TrustCo Bank Corp NY reported second quarter 2026 net income of $17.0 million, a 12.8% increase compared to $15.0 million in the second quarter of 2025. Diluted earnings per share rose 24.1% to $0.98 from $0.79 in the prior year period. The results were driven by continued expansion in net interest income, steady loan and deposit growth, and disciplined capital management. For the six months ended June 30, 2026, net income reached $33.3 million, or $1.89 diluted earnings per share, compared to $29.3 million, or $1.54 diluted earnings per share, for the same period in 2025.

Financial Performance

Net interest income for the second quarter of 2026 increased 9.2% to $45.6 million from $41.7 million in the second quarter of 2025, driven by loan growth at higher interest rates and a decrease in interest expense. The net interest margin expanded to 2.87% from 2.71% in the prior year period, an improvement of 16 basis points. The yield on interest-earning assets increased to 4.27% from 4.19%, while the cost of interest-bearing liabilities declined to 1.79% from 1.91%. The following table summarizes key financial metrics for the quarter and prior periods:

During the second quarter of 2026, TrustCo also recognized an $844 thousand unrealized gain on equity securities resulting from the conversion of Visa Class B-2 shares into a combination of Visa Class B-3 and Visa Class C shares and the fair-value recognition of the Class C shares received.

Loan and Deposit Growth

Average loans increased $197.5 million, or 3.8%, in the second quarter of 2026 compared to the same period in 2025. Average residential loans and Home Equity Credit Lines (HECLs) rose $142.0 million, or 3.2%, and $44.8 million, or 10.4%, respectively. Average commercial loans also grew $13.4 million, or 4.4%. Average deposits increased $208.6 million, or 3.8%, primarily driven by growth in time deposits, interest-bearing checking accounts, and demand deposits. As of June 30, 2026, total loans net of deferred costs stood at $5,377,235 thousand, while total deposits reached $5,681,566 thousand.

Chairman, President, and CEO Robert J. McCormick commented: "We are very pleased to report another quarter of stellar results. As expected, we have seen favorable repricing in our loan portfolio that has contributed to improving net interest margin. We also have seen steady growth in loans and deposits – each of which is up 3.8% year over year. This kind of symmetry in loan and deposit growth represents the ongoing realization of one of our long-time business goals."

Capital Position and Share Repurchases

Book value per share as of June 30, 2026 was $38.53, up 4.8% from $36.75 as of June 30, 2025. The consolidated equity-to-assets ratio stood at 10.05% as of June 30, 2026, compared to 10.91% a year earlier. TrustCo repurchased one million shares, or 5.6%, of its outstanding common stock in the first half of 2026 under its stock repurchase program, which authorizes the repurchase of up to two million shares, or 11.1%, in 2026. The company has purchased 10.5% of outstanding common stock under the 2026 and 2025 programs combined and is on pace to complete the repurchase of a total of three million shares, or 15.8%, by the end of 2026.

Asset Quality

Asset quality remained stable during the quarter. TrustCo recorded a provision for credit losses of $650 thousand in the second quarter of 2026, flat compared to the same period in 2025. The allowance for credit losses on loans was $54.1 million as of June 30, 2026, compared to $51.3 million as of June 30, 2025. Nonperforming loans (NPLs) were $21.8 million, or 0.40% of total loans, as of June 30, 2026, compared to $17.9 million, or 0.35%, a year earlier. The coverage ratio stood at 248.6% as of June 30, 2026, versus 286.2% as of June 30, 2025. Nonperforming assets (NPAs) were $23.0 million as of June 30, 2026, compared to $19.0 million as of June 30, 2025.

About TrustCo Bank Corp NY

TrustCo Bank Corp NY is a $6.5 billion savings and loan holding company and through its subsidiary, Trustco Bank, operated 132 offices in New York, New Jersey, Vermont, Massachusetts, and Florida as of June 30, 2026. The Bank's Wealth Management Department offers a full range of investment services, retirement planning, and trust and estate administration services.

TrustCo Bank Corp NY will release its second quarter 2026 financial results after the market close on July 21, 2026. The announcement provides investors with the specific timing for the upcoming earnings disclosure and the subsequent analyst conference call.

The company follows a consistent schedule for releasing results on the 21st of the reporting months—January, April, July, and October. If the 21st falls on a Friday, weekend, or holiday, the results are released on the next day equity markets are open.

A conference call to discuss the financial performance is scheduled for July 22, 2026, at 9:00 a.m. Eastern Time. Participants can join the call by dialing the toll-free number for North America, 1-833-461-5787, and using Meeting ID 562 250 806.

The event will be accessible via an audio webcast, with a replay available for one year at the same link. The earnings press release and related corporate information, including annual reports and SEC filings, will be posted on the company’s Investor Relations website.

TrustCo Bank Corp NY is a $6.5 billion savings and loan holding company. Through its subsidiary, Trustco Bank, it operates 132 offices across New York, New Jersey, Vermont, Massachusetts, and Florida. The bank’s Wealth Management Department offers investment services, retirement planning, and trust and estate administration services.