   $ 77,928 $ 85,133    
Income tax expense   8,197   9,203     18,673   18,594    
Net income $ 22,510 $ 32,716   $ 59,255 $ 66,539    
Earnings Per Share          
Basic $ 0.45 $ 0.69   $ 1.21 $ 1.41    
Diluted $ 0.44 $ 0.69   $ 1.21 $ 1.40    
           


NBT Bancorp Inc. and Subsidiaries          
Quarterly Consolidated Statements of Income          
(unaudited, in thousands except per share data)          
           
    2025     2024  
  2nd Q 1st Q 4th Q 3rd Q 2nd Q
Interest, fee and dividend income          
Interest and fees on loans $ 158,912 $ 138,052   $ 141,103   $ 141,991 $ 136,606  
Securities available for sale   11,609   10,262     8,773     7,815   7,562  
Securities held to maturity   4,870   4,914     4,931     5,042   5,190  
Other   2,186   1,176     2,930     1,382   1,408  
Total interest, fee and dividend income $ 177,577 $ 154,404   $ 157,737   $ 156,230 $ 150,766  
Interest expense          
Deposits $ 48,219 $ 42,588   $ 46,815   $ 49,106 $ 46,688  
Short-term borrowings   1,046   866     918     1,431   2,899  
Long-term debt   296   266     293     292   291  
Subordinated debt   2,001   1,822     1,816     1,810   1,806  
Junior subordinated debt   1,795   1,639     1,790     1,922   1,908  
Total interest expense $ 53,357 $ 47,181   $ 51,632   $ 54,561 $ 53,592  
Net interest income $ 124,220 $ 107,223   $ 106,105   $ 101,669 $ 97,174  
Provision for loan losses $ 4,813  $ 7,554    $ 2,209    $ 2,920  $ 8,899  
Provision for loan losses - acquisition day 1 non-PCD   13,022   -     -     -   -  
Total provision for loan losses $ 17,835 $ 7,554   $ 2,209   $ 2,920 $ 8,899  
Net interest income after provision for loan losses $ 106,385 $ 99,669   $ 103,896   $ 98,749 $ 88,275  
Noninterest income          
Service charges on deposit accounts $ 4,578 $ 4,243   $ 4,411   $ 4,340 $ 4,219  
Card services income   6,077   5,317     5,652     5,897   5,587  
Retirement plan administration fees   15,710   15,858     12,924     14,578   14,798  
Wealth management   10,678   10,946     10,842     10,929   10,173  
Insurance services   4,097   4,761     3,883     4,913   3,848  
Bank owned life insurance income   2,180   3,397     2,271     1,868   1,834  
Net securities gains (losses)   112   (104 )   222     476   (92 )
Other   3,500   3,034     2,221     2,773   2,865  
Total noninterest income $ 46,932 $ 47,452   $ 42,426   $ 45,774 $ 43,232  
Noninterest expense          
Salaries and employee benefits $ 64,155 $ 60,694   $ 61,749   $ 59,641 $ 55,393  
Technology and data services   10,804   10,238     10,220     9,920   9,249  
Occupancy   9,038   9,027     7,786     7,754   7,671  
Professional fees and outside services   5,021   4,952     4,843     4,871   4,565  
Amortization of intangible assets   3,042   2,111     2,080     2,062   2,133  
Reserve for unfunded loan commitments   1,702   90     (125 )   250   (380 )
Acquisition expenses   17,180   1,221     988     543   -  
Other   11,668   11,567     13,234     10,704   10,957  
Total noninterest expense $ 122,610 $ 99,900   $ 100,775   $ 95,745 $ 89,588  
Income before income tax expense $ 30,707 $ 47,221   $ 45,547   $ 48,778 $ 41,919  
Income tax expense   8,197   10,476     9,542     10,681   9,203  
Net income $ 22,510 $ 36,745   $ 36,005   $ 38,097 $ 32,716  
Earnings Per Share          
Basic $ 0.45 $ 0.78   $ 0.76   $ 0.81 $ 0.69  
Diluted $ 0.44 $ 0.77   $ 0.76   $ 0.80 $ 0.69  
           


NBT Bancorp Inc. and Subsidiaries                        
Average Quarterly Balance Sheets                        
(unaudited, dollars in thousands)                        
                         
    Average
Balance		 Yield /
Rates		 Average
Balance		 Yield /
Rates		 Average
Balance		 Yield /
Rates		 Average
Balance		 Yield /
Rates		 Average
Balance		 Yield /
Rates		  
    Q2 - 2025 Q1 - 2025 Q4 - 2024 Q3 - 2024 Q2 - 2024  
Assets                        
Short-term interest-bearing accounts   $ 146,640 4.61 % $ 63,198 4.51 % $ 184,988 5.27 % $ 62,210 4.87 % $ 48,861 5.48 %  
Securities taxable(1)     2,486,349 2.40 %   2,402,772 2.30 %   2,317,034 2.10 %   2,266,930 1.99 %   2,280,767 1.97 %  
Securities tax-exempt(1)(5)     221,328 3.65 %   220,210 3.60 %   211,493 3.46 %   217,251 3.47 %   226,032 3.56 %  
FRB and FHLB stock     39,176 5.12 %   33,469 5.73 %   33,261 5.75 %   35,395 6.97 %   40,283 7.41 %  
Loans(1)(6)     11,064,920 5.77 %   9,981,487 5.62 %   9,957,879 5.65 %   9,865,412 5.74 %   9,772,014 5.63 %  
Total interest-earning assets   $ 13,958,413 5.12 % $ 12,701,136 4.95 % $ 12,704,655 4.96 % $ 12,447,198 5.01 % $ 12,367,957 4.92 %  
Other assets     1,242,690     1,088,069     1,093,419     1,072,277     1,064,487    
Total assets   $ 15,201,103   $ 13,789,205   $ 13,798,074   $ 13,519,475   $ 13,432,444    
Liabilities and stockholders' equity                        
Money market deposits   $ 3,808,024 3.00 % $ 3,496,552 3.04 % $ 3,504,937 3.27 % $ 3,342,845 3.68 % $ 3,254,252 3.65 %  
Interest-bearing checking deposits     1,902,392 0.98 %   1,682,265 0.84 %   1,664,960 0.91 %   1,600,547 0.87 %   1,603,695 0.78 %  
Savings deposits     1,852,027 0.35 %   1,571,673 0.05 %   1,561,703 0.05 %   1,566,316 0.05 %   1,586,753 0.05 %  
Time deposits     1,600,908 3.37 %   1,450,846 3.55 %   1,446,798 3.85 %   1,442,424 4.00 %   1,391,062 4.00 %  
Total interest-bearing deposits   $ 9,163,351 2.11 % $ 8,201,336 2.11 % $ 8,178,398 2.28 % $ 7,952,132 2.46 % $ 7,835,762 2.40 %  
Federal funds purchased     14,231 4.51 %   2,278 4.45 %   - -     2,609 5.34 %   29,945 5.56 %  
Repurchase agreements     89,957 2.52 %   107,496 2.87 %   116,408 3.13 %   98,035 2.80 %   86,405 1.55 %  
Short-term borrowings     27,845 4.62 %   7,033 4.61 %   174 4.57 %   48,875 5.74 %   155,159 5.58 %  
Long-term debt     30,705 3.87 %   27,674 3.90 %   29,657 3.93 %   29,696 3.91 %   29,734 3.94 %  
Subordinated debt, net     134,684 5.96 %   121,331 6.09 %   120,967 5.97 %   120,594 5.97 %   120,239 6.04 %  
Junior subordinated debt     107,948 6.67 %   101,196 6.57 %   101,196 7.04 %   101,196 7.56 %   101,196 7.58 %  
Total interest-bearing liabilities   $ 9,568,721 2.24 % $ 8,568,344 2.23 % $ 8,546,800 2.40 % $ 8,353,137 2.60 % $ 8,358,440 2.58 %  
Demand deposits     3,634,517     3,385,080     3,438,194     3,389,894     3,323,906    
Other liabilities     285,357     296,983     295,292     292,446     306,747    
Stockholders' equity     1,712,508     1,538,798     1,517,788     1,483,998     1,443,351    
Total liabilities and stockholders' equity   $ 15,201,103   $ 13,789,205   $ 13,798,074   $ 13,519,475   $ 13,432,444    
Interest rate spread     2.88 %   2.72 %   2.56 %   2.41 %   2.34 %  
Net interest margin (FTE)(1)     3.59 %   3.44 %   3.34 %   3.27 %   3.18 %  
                         
Total cost of deposits   $ 12,797,868 1.51 % $ 11,586,416 1.49 % $ 11,616,592 1.60 % $ 11,342,026 1.72 % $ 11,159,668 1.68 %  
Total cost of funds     13,203,238 1.62 %   11,953,424 1.60 %   11,984,994 1.71 %   11,743,031 1.85 %   11,682,346 1.85 %  
                         


NBT Bancorp Inc. and Subsidiaries                  
Average Year-to-Date Balance Sheets                
(unaudited, dollars in thousands)                  
                   
    Average   Yield/ Average   Yield/    
    Balance Interest Rates Balance Interest Rates
   
Six Months Ended June 30,     2025     2024      
Assets                  
Short-term interest-bearing accounts   $ 105,150 $ 2,389 4.58 % $ 48,416 $ 1,201 4.99 %    
Securities taxable(1)     2,444,791   28,520 2.35 %   2,279,399   21,977 1.94 %    
Securities tax-exempt(1)(5)     220,772   3,968 3.62 %   228,250   4,053 3.57 %    
FRB and FHLB stock     36,338   973 5.40 %   41,289   1,571 7.65 %    
Loans(1)(6)     10,526,197   297,422 5.70 %   9,723,453   270,217 5.59 %    
Total interest-earning assets   $ 13,333,248 $ 333,272 5.04 % $ 12,320,807 $ 299,019 4.88 %    
Other assets     1,165,806       1,059,937        
Total assets   $ 14,499,054     $ 13,380,744        
Liabilities and stockholders' equity                  
Money market deposits   $ 3,653,148 $ 54,719 3.02 % $ 3,191,706 $ 57,278 3.61 %    
Interest-bearing checking deposits     1,792,937   8,135 0.91 %   1,601,992   6,120 0.77 %    
Savings deposits     1,712,624   1,806 0.21 %   1,597,206   352 0.04 %    
Time deposits     1,526,292   26,147 3.45 %   1,371,810   27,277 4.00 %    
Total interest-bearing deposits   $ 8,685,001 $ 90,807 2.11 % $ 7,762,714 $ 91,027 2.36 %    
Federal funds purchased     8,287   185 4.50 %   24,857   686 5.55 %    
Repurchase agreements     98,678   1,327 2.71 %   84,412   649 1.55 %    
Short-term borrowings     17,498   400 4.61 %   184,275   4,985 5.44 %    
Long-term debt     29,198   562 3.88 %   29,753   581 3.93 %    
Subordinated debt, net     128,044   3,823 6.02 %   120,056   3,606 6.04 %    
Junior subordinated debt     104,590   3,434 6.62 %   101,196   3,821 7.59 %    
Total interest-bearing liabilities   $ 9,071,296 $ 100,538 2.23 % $ 8,307,263 $ 105,355 2.55 %    
Demand deposits     3,510,487       3,340,257        
Other liabilities     291,139       296,747        
Stockholders' equity     1,626,132       1,436,477        
Total liabilities and stockholders' equity $ 14,499,054     $ 13,380,744        
Net interest income (FTE)(1)     $ 232,734     $ 193,664      
Interest rate spread       2.81 %     2.33 %    
Net interest margin (FTE)(1)       3.52 %     3.16 %    
Taxable equivalent adjustment     $ 1,291     $ 1,316      
Net interest income     $ 231,443     $ 192,348      
                   
Total cost of deposits   $ 12,195,488 $ 90,807 1.50 % $ 11,102,971 $ 91,027 1.65 %    
Total cost of funds     12,581,783   100,538 1.61 %   11,647,520   105,355 1.82 %    
                               


                 
(1) The following tables provide the Non-GAAP reconciliations for the Non-GAAP measures contained in this release:      
                 
  Non-GAAP measures              
  (unaudited, dollars in thousands except per share data)              
                 
      2025     2024      
    2nd Q 1st Q 4th Q 3rd Q 2nd Q    
  Operating net income              
  Net income $ 22,510   $ 36,745   $ 36,005   $ 38,097   $ 32,716      
  Acquisition expenses   17,180     1,221     988     543     -      
  Acquisition-related provision for credit losses   13,022     -     -     -     -      
  Acquisition-related reserve for unfunded loan commitments   532     -     -     -     -      
  Securities (gains) losses   (112 )   104     (222 )   (476 )   92      
  Adjustments to net income $ 30,622   $ 1,325   $ 766   $ 67   $ 92      
  Adjustments to net income (net of tax) $ 22,413   $ 1,020   $ 604   $ 52   $ 72      
  Operating net income $ 44,923   $ 37,765   $ 36,609   $ 38,149   $ 32,788      
  Operating diluted earnings per share $ 0.88   $ 0.80   $ 0.77   $ 0.80   $ 0.69      
                 
    6 Months Ended June 30,          
      2025     2024            
  Operating net income              
  Net income $ 59,255   $ 66,539            
  Acquisition expenses   18,401     -            
  Acquisition-related provision for credit losses   13,022     -            
  Acquisition-related reserve for unfunded loan commitments   532     -            
  Securities (gains) losses   (8 )   (2,091 )          
  Adjustments to net income $ 31,947   $ (2,091 )          
  Adjustments to net income (net of tax) $ 24,120   $ (1,631 )          
  Operating net income $ 83,375   $ 64,908            
  Operating diluted earnings per share $ 1.70   $ 1.37            
                 
      2025     2024      
    2nd Q 1st Q 4th Q 3rd Q 2nd Q    
  FTE adjustment              
  Net interest income $ 124,220   $ 107,223   $ 106,105   $ 101,669   $ 97,174      
  Add: FTE adjustment   655     636     619     639     658      
  Net interest income (FTE) $ 124,875   $ 107,859   $ 106,724   $ 102,308   $ 97,832      
  Average earning assets $ 13,958,413   $ 12,701,136   $ 12,704,655   $ 12,447,198   $ 12,367,957      
  Net interest margin (FTE)(3)   3.59 %   3.44 %   3.34 %   3.27 %   3.18 %    
                 
    6 Months Ended June 30,          
      2025     2024            
  FTE adjustment              
  Net interest income $ 231,443   $ 192,348            
  Add: FTE adjustment   1,291     1,316            
  Net interest income (FTE) $ 232,734   $ 193,664            
  Average earning assets $ 13,333,248   $ 12,320,807            
  Net interest margin (FTE)(3)   3.52 %   3.16 %          
                 
  Interest income for tax-exempt securities and loans have been adjusted to an FTE basis using the statutory Federal income tax rate of 21%.  
                 


                 
(1) The following tables provide the Non-GAAP reconciliations for the Non-GAAP measures contained in this release:    
                 
  Non-GAAP measures (continued)              
  (unaudited, dollars in thousands)              
                 
      2025     2024      
    2nd Q 1st Q 4th Q 3rd Q 2nd Q    
  Tangible equity to tangible assets              
  Total equity $ 1,805,166   $ 1,565,775   $ 1,526,141   $ 1,521,980   $ 1,461,955      
  Intangible assets   518,519     396,912     399,023     397,853     398,686      
  Total assets $ 16,014,781   $ 13,864,251   $ 13,786,666   $ 13,839,552   $ 13,501,909      
  Tangible equity to tangible assets   8.30 %   8.68 %   8.42 %   8.36 %   8.11 %    
                 
      2025     2024      
    2nd Q 1st Q 4th Q 3rd Q 2nd Q    
  Return on average tangible common equity            
  Net income $ 22,510   $ 36,745   $ 36,005   $ 38,097   $ 32,716      
  Amortization of intangible assets (net of tax)   2,282     1,583     1,560     1,547     1,600      
  Net income, excluding intangibles amortization $ 24,792   $ 38,328   $ 37,565   $ 39,644   $ 34,316      
                 
  Average stockholders' equity $ 1,712,508   $ 1,538,798   $ 1,517,788   $ 1,483,998   $ 1,443,351      
  Less: average goodwill and other intangibles   471,159     398,233     399,139     399,113     399,968      
  Average tangible common equity $ 1,241,349   $ 1,140,565   $ 1,118,649   $ 1,084,885   $ 1,043,383      
  Return on average tangible common equity(3)   8.01 %   13.63 %   13.36 %   14.54 %   13.23 %    
                 
    6 Months Ended June 30,          
      2025     2024            
  Return on average tangible common equity            
  Net income $ 59,255   $ 66,539            
  Amortization of intangible assets (net of tax)   3,865     3,226            
  Net income, excluding intangibles amortization $ 63,120   $ 69,765            
                 
  Average stockholders' equity $ 1,626,132   $ 1,436,477            
  Less: average goodwill and other intangibles   434,897     400,862            
  Average tangible common equity $ 1,191,235   $ 1,035,615            
  Return on average tangible common equity(3)   10.69 %   13.55 %          
                 
(2) Non-GAAP measure - Stockholders' equity less goodwill and intangible assets divided by common shares outstanding.    
(3) Annualized.              
(4) Total past due loans, defined as loans 30 days or more past due and in an accrual status.        
(5) Securities are shown at average amortized cost.            
(6) For purposes of these computations, nonaccrual loans and loans held for sale are included in the average loan balances outstanding.  
                 

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Source: NBT Bancorp Inc.