Cullen/Frost Bankers, Inc. (NYSE: CFR) reported financial results for the third quarter of 2026, noting a rise in net income compared to the prior year. Net income available to common shareholders for the third quarter of 2026 was $178.5 million, an increase from $172.7 million in the third quarter of 2025. On a per-share basis, diluted earnings were $2.84 per share for the third quarter of 2026, compared to $2.67 per share in the same period a year earlier.
For the first nine months of 2026, net income available to common shareholders totaled $518.2 million, up 8.6 percent from $477.3 million for the same period in 2025. Diluted earnings per share for the first nine months of 2026 were $8.19, an increase of 11.3 percent from $7.36 in the year-earlier period.
The company reported that average loans increased by $1.9 billion, or 9.0 percent, to $23.4 billion for the third quarter of 2026 compared to the third quarter of 2025. Average deposits also grew, increasing $1.5 billion, or 3.6 percent, to $43.6 billion over the same period.
Net interest income on a taxable-equivalent basis was $490.8 million for the third quarter of 2026, representing a 5.8 percent increase from the third quarter of 2025. The net interest margin was reported at 3.78 percent for the third quarter of 2026.
Non-interest income for the third quarter of 2026 totaled $136.0 million, an increase of $10.3 million, or 8.2 percent, from the third quarter of 2025. This increase was driven by higher trust and investment management fees and gains on the sale of excess bank properties. Non-interest expense for the quarter was $377.2 million, up $24.7 million, or 7.0 percent, from the prior year.
The company reported a credit loss expense of $12.1 million and net charge-offs of $8.4 million for the third quarter of 2026. Non-accrual loans were $63.7 million at the end of the quarter. The company’s capital ratios remained above regulatory requirements, with Common Equity Tier 1, Tier 1, and Total Risk-Based Capital Ratios at 13.76 percent, 14.18 percent, and 15.50 percent, respectively.
In a separate announcement, the Cullen/Frost board declared a fourth-quarter cash dividend of $1.03 per common share. The dividend is payable December 15, 2026, to shareholders of record on November 30, 2026. The board also declared a cash dividend of $11.125 per share of Series B Preferred Stock, payable on the same date to shareholders of record on November 30, 2026.
