Tompkins Financial Corporation (NYSEARCA:TMP) reported financial results for the third quarter of 2025 that presented a mixed picture, with earnings per share falling short of analyst expectations while the company demonstrated significant year-over-year profit growth. The market's initial reaction appeared to reflect this dichotomy, with the stock showing modest movement following the earnings release.
Earnings and Revenue Performance
The company's third quarter results revealed a notable divergence between its bottom-line performance relative to estimates and its substantial growth compared to the prior year.
- Diluted EPS: $1.65, compared to the analyst estimate of $1.719.
- Revenue: $87.44 million, slightly below the estimated $87.87 million.
- Year-over-Year EPS Growth: Up 26.9% from the $1.30 reported in Q3 2024.
- Year-over-Year Net Income Growth: Increased 27.0% to $23.7 million.
While the company missed the earnings target, the strong growth trajectory appears to have provided some support to the stock price, which showed relative stability in recent trading sessions.
Key Operational Highlights
Beyond the headline earnings figures, Tompkins Financial delivered a robust operational performance in the third quarter, driven by fundamental banking strengths.
- Net Interest Income: Increased to $63.9 million, up 6.2% from the previous quarter and 20.1% from the year-ago period.
- Net Interest Margin: Expanded to 3.20%, a significant improvement of 41 basis points from the third quarter of 2024.
- Loan Growth: Total loans reached $6.29 billion, up 6.9% from September 30, 2024.
- Deposit Growth: Total deposits increased to $7.1 billion, a 7.2% increase year-over-year.
- Credit Quality: Nonperforming assets declined to 0.63% of total assets, down from 0.78% a year ago.
Dividend Increase and Capital Position
Reflecting confidence in its financial health, the company's Board of Directors approved an increase in the regular quarterly cash dividend.
- The new dividend of $0.65 per share represents a 4.6% increase over the prior quarter's payment.
- The dividend is payable on November 14, 2025, to shareholders of record on November 7, 2025.
- The company maintained strong capital ratios, with Tier 1 capital to average assets at 9.41%, well above regulatory requirements for well-capitalized institutions.
Looking Ahead
The press release did not provide specific quantitative financial guidance for the coming quarters. This absence of a formal outlook means investors are left to compare the company's operational momentum against analyst projections for future performance. Current analyst estimates for the fourth quarter of 2025 project earnings per share of $1.52 on revenue of $85.55 million.
For a detailed view of historical earnings, future estimates, and analyst projections for Tompkins Financial Corp, you can review the earnings and estimates data.
Disclaimer: This article is for informational purposes only and does not constitute investment advice, financial advice, or a recommendation to buy or sell any security. Investors should conduct their own research and consult with a qualified financial advisor before making any investment decisions.
