#United States #San Antonio #2025 Earnings #Cullen/Frost Bank #CFR

Cullen/Frost Bankers, Inc. Financial Report Overview

Cullen/Frost Bankers, Inc. (NYSE: CFR) recently released its financial results for the fourth quarter and the entire year of 2025. The report reveals a positive trajectory in both net income and earnings per share, signaling robust performance in a competitive financial landscape.

Q4 Financial Performance

For the fourth quarter of 2025, the bank reported a net income available to common shareholders amounting to $164.6 million. This figure reflects an increase of $11.4 million, or 7.4%, compared to the $153.2 million reported for the same quarter in 2024. On a per-share basis, net income for the fourth quarter was $2.56 per diluted common share, up from $2.36 in the fourth quarter of the previous year.

Furthermore, the returns on average assets and average common equity for Q4 of 2025 stood at 1.22% and 14.80%, respectively. Comparatively, in Q4 2024, these figures were 1.19% and 15.58%.

Annual Financial Performance

Over the entire year of 2025, Cullen/Frost Bankers reported a net income of $641.9 million, reflecting an 11.5% increase from $575.9 million in 2024. Earnings per diluted common share rose to $9.92, compared to $8.87 in 2024. The returns on assets and equity for the year were also strong at 1.24% and 15.66%, respectively, compared to 1.16% and 15.81% in the prior year.

Strategic Growth Initiatives

Phil Green, Chairman and CEO of Cullen/Frost, expressed confidence about the bank's momentum entering 2026, emphasizing their strategic initiatives aimed at organic growth. Notably, the bank expanded its physical presence by opening 10 new financial centers across key markets including Austin, Dallas, and San Antonio throughout 2025.

Interest Income and Deposits

In terms of revenue, Cullen/Frost reported net interest income on a taxable-equivalent basis of $471.2 million for Q4 2025, representing an 8.6% increase compared to $433.7 million in Q4 2024. Additionally, average loans rose to $21.7 billion, marking a 6.5% increase year-over-year. Average deposits also increased significantly, reaching $43.3 billion in the fourth quarter, compared to $41.9 billion during the same quarter in the prior year.

Logistical improvements were noted too, as average non-interest-bearing and interest-bearing deposits climbed by 3.1% and 3.0%, respectively, compared to Q3 2025 figures. For the full year, total loans averaged $21.2 billion, a 7.3% increase from 2024, while total deposits averaged $42.2 billion, rising 3.0% over the same period.

Capital Ratios and Share Repurchase Program

Cullen/Frost maintained strong capital ratios, with Common Equity Tier 1, Tier 1, and Total Risk-Based Capital Ratios at 14.06%, 14.50%, and 15.95%, respectively, at the end of Q4 2025. These ratios exceed regulatory requirements, reflecting the bank's solid capital position.

The board announced a $300 million share repurchase program, alongside a first-quarter cash dividend of $1.00 per share of common stock to shareholders, payable March 13, 2026.

Conclusion

Through strategic initiatives, efficient management, and a commitment to customer service, Cullen/Frost Bankers continues to thrive in a competitive market. With ongoing growth and a resilient financial position, stakeholders can expect further positive developments as the bank moves forward into 2026.

Cullen/Frost Bankers, Inc., headquartered in San Antonio, Texas, finds itself among the top 50 largest banks in the United States, offering a variety of financial services to businesses and individuals statewide. Founded in 1868, it has established a legacy of trust and commitment to client satisfaction. More details are available on their official website.