TrustCo Bank reported fourth-quarter net income of $15.6 million, a 38% increase year-over-year, driving a return on average assets of 0.978% and a return on average equity of 9.99%. Net interest income grew 12.4% to $43.7 million, while net interest margin expanded by 22 basis points to 2.82%, reflecting successful repricing of maturing assets and disciplined deposit pricing strategies in a competitive funding environment.

Average total loans reached an all-time high of $5.2 billion, up $126.8 million or 2.5% from the prior year quarter. Home equity lines of credit led portfolio growth with a 13.5% increase of $54.1 million, followed by residential real estate loans up $50.6 million (1.2%) and commercial loans up $24.5 million (8.6%). Total deposits rose to $5.6 billion at quarter end, an increase of $166 million, supported by growth in time deposits, interest-bearing checking accounts and demand deposits.

During 2025, the bank repurchased 1,000,000 shares, representing 5.3% of common stock outstanding under its share buyback program, and has authorized an additional repurchase of up to 2,000,000 shares (11.1%) for 2026. Book value per share increased 7.1% year-over-year to $38.08. Management projects non-interest expenses, excluding other real estate costs, of $27.7 million to $28.2 million per quarter in 2026, reflecting continued investment in growth initiatives rather than cost pressure.

Non-performing loans rose modestly to $20.7 million (0.39% of total loans) from $18.8 million (0.37%), driven in part by two multi-family relationships, all fully guaranteed. The allowance for credit losses stands at $52.2 million, providing a coverage ratio of 253%. Net recoveries for the quarter totaled $14,000, and the ratio of non-performing assets to total assets remained stable at 0.34%, underscoring the bank’s conservative underwriting and strong credit risk management.