Butterfield (NTB) Q4 2025 Earnings Call Transcript

Motley Fool Transcribing, The Motley Fool

Tue, February 10, 2026 astatine 11:00 AM CST 15 min read

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Tuesday, Feb. 10, 2026 astatine 10 a.m. ET

• Chairman and Chief Executive Officer — Michael Collins

• Group Chief Financial Officer — Michael Schrum

• Group Chief Risk Officer — Bri Hidalgo

• General Counsel and Corporate Secretary — Noah Fields

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Michael Collins: Thank you, Noah, and acknowledgment to everyone joining the telephone today. In 2025, Butterfield delivered beardown fiscal results done disciplined execution. Net income improved versus the anterior year, with halfway nett income per stock increasing 17.4% year-on-year to full $5.60 per share. Our beardown relationship-led banking and spot businesses accrued noninterest income portion lowering deposit costs and plus redeployment boosted involvement earnings. We maintained disbursal subject and beforehand our exertion level by adding caller lawsuit functionality and improved interface. Capital absorption remains an important worth lever, which is reflected successful our quarterly dividend summation past twelvemonth and stock repurchases, which resulted successful a full combined payout ratio of 97% successful 2025.

Our M&A maturation strategy remains connected track, and we proceed to person progressive dialog with imaginable targets. Butterfield is simply a starring offshore slope and wealthiness manager with starring competitory positions successful Bermuda and the Cayman Islands and a increasing retail banking concern successful the Channel islands. We supply a scope of services, including spot and backstage banking, plus absorption and custody, which are designed to conscionable the needs of our clients. Beyond these halfway banking markets, we service planetary backstage spot clients successful the Bahamas, Switzerland and Singapore. And from our London office, we connection precocious nett worthy owe lending for premier Central London properties. I volition present crook to the afloat twelvemonth highlights connected Page 5.

Butterfield generated coagulated nett income of $231.9 cardinal and halfway nett income of $237.5 million. This resulted successful a halfway instrumentality connected mean tangible communal equity of 24.2% for 2025. During the year, nett involvement borderline accrued 5 ground points to 2.69% from 2.64% successful 2024 with the mean outgo of deposits falling to 150 ground points from 183 ground points successful 2024. Tangible publication worth per communal stock grew 21.7% successful 2025, ending the twelvemonth astatine $26.41. Balance superior absorption continued to beryllium a cardinal operator for shareholder value. In summation to the summation successful the quarterly currency dividend rate, the slope repurchased 3.5 cardinal shares for a full worth of $146.7 cardinal successful 2025.