M&T Bank (MTB) - Get Report shares fell Thursday, after it reported that third-quarter net income fell 9% to $480 million from $526 million a year earlier.

Earnings per share slipped 2% to $3.47 from $3.53. Shares outstanding dropped 6.5% to 132.3 million. A survey of analysts by FactSet Research was looking for profit of $3.58 a share.

Net interest income totaled $1.04 billion, little changed. The net interest margin narrowed to 3.78% from 3.88%.

Non-interest income jumped 15% to $528 million from $459 million. But non-interest expense climbed 11% to $878 million from $776 million.

The Buffalo, N.Y., banking company's results were "in line with our expectations, given the current interest rate and economic environment," Chief Financial Officer Darren King said in a statement.

Revenue increased, "highlighted by 28% growth in our mortgage banking businesses," he said. Higher operating expenses reflected investments in mortgage banking and technology, he said.

M&T shares traded at $151.29 Friday, down 4.8%.

This article is by an independent contributor. At the time of publication, the author held no position in the stock mentioned.