Fulton Financial Corporation Announces 2025 Fourth Quarter and Full-Year Results

LANCASTER, Pa., Jan. 21, 2026 /PRNewswire/ -- Fulton Financial Corporation (NASDAQ:FULT) ("Fulton" or the "Corporation") reported net income available to common shareholders of $96.4 million, or $0.53 per diluted share, for the fourth quarter of 2025, a decrease of $1.5 million in comparison to the third quarter of 2025. Operating net income available to common shareholders for the three months ended December 31, 2025 was $99.4 million(1), or $0.55 per diluted share(1), a decrease of $1.9 million in comparison to the third quarter of 2025.

Net income available to common shareholders for the year ended December 31, 2025 was $381.4 million, or $2.08 per diluted share, an increase of $102.9 million, or $0.51 per diluted share, in comparison to the year ended December 31, 2024. Operating net income available to common shareholders for the year ended December 31, 2025, was $396.8 million(1), or $2.16 per diluted share(1), an increase of $68.7 million, or $0.31 per diluted share, in comparison to the year ended December 31, 2024.

"The strength of our strategy and the dedication of our team combined to generate a 17% increase in our operating diluted earnings per share," said Curtis J. Myers, Fulton Chairman, CEO and President. "In 2025, we delivered value to customers, expanded our team and customer base, and generated solid financial performance."

Financial Highlights

Fourth quarter of 2025 operating results of $0.55 per diluted share(1) were impacted by the following items:

Solid net interest margin of 3.59%, with a 13 basis point decrease in total cost of funds compared to the prior quarter.

Non-interest income decreased $0.4 million to $70.0 million compared to $70.4 million in the prior quarter.

Non-interest expense increased $16.4 million to $213.0 million compared to $196.6 million in the prior quarter. Operating non-interest expense increased $12.7 million to $204.1 million(1) compared to $191.4 million in the prior quarter.

Provision for credit losses was $2.9 million resulting in an allowance for credit losses attributable to net loans of $364.5 million, or 1.51% of total net loans as of December 31, 2025.

Common equity tier 1 capital ratio(2) increased to approximately 11.8% compared to 11.6% in the prior quarter.

During the fourth quarter of 2025, 1,082,678 shares of the Corporation's common stock were repurchased under the 2025 Repurchase Program(3) at a cost of $19.9 million or an average of $18.34 per share. The Corporation repurchased $59.0 million of common stock under the 2025 Repurchase Program as of December 31, 2025.

On December 16, 2025, the Corporation announced that its Board of Directors approved the 2026 Repurchase Program(4). Under the 2026 Repurchase Program, the Corporation is authorized to repurchase up to $150 million of shares of its common stock and certain other securities.

The following items highlight notable changes in the components of net income in the fourth quarter of 2025 compared to the third quarter of 2025:

Net interest income totaled $266.0 million, an increase of $1.8 million. A $5.9 million decrease in interest expense on deposits, a $3.6 million decrease in interest expense on other borrowings and other interest-bearing liabilities and a $1.3 million increase in interest income on other interest-earning assets were partially offset by decreases of $6.4 million in interest income on net loans and $2.4 million in interest income on investments securities. Purchase loan mark accretion from loans acquired in the Acquisition(5) was $10.5 million in the fourth quarter of 2025 compared to $12.7 million in the prior quarter.

Non-interest income before investment securities gains (losses) was $70.0 million compared to $70.4 million in the prior quarter. The $0.4 million decrease was primarily due to a decrease of $1.7 million in income from equity method investments and a $1.1 million gain on sale of commercial loans in the prior quarter, both reflected in other non-interest income, which were partially offset by increases of $1.2 million in wealth management revenues, $0.9 million in commercial customer derivative fee income, reflected in capital markets income, and $0.6 million in small business administration income, reflected in other commercial banking income.

Non-interest expense was $213.0 million compared to $196.6 million in the prior quarter. The $16.4 million increase in non-interest expense was primarily due to a $10.4 million increase in salaries and employee benefits expense largely due to increases of $7.5 million in incentive compensation expense, $1.0 million in employee healthcare expense and $0.6 million in employee severance expense. Additionally, increases of $1.6 million in net occupancy expense largely due to snow removal and maintenance costs, and $1.2 million in data processing and software expense contributed to the increase in non-interest expense.

Balance Sheet Summary

Total net loans totaled $24.1 billion, an increase of $103.4 million, compared to $24.0 billion as of September 30, 2025. The increase was largely due to increases of $73.4 million in consumer loans(6) and $30.0 million in commercial loans.(6)

Deposits totaled $26.6 billion, an increase of $256.9 million, compared to $26.3 billion as of September 30, 2025. The increase was primarily due to increases of $145.4 million in brokered deposits, $119.9 million in noninterest-bearing demand deposits and $95.2 million in savings deposits, partially offset by decreases of $65.2 million in interest-bearing demand deposits and $38.3 million in time deposits.

Provision for Credit Losses and Asset Quality

The provision for credit losses was $2.9 million in the fourth quarter of 2025, resulting in a $364.5 million allowance for credit losses attributable to net loans, or 1.51% of total net loans as of December 31, 2025, compared to $376.3 million, or 1.57% of total net loans as of September 30, 2025.

Non-performing assets were $185.2 million, or 0.58% of total assets, as of December 31, 2025, in comparison to $201.0 million, or 0.63% of total assets, as of September 30, 2025.

Annualized net charge-offs for the fourth quarter of 2025 were 0.24% of total average loans in comparison to 0.18% in the prior quarter.

Additional information on Fulton is available on the Internet at www.fultonbank.com.

(1)

Financial measure derived by methods other than generally accepted accounting principles ("GAAP"). Refer to the calculation on the page titled "Reconciliation of Non-GAAP Measures" at the end of the press release.

(2)

Regulatory capital ratios as of December 31, 2025, are preliminary estimates and prior periods are actual.

(3)

The 2025 Repurchase Program represented the authorization, commencing on January 1, 2025 and expiring on December 31, 2025, to repurchase up to $125 million of the Corporation's common stock. Under this authorization, up to $25 million of the $125 million authorization could be used to repurchase the Corporation's preferred stock and outstanding subordinated notes due 2030. As permitted by securities laws and other legal requirements and subject to market conditions and other factors, purchases were made from time to time under the 2025 Repurchase Program in open market or privately negotiated transactions, including without limitation, through accelerated share repurchase transactions.

(4)

The 2026 Repurchase Program represents the authorization, commencing on January 1, 2026 and expiring on January 31, 2027, to repurchase up to $150 million, excluding fees, commissions, excise tax and other ancillary expenses, of the Corporation's common stock. Under this authorization, up to $25 million of the $150 million authorization may be used to repurchase the Corporation's preferred stock, outstanding subordinated notes due 2030 or outstanding subordinated notes due 2035. As permitted by securities laws and other legal requirements and subject to market conditions and other factors, purchases may be made from time to time under the 2026 Repurchase Program in open market or privately negotiated transactions, including without limitation, through accelerated share repurchase transactions. The 2026 Repurchase Program may be discontinued at any time.

(5)

On April 26, 2024, the Corporation announced that its wholly owned banking subsidiary, Fulton Bank, National Association ("Fulton Bank"), acquired substantially all of the assets and assumed substantially all of the deposits and certain liabilities of Republic First Bank, doing business as Republic Bank ("Republic Bank"), from the Federal Deposit Insurance Corporation (the "FDIC"), as receiver for Republic Bank (the "Acquisition"), pursuant to the terms of the Purchase and Assumption Agreement - Whole Bank, All Deposits, effective as of April 26, 2024 among the FDIC, as receiver of Republic Bank, the FDIC and Fulton Bank.

(6)

Commercial loans include real estate - commercial mortgage, commercial and industrial, leases and other loans and includes a decrease in commercial construction loans of $158.4 million, reflected in real estate - construction. Consumer loans include real estate - residential mortgage, real estate - home equity, consumer and includes a decrease of $6.1 million in residential construction loans, reflected in real estate - construction.

Note: Some numbers contained in this document may not sum due to rounding.

Safe Harbor Statement

This press release may contain forward-looking statements with respect to the Corporation's financial condition, results of operations and business. Do not unduly rely on forward-looking statements. Forward-looking statements can be identified by the use of words such as "may," "should," "will," "could," "estimates," "predicts," "potential," "continue," "anticipates," "believes," "plans," "expects," "future," "intends," "projects," the negative of these terms and other comparable terminology. These forward-looking statements may include projections of, or guidance on, the Corporation's future financial performance, expected levels of future expenses, including future credit losses, anticipated growth strategies, descriptions of new business initiatives and anticipated trends in the Corporation's business or financial results.

Forward-looking statements are neither historical facts, nor assurance of future performance. Instead, the statements are based on current beliefs, expectations and assumptions regarding the future of the Corporation's business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of the Corporation's control, and actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not unduly rely on any of these forward-looking statements. Any forward-looking statement is based only on information currently available and speaks only as of the date when made. The Corporation undertakes no obligation, other than as required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

A discussion of certain risks and uncertainties affecting the Corporation, and some of the factors that could cause the Corporation's actual results to differ materially from those described in the forward-looking statements, can be found in the sections entitled "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" in the Corporation's Annual Report on Form 10-K for the year ended December 31, 2024, Quarterly Reports on Form 10-Q for the quarters ended March 31, 2025, June 30, 2025, September 30, 2025 and other current and periodic reports, which have been, or will be, filed with the Securities and Exchange Commission (the "SEC") and are, or will be, available in the Investor Relations section of the Corporation's website (www.fultonbank.com) and on the SEC's website (www.sec.gov), including, without limitation, the Cautionary Note Regarding Forward-Looking Statements set forth in the Current Report on Form 8-K filed by the Corporation on November 25, 2025.

Non-GAAP Financial Measures

The Corporation uses certain financial measures in this press release that have been derived from methods other than GAAP. These non-GAAP financial measures are reconciled to the most comparable GAAP measures in tables at the end of this press release.

FULTON FINANCIAL CORPORATION

SUMMARY CONSOLIDATED FINANCIAL INFORMATION (UNAUDITED)

(dollars in thousands, except per share and shares data)

Three months ended

Dec 31

Sep  30

Jun 30

Mar 31

Dec 31

2025

2025

2025

2025

2024

Ending Balances

Investment securities(1)

$   4,833,744

$    5,045,270

$   5,093,027

$   5,071,323

$   4,806,468

Net loans

24,144,884

24,041,489

24,012,539

23,862,574

24,044,919

Total assets

32,118,400

31,995,086

32,040,448

32,132,028

32,071,810

Deposits

26,589,407

26,332,490

26,138,067

26,328,972

26,129,433

Shareholders' equity

3,490,447

3,413,598

3,329,246

3,274,321

3,197,325

Average Balances

Investment securities(1)

4,921,669

5,025,072

5,084,371

4,906,952

4,771,537

Net loans

24,053,089

24,020,322

23,899,743

24,006,863

24,068,784

Total assets

32,013,163

31,924,038

31,901,574

31,971,601

32,098,852

Deposits

26,537,659

26,298,680

26,125,602

26,169,883

26,313,378

Shareholders' equity

3,464,539

3,361,368

3,304,015

3,254,125

3,219,026

Income Statement

Net interest income

266,042

264,198

254,921

251,187

253,659

Provision for credit losses

2,948

10,245

8,607

13,898

16,725

Non-interest income

69,980

70,407

69,148

67,232

65,924

Non-interest expense

212,986

196,574

192,811

189,460

216,615

Income before taxes

120,088

127,786

122,651

115,061

86,243

Net income available to common shareholders

96,408

97,892

96,636

90,425

66,058

Per Share

Net income available to common shareholders (basic)

$0.53

$0.54

$0.53

$0.50

$0.36

Net income available to common shareholders (diluted)

$0.53

$0.53

$0.53

$0.49

$0.36

Operating net income available to common shareholders(2)

$0.55

$0.55

$0.55

$0.52

$0.48

Cash dividends

$0.19

$0.18

$0.18

$0.18

$0.18

Common shareholders' equity

$18.33

$17.81

$17.20

$16.91

$16.50

Common shareholders' equity (tangible)(2)

$14.92

$14.39

$13.78

$13.46

$13.01

Weighted average shares (basic)

180,405

181,658

182,261

182,179

182,032

Weighted average shares (diluted)

182,197

183,349

183,813

184,077

183,867

(1) Includes related unrealized holding gains (losses) for available for sale ("AFS") securities.

(2) Non-GAAP financial measure. Refer to the calculation on the page titled "Reconciliation of Non-GAAP Measures" at the end of this press release.

Three months ended

Dec 31

Sep  30

Jun 30

Mar 31

Dec 31

2025

2025

2025

2025

2024

Asset Quality

Net charge-offs to average loans (annualized)

0.24 %

0.18 %

0.20 %

0.21 %

0.22 %

Non-performing loans to total net loans

0.76 %

0.83 %

0.89 %

0.82 %

0.92 %

Non-performing assets to total assets

0.58 %

0.63 %

0.67 %

0.62 %

0.69 %

ACL - loans(1) to total loans

1.51 %

1.57 %

1.57 %

1.59 %

1.58 %

ACL - loans(1) to non-performing loans

198 %

189 %

177 %

193 %

172 %

Profitability

Return on average assets

1.23 %

1.25 %

1.25 %

1.18 %

0.85 %

Operating return on average assets(2)

1.27 %

1.29 %

1.30 %

1.25 %

1.14 %

Return on average common shareholders' equity

11.69 %

12.26 %

12.46 %

11.98 %

8.68 %

Operating return on average common shareholders' equity (tangible)(2)

14.86 %

15.79 %

16.26 %

15.95 %

14.83 %

Net interest margin

3.59 %

3.57 %

3.47 %

3.43 %

3.41 %

Efficiency ratio(2)

60.0 %

56.5 %

57.1 %

56.7 %

58.4 %

Non-interest expense to total average assets

2.64 %

2.44 %

2.42 %

2.40 %

2.68 %

Operating non-interest expense to total average assets(2)

2.53 %

2.38 %

2.36 %

2.32 %

2.36 %

Capital Ratios(3)

Tangible common equity ratio ("TCE")(2)

8.5 %

8.3 %

8.0 %

7.8 %

7.5 %

Tier 1 leverage ratio

9.7 %

9.6 %

9.4 %

9.2 %

9.0 %

Common equity Tier 1 capital ratio

11.8 %

11.6 %

11.3 %

11.1 %

10.8 %

Tier 1 risk-based capital ratio

12.6 %

12.4 %

12.1 %

11.9 %

11.5 %

Total risk-based capital ratio

15.2 %

15.0 %

14.7 %

14.5 %

14.3 %

(1) "ACL - loans" relates to the allowance for credit losses ("ACL") specifically on "Net Loans" and does not include the ACL related to off-balance-sheet

    ("OBS") credit exposures.

(2) Non-GAAP financial measure. Refer to the calculation on the page titled "Reconciliation of Non-GAAP Measures" at the end of this press release.

(3) Regulatory capital ratios as of December 31, 2025 are preliminary estimates and prior periods are actual.

 

FULTON FINANCIAL CORPORATION

CONDENSED CONSOLIDATED ENDING BALANCE SHEETS (UNAUDITED)

(dollars in thousands)

Dec 31

Sep  30

Jun 30

Mar 31

Dec 31

2025

2025

2025

2025

2024

ASSETS

Cash and due from banks

$     271,463

$     307,267

$     362,280

$     388,503

$     279,041

Other interest-earning assets

911,155

643,111

583,899

778,117

924,404

Loans held for sale

16,316

19,875

23,281

15,965

25,618

Investment securities

4,833,744

5,045,270

5,093,027

5,071,323

4,806,468

Net loans

24,144,884

24,041,489

24,012,539

23,862,574

24,044,919

Less: ACL - loans(1)

(364,462)

(376,258)

(377,337)

(379,677)

(379,156)

   Loans, net

23,780,422

23,665,231

23,635,202

23,482,897

23,665,763

Net premises and equipment

175,240

178,644

184,290

186,873

195,527

Accrued interest receivable

113,698

114,003

117,130

116,215

117,029

Goodwill and intangible assets

612,996

618,361

623,729

629,189

635,458

Other assets

1,403,366

1,403,324

1,417,610

1,462,946

1,422,502

    Total Assets

$ 32,118,400

$ 31,995,086

$ 32,040,448

$ 32,132,028

$ 32,071,810

LIABILITIES AND SHAREHOLDERS' EQUITY

Deposits

$ 26,589,407

$ 26,332,490

$ 26,138,067

$ 26,328,972

$ 26,129,433

Borrowings

1,297,375

1,471,961

1,773,900

1,657,200

1,782,048

Other liabilities

741,171

777,037

799,235

871,535

963,004

    Total Liabilities

28,627,953

28,581,488

28,711,202

28,857,707

28,874,485

Shareholders' equity

3,490,447

3,413,598

3,329,246

3,274,321

3,197,325

    Total Liabilities and Shareholders' Equity

$ 32,118,400

$ 31,995,086

$ 32,040,448

$ 32,132,028

$ 32,071,810

LOANS, DEPOSITS AND BORROWINGS DETAIL:

Loans, by type:

Real estate - commercial mortgage

$  9,820,944

$  9,734,156

$  9,678,038

$  9,676,517

$  9,601,858

Commercial and industrial

4,539,060

4,437,905

4,541,765

4,531,266

4,605,589

Real estate - residential mortgage

6,669,993

6,617,017

6,511,687

6,409,657

6,349,643

Real estate - home equity

1,242,831

1,214,399

1,193,410

1,170,470

1,160,616

Real estate - construction

970,298

1,134,748

1,155,099

1,175,445

1,394,899

Consumer

564,349

566,291

583,949

597,305

616,856

Leases and other loans(2)

337,409

336,973

348,591

301,914

315,458

Total Net Loans

$ 24,144,884

$ 24,041,489

$ 24,012,539

$ 23,862,574

$ 24,044,919

Deposits, by type:

Noninterest-bearing demand

$  5,256,096

$  5,136,210

$  5,337,771

$  5,435,934

$  5,499,760

Interest-bearing demand

7,970,188

8,035,393

7,593,083

7,804,388

7,843,604

Savings

8,512,829

8,417,678

8,271,925

8,208,526

7,792,114

     Total demand and savings

21,739,113

21,589,281

21,202,779

21,448,848

21,135,478

Brokered

855,042

709,667

817,398

738,458

843,857

Time

3,995,252

4,033,542

4,117,890

4,141,666

4,150,098

Total Deposits

$ 26,589,407

$ 26,332,490

$ 26,138,067

$ 26,328,972

$ 26,129,433

Borrowings, by type:

Federal Home Loan Bank advances

$     250,000

$     450,000

$     800,000

$     750,000

$     850,000

Senior debt and subordinated debt

367,637

367,557

367,476

367,396

367,316

Other borrowings

679,738

654,404

606,424

539,804

564,732

Total Borrowings

$  1,297,375

$  1,471,961

$  1,773,900

$  1,657,200

$  1,782,048

(1) "ACL - loans" relates to the ACL specifically on "Net Loans" and does not include the ACL related to OBS credit exposures.

(2) Includes equipment lease financing, overdraft and net origination fees and costs.

 

FULTON FINANCIAL CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)

(dollars in thousands, except per share and share data)

Three months ended

Year ended

Dec 31

Sep  30

Jun 30

Mar 31

Dec 31

Dec 31

2025

2025

2025

2025

2024

2025

2024

Net Interest Income:

Interest income

$ 403,416

$ 411,006

$ 402,761

$ 399,692

$ 414,368

$  1,616,874

$  1,582,196

Interest expense

137,374

146,808

147,840

148,505

160,709

580,527

621,871

    Net Interest Income

266,042

264,198

254,921

251,187

253,659

1,036,347

960,325

Provision for credit losses

2,948

10,245

8,607

13,898

16,725

35,698

71,636

    Net Interest Income after Provision

263,094

253,953

246,314

237,289

236,934

1,000,649

888,689

Non-Interest Income:

Wealth management

23,879

22,639

22,281

21,785

22,002

90,584

84,743

Commercial banking:

   Merchant and card

6,847

7,327

7,376

6,591

7,082

28,141

29,186

   Cash management

8,374

8,335

8,376

7,799

7,633

32,884

28,106

   Capital markets

3,730

2,908

2,945

2,411

2,797

11,995

11,033

   Other commercial banking

5,162

4,595

4,734

4,528

4,942

19,018

16,657

Total commercial banking

24,113

23,165

23,431

21,329

22,454

92,038

84,982

Consumer banking:

  Card

8,366

8,246

7,958

7,544

8,064

32,114

30,914

  Overdraft

4,109

4,153

3,817

3,295

3,644

15,373

13,764

  Other consumer banking

2,967

2,775

2,753

2,229

2,601

10,725

10,826

Total consumer banking

15,442

15,174

14,528

13,068

14,309

58,212

55,504

Mortgage banking

3,636

3,711

3,991

3,138

3,759

14,477

13,943

Gain on acquisition, net of tax

—

—

—

—

(2,689)

—

36,996

Other

2,910

5,718

4,917

7,914

6,089

21,457

19,846

Non-interest income before investment securities (losses) gains

69,980

70,407

69,148

67,234

65,924

276,768

296,014

Investment securities (losses) gains, net

—

—

—

(2)

—

(2)

(20,283)

    Total Non-Interest Income

69,980

70,407

69,148

67,232

65,924

276,766

275,731

Non-Interest Expense: