Webster Financial (NYSE:WBS), the holding company for Webster Bank, reported strong financial results for the fourth quarter ended December 31, 2025.
Net income applicable to common stockholders was $248.7 million, or $1.55 per diluted share, compared with $171.8 million, or $1.01 per diluted share, in the fourth quarter of 2024.
Adjusted earnings per diluted share, excluding items such as gains on debt redemption, a charitable contribution to the Webster Foundation, asset disposal and contract termination costs, acquisition expenses, and a benefit related to the FDIC special assessment, were $1.59 for the quarter, compared with $1.43 in the year-ago period.
Revenue totaled $746.2 million for the quarter.
Period-end loans and leases increased $1.5 billion, or 2.8%, to $56.6 billion from the prior quarter, while period-end deposits rose $0.6 billion, or 0.9%, to $68.8 billion.
The provision for credit losses was $42 million.
Return on average assets was 1.23%, return on average tangible common equity was 17.10%, and the net interest margin was 3.35%, down 5 basis points from the prior quarter.
The efficiency ratio for the period under review was 46.95%, and the tangible common equity ratio was 7.42%.
Similarly, the common equity tier 1 ratio stood at 11.22%.
During the quarter, Webster repurchased 3.6 million shares under its share repurchase program.