CULLEN/FROST REPORTS FOURTH QUARTER AND 2025 ANNUAL RESULTS

Rhea-AI Summary

Cullen/Frost Bankers (NYSE: CFR) reported fourth-quarter 2025 net income available to common shareholders of $164.6M (+7.4% YoY) and full-year 2025 net income of $641.9M (+11.5% YoY). Diluted EPS were $2.56 Q4 and $9.92 for 2025. NII (tax-equivalent) was $471.2M in Q4; NIM 3.66%.

Average loans rose to $21.2B for 2025 and average deposits to $42.2B. CET1 ratio was 14.06%. Board declared a $1.00 common dividend for Q1 2026 and authorized a $300M share repurchase program through Jan 27, 2027.

Positive

• Net income +11.5% for 2025 to $641.9M
• Diluted EPS $9.92 for 2025, up from $8.87
• Authorized $300M share repurchase program through Jan 27, 2027
• Q4 net interest income $471.2M and NIM 3.66%
• Average loans +7.3% in 2025 to $21.2B

Negative

• Non-interest expense +10.6% in Q4 to $371.7M
• One-time Q4 charges totaled $16.2M
• Non-accrual loans rose QoQ to $70.5M

News Market Reaction

+2.65%

1 alert

+2.65% News Effect

On the day this news was published, CFR gained 2.65%, reflecting a moderate positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Q4 2025 net income: $164.6M Q4 2025 diluted EPS: $2.56 2025 net income: $641.9M +5 more

8 metrics

Q4 2025 net income $164.6M Net income available to common shareholders, Q4 2025

Q4 2025 diluted EPS $2.56 Diluted EPS Q4 2025 vs $2.36 in Q4 2024

2025 net income $641.9M Annual net income available to common shareholders, 2025

2025 diluted EPS $9.92 Diluted EPS full year 2025 vs $8.87 in 2024

CET1 ratio 14.06% Common Equity Tier 1 ratio at 12/31/2025

Net interest income $471.2M Taxable-equivalent NII in Q4 2025, up 8.6% YoY

New buyback authorization $300M New share repurchase program expiring January 27, 2027

Total assets $53.0B Total assets at December 31, 2025

Market Reality Check

Price: $138.77 Vol: Volume 587,195 is 15% abo...

normal vol

$138.77 Last Close

Volume Volume 587,195 is 15% above the 20-day average of 512,423. normal

Technical Price $135.19 is trading above the 200-day MA of $127.42, and 7.68% below the 52-week high.

Peers on Argus

CFR slipped 0.27% while peers were mixed: CBSH up 1.23%, ONB, WTFC, BPOP and ZIO...

CFR slipped 0.27% while peers were mixed: CBSH up 1.23%, ONB, WTFC, BPOP and ZION down between 0.14% and 1.29%, pointing to a stock-specific reaction rather than a broad sector move.

Historical Context

5 past events · Latest: Jan 07 (Neutral)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Jan 07	Earnings call notice	Neutral	-0.3%	Announcement of timing and access details for Q4 2025 earnings call.
Dec 11	Community housing support	Neutral	-0.8%	Participation in financing an affordable senior housing development in Houston.
Nov 25	Derivatives platform deal	Positive	+1.5%	Adoption of DerivativeEDGE platform to enhance OTC derivatives capabilities.
Oct 30	Q3 2025 earnings	Positive	+1.7%	Q3 2025 results with higher net income, EPS, and balance sheet growth.
Oct 14	Q3 call notice	Neutral	+2.9%	Scheduling and access details for the Q3 2025 earnings conference call.

Pattern Detected

Recent news, especially earnings-related releases, has generally seen price moves that align modestly with the underlying news tone, with no recorded divergences in the last five events.

Recent Company History

Over the last few months, Cullen/Frost has focused on steady earnings delivery and strategic initiatives. The Q3 2025 report showed higher net income, EPS, and balance sheet growth, and was followed by insider equity awards in late October 2025. Operationally, the bank expanded its derivatives capabilities via a Derivative Path partnership and supported affordable housing projects in Houston. Conference-call announcements in October 2025 and January 2026 framed expectations ahead of results. Today’s 2025 annual and Q4 release extends this earnings narrative with continued loan and deposit growth plus capital return actions.

Market Pulse Summary

This announcement details stronger Q4 and full-year 2025 performance, with higher net income, EPS an...

Analysis

This announcement details stronger Q4 and full-year 2025 performance, with higher net income, EPS and net interest income, plus growth in average loans and deposits. Capital ratios, including a CET1 of 14.06%, remained above regulatory thresholds, while the board maintained a $1.00 common dividend and approved a new $300M share repurchase program. Investors may focus on the balance between revenue growth and higher non-interest expenses, as well as credit loss expense trends and non-accrual loan levels, in upcoming periods.

Key Terms

net interest margin, non-interest income, common equity tier 1, total risk-based capital ratios, +4 more

8 terms

net interest margin financial

"The net interest margin was 3.66 percent for the fourth quarter of 2025..."

Net interest margin measures how much a bank earns from lending and investing compared with what it pays for funding, expressed as a percentage of its interest-earning assets. Think of it like a grocery store’s markup: it shows the gap between buying cost and selling price per dollar of goods — here, the cost is interest paid and the sale is interest received. Investors watch it because a higher margin usually means a bank is more profitable and better at managing interest rate and credit conditions.

non-interest income financial

"Non-interest income for the fourth quarter of 2025 was $132.2 million..."

Non-interest income is the money a bank or financial company earns from activities other than charging interest on loans, such as service fees, account charges, trading gains, and income from managing client investments. For investors, it matters because it diversifies a firm’s revenue stream—like a store that sells both products and offers repair services—making profits less tied to lending rates and helping stability when interest-driven income falls.

common equity tier 1 financial

"The Common Equity Tier 1, Tier 1 and Total Risk-Based Capital Ratios..."

Common Equity Tier 1 is the highest-quality capital a bank holds—mainly common shares and retained profits—that acts as the primary cushion against losses. Investors use the CET1 level and ratio to judge a bank’s financial strength and regulatory standing: a bigger cushion means the bank is better able to absorb shocks, sustain payouts and borrow cheaply, much like an emergency fund for a household.

total risk-based capital ratios financial

"Tier 1 and Total Risk-Based Capital Ratios for Cullen/Frost at the end..."

A measure of a bank’s capital cushion compared to the size and riskiness of its assets, calculated by dividing a bank’s total qualifying capital by its assets after adjusting each asset for how risky it is. Think of it as a safety margin — higher ratios mean the bank has a bigger buffer to absorb losses, which matters to investors because it signals financial strength, regulatory compliance, and lower likelihood of forced capital actions or reduced payouts.

basel iii regulatory

"Current capital ratios continue to be in excess of well-capitalized levels and exceed Basel III requirements."

An international set of banking rules that tells banks how much high-quality capital and readily available cash they must hold and how to manage risk, like a safety checklist for lenders. Investors care because these rules influence how safely banks can absorb losses, how much they can lend, and therefore their profits, dividend capacity and the chance of government support in a crisis — think of it as requirements that trade some short-term profit potential for longer-term financial stability.

credit loss expense financial

"the company reported a credit loss expense of $11.2 million and reported net charge-offs..."

Credit loss expense is the amount a lender records on its income statement to cover loans or receivables it expects will not be repaid, like setting aside a cushion for unpaid IOUs. For investors it signals the health of a lender’s loan book and directly reduces reported profit and regulatory capital, so rising credit loss expense can indicate worsening borrower risk or a more conservative accounting stance.

net charge-offs financial

"reported a credit loss expense of $11.2 million and reported net charge-offs of $5.8 million..."

Net charge-offs are the amount of loans or credit a lender removes from its books as uncollectible after subtracting any money later recovered from previously written-off accounts. Think of it like a store writing off unpaid tabs but getting back a few dollars later — the net figure shows the real loss. Investors watch this to judge a lender’s loan quality, future profits and how much capital may be needed to cover bad debts.

non-accrual loans financial

"Non-accrual loans were $70.5 million at the end of 2025..."

A non-accrual loan is a loan a lender has decided is unlikely to produce the scheduled interest payments, so the lender stops counting future interest as income and may record the loan at a reduced value. Think of it like renting out a house where the tenant has stopped paying: you stop counting future rent as earnings because it’s uncertain you’ll get it. For investors, a rise in non-accrual loans signals worsening credit quality, lower reported income and higher potential losses that can weaken a bank’s capital and share price.

AI-generated analysis. Not financial advice.

Board declares first quarter dividend on common and preferred stock, and authorizes $300 million stock repurchase program

SAN ANTONIO, Jan. 29, 2026 /PRNewswire/ -- Cullen/Frost Bankers, Inc. (NYSE: CFR) today reported fourth quarter and full-year results for 2025. Net income available to common shareholders for the fourth quarter of 2025 was $164.6 million, representing an increase of $11.4 million, or 7.4 percent, compared to $153.2 million reported for the fourth quarter of 2024. On a per-share basis, the company reported net income available to common shareholders of $2.56 per diluted common share for the fourth quarter of 2025, compared to $2.36 per diluted common share for the fourth quarter of 2024. For the fourth quarter of 2025, returns on average assets and average common equity were 1.22 percent and 14.80 percent, respectively, compared to 1.19 percent and 15.58 percent for the same period in 2024.

The company also reported 2025 annual net income available to common shareholders of $641.9 million, an increase of $66.0 million, or 11.5 percent, compared to 2024 earnings available to common shareholders of $575.9 million. On a per-share basis, 2025 earnings were $9.92 per diluted common share compared to $8.87 per diluted common share reported in 2024. For the year 2025, returns on average assets and average common equity were 1.24 percent and 15.66 percent respectively, compared to 1.16 percent and 15.81 percent reported in 2024.

"We carry great momentum with us as we enter 2026 and continue executing on a number of strategic growth initiatives," said Cullen/Frost Chairman and CEO, Phil Green. "Frost bankers throughout the state remain squarely focused on making our customers' lives better and supporting their growth in an increasing range of ways over time.

"We continue to execute on our organic growth strategy, and continue to believe that it is a durable and scalable strategy that will fuel Frost's growth for years to come. During the fourth quarter, we opened new financial centers in the Austin, Dallas, and San Antonio markets, bringing us to a total of 10 new locations opened during 2025."

For the fourth quarter of 2025, net interest income on a taxable-equivalent basis was $471.2 million, up $37.5 million, or 8.6 percent compared to $433.7 million for fourth quarter of 2024. Average loans for the fourth quarter of 2025 increased $1.3 billion, or 6.5 percent, to $21.7 billion, from the $20.3 billion reported for the fourth quarter a year earlier, and increased 1.0 percent compared to $21.5 billion for the third quarter of 2025. Average deposits for the quarter increased $1.5 billion, or 3.5 percent, to $43.3 billion compared to $41.9 billion in last year's fourth quarter, and increased $1.3 billion, or 3.0 percent, compared to $42.1 billion for the third quarter of 2025. Compared to the third quarter of 2025, fourth quarter average non-interest-bearing deposits increased by 3.1 percent and average interest-bearing deposits increased by 3.0 percent.

For full year 2025, average total loans were $21.2 billion, an increase of approximately $1.4 billion, or 7.3 percent, from the $19.8 billion reported in 2024. Average total deposits for 2025 were $42.2 billion, up $1.2 billion, or 3.0 percent, compared to the $41.0 billion reported for full year 2024.

Noted financial data for the fourth quarter:

• The Common Equity Tier 1, Tier 1 and Total Risk-Based Capital Ratios for Cullen/Frost at the end of the fourth quarter of 2025 were 14.06 percent, 14.50 percent, and 15.95 percent, respectively. Current capital ratios continue to be in excess of well-capitalized levels and exceed Basel III requirements.
• Net interest income on a tax-equivalent basis was $471.2 million for the fourth quarter of 2025, an increase of 8.6 percent compared to the $433.7 million reported for the fourth quarter of 2024. The net interest margin was 3.66 percent for the fourth quarter of 2025 compared to 3.53 percent for the fourth quarter of 2024 and 3.69 percent for the third quarter of 2025.
• Non-interest income for the fourth quarter of 2025 was $132.2 million, up $9.3 million, or 7.6 percent, from the $122.8 million reported a year earlier. Other non-interest income increased by $2.2 million, or 13.8% percent, compared to the fourth quarter of 2024. The increase was primarily related to an increase in income from customers' derivatives trading activity (up $1.4 million). Trust and investment management fees increased by $1.9 million, or 4.3 percent, compared to the fourth quarter of 2024. The increase was mainly related to an increase in investment management fees, up $2.3 million compared to the fourth quarter of 2024. Investment management fees are generally based on the market value of assets within customer accounts and are thus impacted by price movements in the equity and bond markets. Service charges on deposit accounts increased by $4.5 million, or 15.9 percent, compared to the fourth quarter of 2024.
• During the fourth quarter, we recognized several one-time expense items which in aggregate totaled $16.2 million. These one-time expense items included a payroll transition bonus associated with our change to a bi-weekly payroll cycle, a donation to the Frost Charitable Foundation, an additional accrual to increase our medical insurance reserve, and various sundry losses. These items were partly offset by an $8.5 million reversal of our accrual related to a special FDIC insurance assessment.
• Non-interest expense for the fourth quarter of 2025 was $371.7 million, up $35.5 million, or 10.6 percent, compared to the $336.2 million reported for the fourth quarter of 2024. Salaries and wages expense increased by $17.0 million, or 10.3 percent, compared to the fourth quarter of 2024. The increase in salaries and wages was primarily related to an increase in salaries due to annual merit and market increases and an increase in the number of employees. The increase in the number of employees was partly related to our investment in organic expansion in various markets. Salary and wage expense for the fourth quarter was also impacted by $4.2 million related to the aforementioned payroll transition bonus. Employee benefits expense increased by $8.0 million, or 28.1 percent, compared to the fourth quarter of 2024. The increase in employee benefits expense was primarily related to the aforementioned increase in medical/dental expense (up $5.3 million), 401(k) plan expense (up $1.7 million), and payroll taxes (up $682,000). Other non-interest expense increased $14.7 million, or 23.3%, compared to the fourth quarter of 2024. The increase was primarily related to the aforementioned increases in sundry and other miscellaneous expense (up $3.7 million) and donations expense (up $3.3 million); as well as professional services expense (up $2.6 million), among other things. The increase in sundry expenses was driven by a $4.0 million accrual related to a software platform that is no longer aligned with our long-term technology strategy. Net occupancy expense increased by $2.2 million, or 7.0 percent, compared to the fourth quarter of 2024. The increase in net occupancy expense for the quarter was mainly driven by increases in depreciation on buildings and leasehold improvements (up $732,000) and increases in property taxes (up $654,000). These increases were mainly driven by expenses associated with expansion branch locations.
• For the fourth quarter of 2025, the company reported a credit loss expense of $11.2 million and reported net charge-offs of $5.8 million, compared to a credit loss expense of $6.8 million and net charge-offs of $6.6 million for the third quarter of 2025. For the fourth quarter of 2024, the company reported a credit loss expense of $16.2 million and net charge-offs of $14.0 million. The allowance for credit losses on loans as a percentage of total loans was 1.29 percent at December 31, 2025, compared to 1.31 percent at September 30, 2025, and 1.30 percent at December 31, 2024. Non-accrual loans were $70.5 million at the end of 2025, compared to $44.8 million the previous quarter and $78.9 million at year-end 2024.
• During the fourth quarter, the company repurchased 653,913 shares at a total cost of $80.7 million, bringing us to a total of 1.20 million shares repurchased under the 2025 Repurchase Plan for the full year at an average price of $124.67, completing our $150 million authorization.

The Cullen/Frost board declared a first-quarter cash dividend of $1.00 per common share, payable March 13, 2026, to shareholders of record on February 27 of this year. The board of directors also declared a cash dividend of $11.125 per share of Series B Preferred Stock (or $0.278125 per depositary share). The depositary shares representing the Series B Preferred Stock are traded on the NYSE under the symbol "CFR PrB." The Series B Preferred Stock dividend is payable on March 16, 2026, to shareholders of record on February 27 of this year.

In addition, the company's board of directors approved a new share repurchase program with authorization to purchase up to $300 million of Cullen/Frost common stock over a one-year period expiring on January 27, 2027. Share repurchases under the authorization may be made through a variety of methods, which may include open market purchases, in privately negotiated transactions, block trades, accelerated share repurchase transactions, and/or through other legally permissible means. The timing and amount of any share repurchases under the authorization will be determined by management at its discretion and based on market conditions and other considerations. The share repurchase program may be suspended or discontinued at any time at the company's discretion and does not obligate Cullen/Frost to purchase any amount of common stock.

Cullen/Frost Bankers, Inc. will host a conference call on Thursday, January 29, 2026, at 1:00 p.m. Central Time (CT) to discuss the results for the quarter and the year. The media and other interested parties are invited to access the call in a "listen only" mode at 877-709-8150. Playback of the conference call will be available after 5:00 p.m. CT on the day of the call until midnight Sunday, February 1 at 877-660-6853, with the Conference ID# of 13757958. A replay of the call will also be available by webcast at the URL listed below after 5:00 p.m. CT on the day of the call.

Cullen/Frost investor relations website: https://investor.frostbank.com/ 

Cullen/Frost Bankers, Inc. (NYSE: CFR) is a financial holding company, headquartered in San Antonio, with $53.0 billion in assets at December 31, 2025. One of the 50 largest U.S. banks, Frost provides a wide range of banking, investments and insurance services to businesses and individuals across Texas in the Austin, Dallas, Fort Worth, Gulf Coast, Houston, Permian Basin, and San Antonio regions. Founded in 1868, Frost has helped clients with their financial needs during three centuries. Additional information is available at frostbank.com.

Forward-Looking Statements and Factors that Could Affect Future Results

Certain statements contained in this press release that are not statements of historical fact constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 (the "Act"), notwithstanding that such statements are not specifically identified as such. In addition, certain statements may be contained in our future filings with the SEC, in press releases, and in oral and written statements made by us or with our approval that are not statements of historical fact and constitute forward-looking statements within the meaning of the Act. Examples of forward-looking statements include, but are not limited to: (i) projections of revenues, expenses, income or loss, earnings or loss per share, the payment or nonpayment of dividends, capital structure and other financial items; (ii) statements of plans, objectives and expectations of Cullen/Frost or its management or Board of Directors, including those relating to products, services or operations; (iii) statements of future economic performance; and (iv) statements of assumptions underlying such statements. Words such as "believes", "anticipates", "expects", "intends", "targeted", "continue", "remain", "will", "should", "may" and other similar expressions are intended to identify forward-looking statements but are not the exclusive means of identifying such statements.

Forward-looking statements involve risks and uncertainties that may cause actual results to differ materially from those in such statements. Factors that could cause actual results to differ from those discussed in the forward-looking statements include, but are not limited to:

• The effects of and changes in trade and monetary and fiscal policies and laws, including the interest rate policies of the Federal Reserve Board and the implementation of tariffs and other protectionist trade policies.
• Inflation, interest rate, securities market, and monetary fluctuations.
• Local, regional, national, and international economic conditions and the impact they may have on us and our customers and our assessment of that impact.
• Changes in the financial performance and/or condition of our borrowers.
• Changes in the mix of loan geographies, sectors and types or the level of non-performing assets and charge-offs.
• Changes in estimates of future credit loss reserve requirements based upon the periodic review thereof under relevant regulatory and accounting requirements.
• Changes in our liquidity position.
• Impairment of our goodwill or other intangible assets.
• The timely development and acceptance of new products and services and perceived overall value of these products and services by users.
• Changes in consumer spending, borrowing, and saving habits.
• Greater than expected costs or difficulties related to the integration of new products and lines of business.
• Technological changes.
• The cost and effects of cyber incidents or other failures, interruptions, or security breaches of our systems or those of our customers or third-party providers.
• Acquisitions and integration of acquired businesses.
• Changes in the reliability of our vendors, internal control systems or information systems.
• Our ability to increase market share and control expenses.
• Our ability to attract and retain qualified employees.
• Changes in our organization, compensation, and benefit plans.
• The soundness of other financial institutions.
• Volatility and disruption in national and international financial and commodity markets.
• Changes in the competitive environment in our markets and among banking organizations and other financial service providers.
• Government intervention in the U.S. financial system.
• Political or economic instability.
• Acts of God or of war or terrorism.
• The potential impact of climate change.
• The impact of pandemics, epidemics, or any other health-related crisis.
• The costs and effects of legal and regulatory developments, the resolution of legal proceedings or regulatory or other governmental inquiries, the results of regulatory examinations or reviews and the ability to obtain required regulatory approvals.
• The effect of changes in laws and regulations (including laws and regulations concerning taxes, banking, securities, and insurance) and their application with which we and our subsidiaries must comply.
• 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.
• Our success at managing the risks involved in the foregoing items.

In addition, financial markets, international relations, and global supply chains have been significantly impacted by recent U.S. trade policies and practices. Due to the rapidly evolving and changing state of U.S. trade policies, the amount and duration of any tariffs and their ultimate impact on us, our customers, financial markets, and the overall U.S. and global economies is currently uncertain. Nonetheless, prolonged uncertainty, elevated tariff levels or their wide-spread use in U.S. trade policy could weaken economic conditions and adversely impact the ability of borrowers to repay outstanding loans or the value of collateral securing these loans or adversely affect financial markets or the values of securities. To the extent that these risks may have a negative impact on the financial condition of borrowers or financial markets, it could also have a material adverse effect on our business, financial condition and results of operations.

Forward-looking statements speak only as of the date on which such statements are made. We do not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date on which such statement is made, or to reflect the occurrence of unanticipated events.

Cullen/Frost Bankers, Inc.
CONSOLIDATED FINANCIAL SUMMARY (UNAUDITED)
(In thousands, except per share amounts)
	2025								2024
	4th Qtr		3rd Qtr		2nd Qtr		1st Qtr		4th Qtr
CONDENSED INCOME STATEMENTS
Net interest income	$ 448,707		$ 441,618		$ 429,604		$ 416,220		$ 413,518
Net interest income (1)	471,218		463,667		450,558		436,404		433,726
Credit loss expense	11,224		6,779		13,129		13,070		16,162
Non-interest income:
Trust and investment management fees	45,651		44,846		43,669		42,931		43,765
Service charges on deposit accounts	32,360		31,440		29,151		28,621		27,909
Insurance commissions and fees	15,180		15,424		13,879		21,019		14,215
Interchange and card transaction fees	6,290		5,547		5,619		5,402		5,764
Other charges, commissions and fees	15,228		14,730		13,967		13,586		15,208
Net gain (loss) on securities transactions	(836)		—		—		(14)		(112)
Other	18,291		13,660		10,988		12,466		16,075
Total non-interest income	132,164		125,647		117,273		124,011		122,824
Non-interest expense:
Salaries and wages	182,486		169,155		162,149		160,857		165,520
Employee benefits	36,653		34,465		32,826		42,157		28,614
Net occupancy	34,341		34,682		34,640		33,277		32,102
Technology, furniture and equipment	41,575		43,479		40,572		40,118		39,775
Deposit insurance	(1,350)		6,328		6,590		7,184		6,924
Other	77,963		64,369		70,351		64,473		63,232
Total non-interest expense	371,668		352,478		347,128		348,066		336,167
Income before income taxes	197,979		208,008		186,620		179,095		184,013
Income taxes	31,727		33,628		29,617		28,173		29,161
Net income	166,252		174,380		157,003		150,922		154,852
Preferred stock dividends	1,669		1,668		1,669		1,669		1,669
Net income available to common shareholders	$ 164,583		$ 172,712		$ 155,334		$ 149,253		$ 153,183
PER COMMON SHARE DATA
Earnings per common share - basic	$        2.56		$        2.67		$        2.39		$        2.30		$        2.37
Earnings per common share - diluted	2.56		2.67		2.39		2.30		2.36
Cash dividends per common share	1.00		1.00		1.00		0.95		0.95
Book value per common share at end of quarter	69.96		67.64		63.04		61.74		58.46
OUTSTANDING COMMON SHARES
Period-end common shares	63,287		63,801		64,319		64,283		64,197
Weighted-average common shares - basic	63,588		64,080		64,300		64,255		64,116
Dilutive effect of stock compensation	16		41		52		74		121
Weighted-average common shares - diluted	63,604		64,121		64,352		64,329		64,237
SELECTED ANNUALIZED RATIOS
Return on average assets	1.22 %		1.32 %		1.22 %		1.19 %		1.19 %
Return on average common equity	14.80		16.72		15.64		15.54		15.58
Net interest income to average earning assets (1)	3.66		3.69		3.67		3.60		3.53
(1) Taxable-equivalent basis assuming a 21% tax rate.

 

Cullen/Frost Bankers, Inc.
CONSOLIDATED FINANCIAL SUMMARY (UNAUDITED)
	2025								2024
	4th Qtr		3rd Qtr		2nd Qtr		1st Qtr		4th Qtr
BALANCE SHEET SUMMARY
($ in millions)
Average Balance:
Loans	$   21,661		$   21,452		$   21,063		$   20,788		$   20,346
Earning assets	50,033		48,492		47,664		47,424		47,577
Total assets	53,507		51,911		51,191		50,925		51,008
Non-interest-bearing demand deposits	14,268		13,839		13,788		13,798		14,051
Interest-bearing deposits	29,072		28,232		27,972		27,860		27,834
Total deposits	43,340		42,071		41,760		41,658		41,885
Shareholders' equity	4,558		4,243		4,129		4,041		4,057
Period-End Balance:
Loans	$   21,892		$   21,446		$   21,254		$   20,904		$   20,755
Earning assets	49,524		49,147		47,756		48,409		48,878
Total assets	53,041		52,533		51,409		52,005		52,520
Total deposits	42,918		42,517		41,684		42,391		42,723
Shareholders' equity	4,573		4,461		4,200		4,114		3,899
Adjusted shareholders' equity (1)	5,416		5,385		5,341		5,243		5,151
ASSET QUALITY
($ in thousands)
Allowance for credit losses on loans:	$ 281,495		$ 280,221		$ 277,803		$ 275,488		$ 270,151
As a percentage of period-end loans	1.29 %		1.31 %		1.31 %		1.32 %		1.30 %
Net charge-offs:	$     5,843		$     6,589		$   11,151		$     9,691		$   13,962
Annualized as a percentage of average loans	0.11 %		0.12 %		0.21 %		0.19 %		0.27 %
Non-accrual loans:	$   70,482		$   44,778		$   62,393		$   83,534		$   78,866
As a percentage of total loans	0.32 %		0.21 %		0.29 %		0.40 %		0.38 %
As a percentage of total assets	0.13		0.09		0.12		0.16		0.15
CONSOLIDATED CAPITAL RATIOS
Common Equity Tier 1 Risk-Based Capital Ratio	14.06 %		14.14 %		13.98 %		13.84 %		13.62 %
Tier 1 Risk-Based Capital Ratio	14.50		14.59		14.43		14.30		14.07
Total Risk-Based Capital Ratio	15.95		16.04		15.88		15.76		15.53
Leverage Ratio	8.80		9.00		8.98		8.84		8.63
Equity to Assets Ratio (period-end)	8.62		8.49		8.17		7.91		7.42
Equity to Assets Ratio (average)	8.52		8.17		8.07		7.94		7.95
(1) Shareholders' equity excluding accumulated other comprehensive income (loss).

 

Cullen/Frost Bankers, Inc.
CONSOLIDATED FINANCIAL SUMMARY (UNAUDITED)
(In thousands, except per share amounts)
	Year Ended December 31,
	2025		2024		2023
CONDENSED INCOME STATEMENTS
Net interest income	$  1,736,149		$  1,604,612		$  1,558,664
Net interest income (1)	1,821,848		1,687,873		1,651,695
Credit loss expense	44,202		64,985		46,171
Non-interest income:
Trust and investment management fees	177,097		165,270		153,315
Service charges on deposit accounts	121,572		106,230		93,504
Insurance commissions and fees	65,502		61,269		58,271
Interchange and card transaction fees	22,858		21,017		19,419
Other charges, commissions and fees	57,511		53,348		49,026
Net gain (loss) on securities transactions	(850)		(96)		66
Other	55,405		52,060		54,941
Total non-interest income	499,095		459,098		428,542
Non-interest expense:
Salaries and wages	674,647		621,394		547,718
Employee benefits	146,101		122,446		115,306
Net occupancy	136,940		128,751		124,396
Technology, furniture and equipment	165,744		148,487		135,286
Deposit insurance	18,752		37,269		76,589
Other	277,156		244,411		229,367
Total non-interest expense	1,419,340		1,302,758		1,228,662
Income before income taxes	771,702		695,967		712,373
Income taxes	123,145		113,425		114,400
Net income	648,557		582,542		597,973
Preferred stock dividends	6,675		6,675		6,675
Net income available to common shareholders	$      641,882		$      575,867		$      591,298
PER COMMON SHARE DATA
Earnings per common share - basic	$            9.92		$            8.88		$            9.11
Earnings per common share - diluted	9.92		8.87		9.10
Cash dividends per common share	3.95		3.74		3.58
Book value per common share at end of quarter	69.96		58.46		55.64
OUTSTANDING COMMON SHARES
Period-end common shares	63,287		64,197		64,185
Weighted-average common shares - basic	64,054		64,121		64,204
Dilutive effect of stock compensation	45		142		201
Weighted-average common shares - diluted	64,099		64,263		64,405
SELECTED ANNUALIZED RATIOS
Return on average assets	1.24 %		1.16 %		1.19 %
Return on average common equity	15.66		15.81		18.66
Net interest income to average earning assets (1)	3.66		3.53		3.45
(1) Taxable-equivalent basis assuming a 21% tax rate.

 

Cullen/Frost Bankers, Inc.
CONSOLIDATED FINANCIAL SUMMARY (UNAUDITED)
	Year Ended December 31,
	2025		2024		2023
BALANCE SHEET SUMMARY ($ in millions)
Average Balance:
Loans	$        21,244		$        19,801		$   17,893
Earning assets	48,411		46,275		46,186
Total assets	51,889		49,694		49,604
Non-interest-bearing demand deposits	13,924		13,841		15,340
Interest-bearing deposits	28,287		27,124		26,098
Total deposits	42,212		40,965		41,438
Shareholders' equity	4,244		3,787		3,313
Period-End Balance:
Loans	$        21,892		$        20,755		$   18,824
Earning assets	49,524		48,878		47,124
Total assets	53,041		52,520		50,845
Total deposits	42,918		42,723		41,921
Shareholders' equity	4,573		3,899		3,716
Adjusted shareholders' equity (1)	5,416		5,151		4,836
ASSET QUALITY ($ in thousands)
Allowance for credit losses on loan:	$      281,495		$      270,151		$ 245,996
As a percentage of period-end loans	1.29 %		1.30 %		1.31 %
Net charge-offs:	$        33,274		$        40,677		$   34,486
Annualized as a percentage of average loans	0.16 %		0.21 %		0.19 %
Non-accrual loans:	$        70,482		$        78,866		$   60,907
As a percentage of total loans	0.32 %		0.38 %		0.32 %
As a percentage of total assets	0.13		0.15		0.12
CONSOLIDATED CAPITAL RATIOS
Common Equity Tier 1 Risk-Based Capital Ratio	14.06 %		13.62 %		13.25 %
Tier 1 Risk-Based Capital Ratio	14.50		14.07		13.73
Total Risk-Based Capital Ratio	15.95		15.53		15.18
Leverage Ratio	8.80		8.63		8.35
Equity to Assets Ratio (period-end)	8.62		7.42		7.31
Equity to Assets Ratio (average)	8.18		7.62		6.68
(1) Shareholders' equity excluding accumulated other comprehensive income (loss).

 

Cullen/Frost Bankers, Inc.
TAXABLE-EQUIVALENT YIELD/COST AND AVERAGE BALANCES (UNAUDITED)
	2025								2024
	4th Qtr		3rd Qtr		2nd Qtr		1st Qtr		4th Qtr
TAXABLE-EQUIVALENT YIELD/COST(1)
Earning Assets:
Interest-bearing deposits	3.93 %		4.36 %		4.41 %		4.39 %		4.71 %
Federal funds sold	4.28		4.74		4.71		4.79		5.16
Resell agreements	4.13		4.58		4.59		4.60		4.88
Securities(2)	3.82		3.85		3.79		3.63		3.44
Loans, net of unearned discounts	6.43		6.61		6.60		6.57		6.77
Total earning assets	4.94		5.11		5.07		4.99		5.05
Interest-Bearing Liabilities:
Interest-bearing deposits:
Savings and interest checking	0.19 %		0.24 %		0.24 %		0.24 %		0.29 %
Money market deposit accounts	2.08		2.28		2.28		2.27		2.47
Time accounts	3.45		3.79		3.86		3.97		4.32
Total interest-bearing deposits	1.75		1.94		1.93		1.94		2.14
Total deposits	1.17		1.30		1.29		1.30		1.42
Federal funds purchased	3.94		4.34		4.37		4.40		4.71
Repurchase agreements	2.87		3.17		3.23		3.13		3.34
Junior subordinated deferrable interest debentures	6.05		6.30		6.30		6.32		6.87
Subordinated notes payable and other notes	4.69		4.69		4.69		4.69		4.69
Total interest-bearing liabilities	1.92		2.13		2.12		2.12		2.32
Net interest spread	3.02		2.98		2.95		2.87		2.73
Net interest income to total average earning assets	3.66		3.69		3.67		3.60		3.53
AVERAGE BALANCES
($ in millions)
Assets:
Interest-bearing deposits	$   8,431		$   6,816		$   6,169		$   7,238		$   8,577
Federal funds sold	2		3		8		3		3
Resell agreements	10		10		23		10		11
Securities - carrying value(2)	19,929		20,213		20,401		19,384		18,640
Securities - amortized cost(2)	20,995		21,622		21,864		20,839		19,944
Loans, net of unearned discount	21,661		21,452		21,063		20,788		20,346
Total earning assets	$ 50,033		$ 48,492		$ 47,664		$ 47,424		$ 47,577
Liabilities:
Interest-bearing deposits:
Savings and interest checking	$   9,899		$   9,689		$   9,920		$   9,969		$   9,693
Money market deposit accounts	12,619		11,817		11,518		11,432		11,683
Time accounts	6,554		6,726		6,534		6,458		6,458
Total interest-bearing deposits	29,072		28,232		27,972		27,860		27,834
Total deposits	43,340		42,071		41,760		41,658		41,885
Federal funds purchased	27		29		25		18		24
Repurchase agreements	4,586		4,593		4,250		4,147		3,946
Junior subordinated deferrable interest debentures	123		123		123		123		123
Subordinated notes payable and other notes	100		100		100		100		100
Total interest-bearing funds	$ 33,909		$ 33,077		$ 32,471		$ 32,248		$ 32,027
(1) Taxable-equivalent basis assuming a 21% tax rate.
(2) Average securities include unrealized gains and losses on securities available for sale while yields are based on average amortized cost.

A.B. Mendez
Investor Relations
210.220.5234

or

Bill Day
Media Relations
210.220.5427

 

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SOURCE Cullen/Frost Bankers, Inc.

FAQ

What did Cullen/Frost (CFR) report for net income in Q4 2025?

Cullen/Frost reported Q4 2025 net income available to common shareholders of $164.6 million. According to the company, this represents a 7.4% increase versus Q4 2024 and produced diluted EPS of $2.56 for the quarter.

How much did Cullen/Frost (CFR) earn for full-year 2025 and what was EPS?

Cullen/Frost reported full-year 2025 net income available to common shareholders of $641.9 million. According to the company, diluted EPS for 2025 were $9.92, up from $8.87 in 2024, an 11.5% increase in net income.

What dividend did Cullen/Frost (CFR) declare for Q1 2026 and when is it payable?

The board declared a $1.00 per common share cash dividend for Q1 2026. According to the company, the dividend is payable March 13, 2026 to shareholders of record on February 27, 2026.

What share repurchase authorization did Cullen/Frost (CFR) approve on Jan 29, 2026?

The board authorized a repurchase program of up to $300 million of common stock through January 27, 2027. According to the company, repurchases may be made in open market or negotiated transactions at management's discretion.

How did Cullen/Frost's average loans and deposits change in 2025 (CFR)?

Average total loans rose to $21.2 billion in 2025, up about 7.3% year-over-year. According to the company, average total deposits increased to $42.2 billion, a roughly 3.0% increase versus 2024.

What drove Cullen/Frost's higher non-interest expense in Q4 2025 (CFR)?

Non-interest expense increased to $371.7 million in Q4 2025, driven by higher salaries, benefits, and other operating costs. According to the company, one-time items totaling $16.2 million and expansion-related expenses contributed to the rise.