The bill forecasts economic growth of 2.1% in 2027, a slight slowdown from the 2.3% projected for this year
FILE PHOTO: Portugal’s Prime Minister Luis Montenegro addresses the 81st United Nations General Assembly (UNGA) at UN headquarters in New York City, US, September 24, 2026. REUTERS/Jeenah Moon/File Photo
International News via Reuters:
Portugal’s parliament on Wednesday approved the centre-right minority government’s 2027 budget bill at first reading despite opposition from far-rght party Chega after the opposition Socialist Party abstained to avert a political crisis.
The bill forecasts economic growth of 2.1% in 2027, a slight slowdown from the 2.3% projected for this year.
It targets a budget surplus of 0.1% of gross domestic product next year, after a balanced budget in 2026, despite a cut in the corporate tax rate to 18% from 19%, tax reductions for lower-income households and higher pension spending.
The budget was backed only by 89 lawmakers from the Social Democrats and two members of the centrist People’s Party, which together form the ruling coalition. A total of 79 lawmakers voted against and 60 abstained, including 58 Socialists.
This is the second time Prime Minister Montenegro’s government has depended on Socialist support to pass a budget, with 60 lawmakers from far-right Chega and a smattering of others from parties including the Liberal Initiative, the far-left Livre, the Communists, and the Left Bloc voting against.
The bill must now pass a second and final vote on Nov 24 after committee discussions and amendments.
Reporting by Sergio Goncalves; Editing by Victoria Waldersee
Ternus took the stage at an Apple event in Los Angeles and showed a MacBook Pro model with an organic light-emitting diode (OLED) display, playing up the display’s contrast, sharpness and brightness in front of an audience of content creators and creative professionals
FILE PHOTO: Apple company logos are seen as two MacBooks stand next to each other in an office in Vienna, Austria January 3, 2019. REUTERS/Leonhard Foeger/FIle Photo
International News via Reuters:
Apple CEO John Ternus unveiled the company’s first touchscreen MacBooks on Wednesday, abandoning a long-held aversion to the technology as it caps a burst of product launches ahead of the holiday shopping season.
Ternus took the stage at an Apple event in Los Angeles and showed a MacBook Pro model with an organic light-emitting diode (OLED) display, playing up the display’s contrast, sharpness and brightness in front of an audience of content creators and creative professionals. He also said the company would return to a glowing logo on the back of the laptops.
“Look, we love the Mac, and it’s the reason why so many of us found our way to Apple in the first place. And the Mac has never been better, and it’s never been stronger,” Ternus said on Wednesday.
The event is part of a media blitz filled with new product launches following Ternus — a former Apple hardware veteran — taking over as the company’s new CEO.
He launched a folding iPhone, Duo, at Apple’s Silicon Valley headquarters in September and a smart home hub in New York earlier this month. While those products will test new markets for Apple, the Los Angeles event could rekindle an old question: should Apple put the touchscreens that it made mainstream in iPhones and iPads in its oldest product line?
Apple executives long resisted the idea, with Steve Jobs saying in 2010 that touchscreens on laptops were “ergonomically terrible” and then-CEO Tim Cook saying in 2012 that such devices would be as pleasing to users as converging a toaster and a refrigerator. Before becoming Apple’s CEO, Ternus argued that Apple already made a touchscreen computer with its iPad lineup.
But touchscreens have been widely available for more than a decade on Windows devices, and with the iPhone nearing its two-decade anniversary, a new generation of buyers expects screens to respond to touch.
“I believe they were always wrong on pushing back on touch, and this is the long arm of reality setting in,” said Anshel Sag, an analyst at Moor Insights & Strategy. “Some things are purely inevitable.”
A key question for Apple is how customers will respond. The company has seen an uptick in Mac sales, but much of that growth has been among technology enthusiasts and businesses buying the machines to handle AI tasks on-device.
Apple said on Wednesday the new MacBook Pro is available for pre-order starting Wednesday and would go on sale on November 6.
The new MacBook Pro starts at $2,899 for the 14-inch model with the M5 Pro chip, while the highest-end configuration starts at $4,799 for the 16-inch model with the more powerful M5 Max chip. The new 16-inch model is 0.7 pounds lighter than the older, non-touchscreen model.
Reporting by Stephen Nellis in Los Angeles; Additional reporting by Aditya Soni and Sri Hari N S; Editing by Muralikumar Anantharaman and Keith Weir
The blue-chip FTSE 100 index ended 0.1% higher, while the midcap FTSE 250 reversed course to close 0.3% lower
A worker walks near an LSEG (London Stock Exchange Group) branded cube inside the LSEG headquarters in Paternoster Square, London, Britain, September 8, 2026. REUTERS/Toby Melville
International News via Reuters:
UK shares closed subdued on Wednesday, as gains in banks after a lower-than-feared levy in finance minister John Healey’s first budget were countered by declines in Unilever and GSK after their results failed to impress investors.
The blue-chip FTSE 100 index ended 0.1% higher, while the midcap FTSE 250 reversed course to close 0.3% lower. It had touched a near two-month high earlier in the session.
Banks were the biggest boosts to the index, up 1.1%. Shares of Lloyds Banking Group, NatWest and Barclays rose between 1% and 2% after Healey announced a temporary increase in the bank profit surcharge to 6% from 3% for 15 months, a rise that was less than feared.
“The move to raise the UK bank surcharge to 6% looks like a halfway compromise and it seems to have been taken very well by the market,” said Christopher Peters, head of trading at Accendo Markets.
The sector was also supported by a 2.4% gain in Standard Chartered as the bank hiked its full-year growth and profitability targets after third-quarter income handily beat estimates.
UK betting firms also rose after Healey announced a smaller-than-feared gambling tax increase. Entain rose 3.6% and Evoke rose 3.7% after Machine Games Duty was raised to 25% from 20%.
Healey announced support to help households through the “global economic storms” with subsidies for energy bills and a freeze in fuel duty. British bond, stock and currency markets were largely sanguine after the announcement.
On the flip side, a lack of clarity on the timeline and funding of a much-awaited scheme to help first-time home buyers hit British homebuilder stocks, which tumbled 6% in their biggest one-day drop since January 2025.
Taylor Wimpey, Persimmon and Barratt Redrow all lost more than 6.5%.
FED DECISION, TECH EARNINGS IN FOCUS
Investors are awaiting the Federal Reserve’s monetary policy decision as well as earnings from big US technology firms for insights into the interest-rate trajectory and the health of the AI trade — factors that have been the main drivers of financial markets this year.
Closer to home, investors are weighing what Healey’s budget means for the Bank of England’s interest-rate path.
“The Bank of England will ultimately have to consider domestic conditions, with UK growth forecast at around 1%, and avoid putting further strain on the economy through excessive rate hikes,” said Evangelos Assimakos, senior investment director at Rathbones.
Brent crude futures rose 1.6% to $115.69 a barrel as continued fighting in Yemen and an attack on Saudi Arabian infrastructure renewed concerns about supply disruptions, lifting the broader energy sector 0.8%. [O/R]
Among notable earnings, GSK dropped 4.8% as its pipeline-build push and growth plans via a £1.9 billion ($2.5 billion) cost-saving programme failed to convince investors.
Unilever fell 2.1% after reporting softer results in its foods business, dragging the personal care, drug and grocery sector down nearly 1.4%.
Reporting by Darshan Kumar and Purvi Agarwal in Bengaluru; Editing by Joyjeet Das, Tasim Zahid and Xevi Fontdegloria
Huerta was one of the foremost women in US labor history, serving the UFW as chief negotiator, strike organizer, lobbyist and reformer during its heyday in the 1960s and ’70s in California’s agriculture-rich Central Valley
Dolores Huerta attends the WIF (Women In Film) Honors 2025 at the Beverly Hilton in Beverly Hills, California, U.S., November 6, 2025. REUTERS/Mario Anzuoni
International News via Reuters:
Dolores Huerta, who co-founded the United Farm Workers (UFW) with Cesar Chavez and fought legislators and powerful growers in the US to improve the lives of a previously powerless constituency, died on Wednesday at the age of 96, her family said in a statement.
Huerta was one of the foremost women in US labor history, serving the UFW as chief negotiator, strike organizer, lobbyist and reformer during its heyday in the 1960s and ’70s in California’s agriculture-rich Central Valley.
Thanks to the contracts the UFW negotiated, farmworkers won job security, healthcare, retirement plans, a credit union and job-specific benefits such as guaranteed rest periods, toilets in the fields, clean drinking water and protection from pesticides.
Huerta was credited with giving the UFW its slogan “Si, se puede,” the loose translation of which, “Yes, we can,” was later used by Barack Obama during his successful 2008 presidential campaign.
She remained a regular on the college lecture circuit into her 90s, speaking out against the immigration policies of President Donald Trump. During elections she traveled the country, endorsing candidates and registering voters.
UFW co-founder Chavez, who died in 1993 and was the face of the organization, was a seventh-grade dropout and former grape picker with a man-of-the-soil appeal who espoused the non-violent philosophies of Gandhi and Martin Luther King, with a nod to Emiliano Zapata, a leader of Mexico’s peasant revolution in the early 20th century.
But Chavez had a dark side. In 2026, Huerta was one of a number of women who came forward with accounts of how they had been sexually assaulted by him, in some cases when they were minors. Huerta said that he had pressured her into having sex one time, and another time raped her. Both encounters resulted in pregnancies, and Huerta said she arranged for the babies to be raised by others.
OUT OF THE SPOTLIGHT
While Chavez was recruiting, going on well-publicized hunger strikes and being embraced by liberal lawmakers and celebrities, the diminutive, college-educated Huerta handled negotiating with growers, lobbying legislators and other business for the UFW.
She was arrested more than 20 times, subjected to death threats and other harassment. She suffered broken ribs and a damaged spleen when beaten by baton-wielding San Francisco police in a 1988 protest against the policies of George H.W. Bush during his presidential campaign.
In an interview with PBS in 2012, before the assault accusations against Chavez came to light, Huerta said she had been fine with him taking the spotlight as she wanted to focus on helping people rather than gaining fame.
“He said, ‘One of us is going to have to be the spokesperson. Are you all right if I’m the spokesperson?’ Of course, I said yes.”
STANDING UP
Huerta was born in Dawson, New Mexico, to a Mexican immigrant family, and spent much of her youth in Stockton, California, after her parents divorced. Her father was a miner, laborer, union activist and state lawmaker; her mother raised three children while buying and running a hotel for low-income people in Stockton.
Huerta’s mother instilled a spirit of activism in her daughter. Huerta was into her second marriage when she became a schoolteacher, but that career did not last long.
“I couldn’t stand seeing kids come to class hungry and needing shoes,” she said. “I thought I could do more by organizing farmworkers than by trying to teach their hungry children.”
She registered voters in Stockton and founded the Agricultural Workers Association before meeting Chavez and joining him in starting the National Farm Workers Association in 1962. In 1965 they began a series of strikes and boycotts that would last five years against various California grape growers and eventually spread to lettuce growers.
During that period the organization evolved into the United Farm Workers and picked up support from King and New York Senator Robert F. Kennedy. Not eating a grape — unless it had a union label — became a political statement in the United States.
The boycotts and strikes sometimes became contentious. In addition to industry opposition, the UFW found itself up against California Governor Ronald Reagan, who denounced the UFW as immoral and made a point of eating grapes on television.
COLLECTIVE BARGAINING
One by one, growers began signing contracts with the UFW and in 1975 Huerta’s work also helped bring about another victory — passage of the California Agricultural Labor Relations Act, the first law in the US that gave farmworkers collective bargaining rights.
Huerta said that being a woman gave her an edge at the negotiating table with growers.
“They really didn’t know how to respond because they couldn’t do the usual forceful type of thing,” she told PBS. “And when you would bring up to them and show them the conditions that the workers were working under, and they were kind of embarrassed, actually.”
In 2012, Obama presented Huerta with the Presidential Medal of Freedom, the country’s highest civilian award.
Her life was the basis of the award-winning film “Dolores” that was shown at the Sundance Film Festival in 2017.
While the UFW’s influence abated, Huerta’s activism did not. In 2002 she established the Dolores Huerta Foundation for community activism with her daughter Camila Chavez as its executive director. She pushed for changes in immigration laws, voter registration, women’s rights and Obama’s healthcare reform.
Huerta, who said she remained close to the two children she had with Chavez, also had two children from her first marriage, five from her second and four from a long-term relationship with Richard Chavez, brother of Cesar and another key UFW figure, who died in 2011.
Reporting by Bill Trott; Additional reporting by Bhargav Acharya and Daphne Psaledakis; Editing by Patricia Reaney and Rosalba O’Brien
Police are currently at the scene of a two vehicle road traffic collision on South Road, near the junction with Knapton Hill, Smith’s.
The collision involved a rental car and a private motor car.
The driver of the rental car has been transported to King Edward VII Memorial Hospital for treatment. The extent of their injuries is unknown at this time.
Traffic diversions are currently in place at St. Mark’s Road and Harrington Hundreds Road while police work to clear the scene.
Motorists are urged to use alternative routes where possible and exercise caution when travelling in the area.
Banks, gambling firms and online marketplaces such as Amazon and Temu are expected to be hit with higher taxes
Britain’s Chancellor of the Exchequer John Healey reacts as he and Prime Minister Andy Burnham visit St Martin‑in‑the‑Fields, a homeless charity in central London, Britain, October 26, 2026. Ian Vogler/Pool via REUTERS
International News via Reuters:
British finance minister John Healey is set to announce a cautious budget plan on Wednesday as he tries to avoid piling more bond market pressure on the new government of Prime Minister Andy Burnham.
Banks, gambling firms and online marketplaces such as Amazon and Temu are expected to be hit with higher taxes. That would help to pay for support for poorer households facing high energy bills and to freeze fuel duty for drivers.
Healey – a former trade union official and a junior Treasury minister in the 1990s – says he wants to give Britain “a bit of breathing space” from the impact of the Iran war that is pushing up inflation.
“This budget is about getting through this difficult moment. But it’s also about putting Britain on a future path, a better future path,” he said in a statement.
DEVOLUTION, DEFENCE AND DEBT
His first budget – due to be announced in parliament just after 12:30 p.m. (1230 GMT) – will detail how the government plans to give regional mayors more control over tax revenues, part of Burnham’s devolution push.
Separately, more than £20 billion in extra support will go to state finance institutions to spur investment in artificial intelligence, defence and green energy by the early 2030s.
On entering Downing Street in July, Burnham promised “the biggest changes in the last 40 years”, including a bigger role for the state in the economy.
But Healey’s options are limited by the surge in borrowing costs for governments around the world including Britain, where investors remember the 2022 “mini-budget” of former Prime Minister Liz Truss and the ensuing bond market meltdown triggered by its unfunded tax cuts.
On Tuesday, Britain paid the highest interest on a 5-year government bond since 2008.
After big tax and spending increases in the two budgets of the previous finance minister Rachel Reeves, Wednesday is being framed as a “steady as she goes” moment for Britain’s economy, which has so far withstood the Iran war energy price shock.
Bond dealers polled by Reuters expect less than £10 billion in extra debt issuance this financial year, compared with April’s forecasts, though they see financing needs for next year being revised up by more than £25 billion.
In an attempt to ease some of Reeves’ big tax hit on employers, Healey has said he would reduce paperwork for businesses to save them £800 million a year.
Bigger policy changes – including how to fix the inflation hit to public spending – are likely to have to wait for a 10-year plan that Burnham has said he will announce later this year and a broad spending review in 2027.
But Healey is under pressure to say now how he intends to pay more for defence – an issue that caused him to quit as defence minister in June in a move that hastened Keir Starmer’s resignation as prime minister.
Possible savings from reforms to Britain’s fast-growing welfare spending could offer a bit of latitude later this year.
But Healey’s biggest hope is for an end to the Iran war, which would lower the government’s bill for servicing £3 trillion of public debt. That was already on course to gobble up more than 10% of public spending before the war began.
He has said he would stick to the government’s fiscal targets, key for maintaining the confidence of the bond market.
Britain’s budget forecasters are expected to say on Wednesday that the margin for meeting the more challenging target has fallen to £15 billion, from £24 billion in March.
The Treasury has announced a string of low-cost policies to try to show it can still help voters, including tariff cuts on some imported goods including gherkins and marmalade.
On Wednesday morning the government said it would remove standing charges on gas bills, fixed daily fees that are applied to bills regardless of usage levels. Instead the cost will be linked to the price of gas consumed, meaning those who use the least will pay less.
Sarah Coles, head of personal finance at investment platform AJ Bell, said targeted tax changes could help carers and parents. “For others they will be a drop in the ocean. Hard-pressed households will be hoping for more support,” Coles said.
Writing by William Schomberg; Editing by Alex Richardson and Andrew Heavens
An alliance of “like-minded partners” would help countries resist the growing use of tariffs and economic coercion, he told a business summit in Tokyo, according to prepared remarks
German Chancellor Friedrich Merz shakes hands with Japanese Prime Minister Sanae Takaichi before their meeting at Takaichi’s official residence in Tokyo, Japan, October 28, 2026. REUTERS/Issei Kato/Pool
International News via Reuters:
German Chancellor Friedrich Merz on Wednesday urged Japan to back a proposed global alliance to defend rules-based trade that he has been touting during a week-long Asia trip.
An alliance of “like-minded partners” would help countries resist the growing use of tariffs and economic coercion, he told a business summit in Tokyo, according to prepared remarks.
“Should the rules of the global trading system be violated by others, or should economic coercion be employed, we could coordinate our actions within the alliance and present a united front,” he said, an apparent reference to the US and China.
In responding to Merz’s proposal, China said it hoped Germany and the EU would be “objective and rational” and that it was committed to working with all parties to maintain the stability of trade and supply chains.
Merz’s initiative echoes calls by Canadian Prime Minister Mark Carney this year for the world’s middle powers to work more closely together to counter pressure from larger economies.
“If we move forward together, the question will no longer be whether we are ‘on the menu’ or ‘sitting at the table’,” Merz said, invoking a line used by Carney during his January speech.
“Because in that case, the restaurant itself belongs to us.”
Germany sees China as both a massive trading partner and a strategic rival. Coinciding with Merz’s visit, a report said Germany’s trade deficit with Asia-Pacific is set to hit a record of nearly €146 billion ($163 billion) in 2026 as falling exports to China outweigh growing sales elsewhere in the region.
Reporting by Andreas Rinke, Writing by Miranda Murray; editing by Matthias Williams
The European steel industry has sought relief from high energy costs and cheaper Asian steel entering the region, and was expected to benefit from tighter EU steel import restrictions introduced in July and the bloc’s carbon border levy on emissions-intensive imports
FILE PHOTO: A view shows SSAB’s steel mill and a sign of joint venture Hybrit, where SSAB, utility company Vattenfall and mining company LKAB are developing “green” steel technology, in Lulea, Sweden, December 5, 2024. REUTERS/Simon Johnson/File Photo
International News via Reuters:
Swedish steelmaker SSAB reported a quarterly operating profit slightly above market expectations on Wednesday, supported by higher steel prices as the European Union’s import curbs kicked in.
However, its shares fell 2.6% by 0917 GMT, as analysts from Jefferies and JPMorgan said its fourth-quarter guidance for somewhat higher pricing and stable shipments in the Americas looked soft.
The European steel industry has sought relief from high energy costs and cheaper Asian steel entering the region, and was expected to benefit from tighter EU steel import restrictions introduced in July and the bloc’s carbon border levy on emissions-intensive imports.
SSAB’s CEO Johnny Sjostrom told Reuters that inventories of imported steel in Europe had largely been worked down, which helped lift prices in the third quarter.
“We can see signs of improved supply-demand balance in the European market,” Sjostrom said in the earnings statement. SSAB also increased shipments of premium steel products in the region.
Market conditions remain particularly strong in European plate steel, where limited supply supports a significant supply-demand gap, Sjostrom said. “When it comes to plate, there’s no idle capacity to be opened up.”
SSAB’s operating earnings rose to 2.16 billion Swedish crowns ($217.2 million) in the third quarter. Analysts were expecting 2.14 billion on average in a company-provided poll.
Higher freight and energy costs linked to the Iran war weighed on the result, particularly in the Special Steels unit, although most of the increase was offset by increased steel prices, Sjostrom said.
SSAB could not fully offset the rise in transportation costs in the quarter, but Sjostrom said it would pass them on to customers in the final three months of the year.
The company expects fourth-quarter shipments to be somewhat lower in Special Steels, higher in Europe and stable in the Americas, with prices seen somewhat higher across divisions, it said.
“Americas 4Q pricing is a disappointment,” Jefferies wrote in its first take on the report.
($1 = 9.9441 Swedish crowns)
Reporting by Marta Frąckowiak in Gdańsk; Editing by Milla Nissi-Prussak
Foreign Minister Anita Orban said at the time that the ministry had bought thousands of surplus ventilators at inflated prices that could not realistically be used, with most still stored in warehouses
Hungarian Foreign Minister Anita Orban attends a joint press conference with German Foreign Minister Johann Wadephul (not pictured) in Budapest, Hungary, September 14, 2026. REUTERS/Bernadett Szabo
International News via Reuters:
Hungary’s tax authority has raided several locations and made arrests in an investigation into COVID-era medical mask and ventilator procurement by the Foreign Ministry.
The raids, announced by the National Tax and Customs Administration late on Tuesday, came after an August 25 report filed with prosecutors by the ministry about suspected fraud in the 2020 purchase of nearly 17,000 ventilators worth a combined 300 billion forints ($910 million) under the previous government led by Viktor Orban.
Foreign Minister Anita Orban said at the time that the ministry had bought thousands of surplus ventilators at inflated prices that could not realistically be used, with most still stored in warehouses.
On Tuesday, the tax agency carried out dawn raids at several locations and questioned 11 suspects, arresting one individual in Austria under a European Arrest Warrant and detaining two others.
An international arrest warrant has also been issued for a suspected leader of the scheme, believed to be residing in Indonesia.
According to the tax authority, the suspects had agreed in 2020 to supply 800 ventilators and 3 million medical masks from China for 15.6 billion forints ($47.31 million).
The group is accused of using a network of shell companies with no real business operations and issuing fraudulent invoices to minimise their VAT obligations, resulting in a 660 million forint ($1.99 million) loss to the state budget.
The tax authority said it was investigating the case for budget fraud, money laundering and other offences.
Separately, the National Bureau of Investigation is conducting its own proceedings relating to mismanagement, including overpricing and questions about the usability of the equipment.
($1 = 329.7200 forints)
Reporting by Anita Komuves;Editing by Alison Williams
GA Tour pro shoots blistering 62 to match 25-year-old landmark held by Michael Sims
PGA Tour Professional Greyson Sigg at Mid Ocean Club, Bermuda
PGA Tour professional Greyson Sigg tied the course record at Mid Ocean Club on Wednesday, October 21, with a 9-under-par round of 62.
In Bermuda to compete in the PGA Tour’s Butterfield Bermuda Championship at Port Royal Golf Course, Sigg visited Mid Ocean Club alongside fellow Tour pro Henrik Norlander and two host members.
Starting strong with early birdies, Sigg reached 4-under through four holes. He maintained his momentum on the back nine, highlighted by a pair of eagles, chipping close on the par-5 11th hole to leave a 3-foot putt and sinking a 10-foot eagle putt on the 15th.
Despite missing a few opportunities down the stretch, Sigg closed out his historic round completely unaware of the landmark achievement until stepping off the 18th green.
“Today was great. The golf course is unbelievable, and I’m thrilled to get a course record,” said Sigg. “Every hole is completely different with great twists and turns. It’s a course I would love to play every day.”
Sigg praised the pristine conditions and windless weather, while also highlighting the warm hospitality. “From the second I stepped foot on the property, everyone was super welcoming. They rolled out the red carpet, and I can attribute a good round of golf to everybody being so kind.”
Sigg’s 62 ties the 25-year course record at Mid Ocean Club, held by Bermudian amateur golfer Michael Sims, recorded on May 31, 2001.
Hole 18 at Mid Ocean Club, Bermuda
Earlier this year, the golf course was rated #44 in Golf Digest magazine’s World’s 100 Greatest Courses, a listing of the best courses outside America.
As the only Charles Blair Macdonald design outside the United States, the 18-hole layout will undergo a restoration project led by world-renowned architect Gil Hanse from October 2027.
The Bank of N.T. Butterfield & Son Limited (“Butterfield” or the “Bank”) (BSX: NTB.BH; NYSE: NTB) today announced financial results for the quarter ended September 30, 2026.
Net income for the third quarter of 2026 was $61.0 million, or $1.50 per diluted common share, compared to net income of $46.9 million, or $1.16 per diluted common share, for the previous quarter and $61.1 million, or $1.46 per diluted common share, for the third quarter of 2025. Core net income for the third quarter of 2026 was $64.2 million, or $1.58 per diluted common share, compared to $63.9 million, or $1.58 per diluted common share, for the previous quarter and $63.3 million, or $1.51 per diluted common share, for the third quarter of 2025.
The return on average common equity for the third quarter of 2026 was 21.3% compared to 16.6% for the previous quarter and 22.5% for the third quarter of 2025. The core return on average tangible common equity for the third quarter of 2026 was 25.0%, compared to 25.0% for the previous quarter and 25.5% for the third quarter of 2025. The efficiency ratio for the third quarter of 2026 was 59.8%, compared to 67.6% for the previous quarter and 57.7% for the third quarter of 2025. The core efficiency ratio1 for the third quarter of 2026 was 57.8% compared with 57.0% in the previous quarter and 56.2% for the third quarter of 2025.
Michael Collins, Butterfield’s Chairman and Chief Executive Officer, commented, “Our third quarter earnings were solid, underpinned by stronger net interest and non-interest income along with reduced credit loss provisions. These results underscore the strength and resilience of Butterfield’s diversified business model and our dedication to meeting the evolving needs of our retail, corporate, and high net worth clients. We continue to prioritize disciplined capital and risk management, outstanding client service, and the creation of sustainable long-term value.
“During the third quarter, we made meaningful progress toward closing the previously announced acquisition of CIBC Caribbean. At our annual meeting on September 18, our shareholders showed their support for the transaction by strongly voting in favor of the issuance of Butterfield shares in connection with the transaction. We continue to expect closing in the first half of 2027.
“Regulatory engagement and integration planning are progressing as expected, and we remain confident in our ability to successfully execute the transaction and realize its long-term strategic and financial benefits. Following the closing, Butterfield will be the leading independent bank across the Atlantic and English-speaking Caribbean with expanded capabilities to provide enhanced personal, corporate, and wealth management services.”
The reported net income for the third quarter of 2026 included $3.2 million of non-core, deal-related expenses, primarily associated with the acquisition of CIBC Caribbean and, to a lesser extent, integration-related costs for the R&H Guernsey business. Core net income¹ increased $0.3 million in the third quarter of 2026 compared to the prior quarter.
NII for the third quarter of 2026 was $97.2 million, an increase compared to $95.6 million in the previous quarter and $4.4 million higher than $92.7 million in the third quarter of 2025. NII increased during the third quarter of 2026 compared to the prior quarter and the third quarter of 2025 due to the ongoing reinvestment of securities at higher yields and improved treasury returns, partially offset by loan yield compression and modestly higher deposit costs.
Net interest margin (“NIM”) for the third quarter of 2026 was 2.76%, an increase of 2 basis points from the previous quarter and 3 basis points higher compared to 2.73% in the third quarter of 2025. The increase in NIM during the third quarter of 2026 compared to the prior quarter and the third quarter of 2025, resulted from higher yields on reinvestments and treasury securities, partially offset by loan yield compression and modestly higher deposit costs.
Non-interest income for the third quarter of 2026 was $64.8 million, an increase of $1.4 million from $63.4 million in the previous quarter and $3.6 million higher than the $61.2 million in the third quarter of 2025. The increase in the third quarter of 2026 compared to the prior quarter resulted from higher banking service revenue driven by increased card volumes and a non-recurring contractual incentive. Non-interest income in the third quarter of 2026 was higher than the third quarter of 2025 due to higher trust revenue from the new R&H Guernsey business and updated fee agreements, offset by lower time-based fees.
Non-interest expenses were $99.3 million in the third quarter of 2026, compared to $109.8 million in the previous quarter and $90.8 million in the third quarter of 2025. Core non-interest expenses1 of $96.2 million in the third quarter of 2026 were higher compared to the $92.9 million incurred in the previous quarter and the $88.5 million in the third quarter of 2025. Core non-interest expenses in the third quarter of 2026 increased compared with the prior quarter and third quarter of 2025, primarily driven by higher salaries and benefits and other expenses.
Period end deposit balances increased to $12.9 billion from $12.7 billion at December 31, 2025. Average deposits were $13.1 billion in the quarter ended September 30, 2026, relatively flat from the prior quarter. The Board declared a quarterly cash dividend of $0.50 per common share to be paid on November 25, 2026 to shareholders of record on November 10, 2026. No common shares were bought back under the Bank’s share repurchase program during the third quarter of 2026, as the program was paused following the May 28, 2026 announcement of Butterfield’s planned acquisition of CIBC Caribbean from CIBC.
The current total regulatory capital ratio as at September 30, 2026 was 29.6%, compared to 27.8% as at December 31, 2025. Both of these ratios remain conservatively above the minimum regulatory requirements applicable to the Bank.
Net Income Net income for the quarter ended September 30, 2026 was $61.0 million, up from $46.9 million in the prior quarter. The change in net income during the quarter ended September 30, 2026 compared to the previous quarter is attributable to the following:
$1.6 million increase in net interest income driven by the continued reinvestment of the securities portfolio at higher yields and improved treasury returns, partially offset by ongoing loan yield compression and modestly higher deposit costs;
$0.7 million decrease in total gains (losses) reflecting the absence of the prior quarter’s gain on the sale of previously fully reserved collateral in the Channel Islands;
$1.4 million increase in non-interest income, driven by (i) $0.6 million increase in foreign exchange fees resulting from higher transaction volumes; and (ii) $0.8 million increase in banking fees due to higher card volumes and non-recurring contractual incentive; and
$10.5 million decrease in non-interest expenses, primarily due to lower non-core business acquisition-related costs of $3.2 million, compared with $16.9 million in the previous quarter, partially offset by (i) $1.5 million increase in salaries and benefits related to staff departure costs; and (ii) $0.5 million increase in other expenses.
Non-Core Items
Non-core items resulted in expenses, net of gains, of $3.2 million for the third quarter of 2026. Non-core items for the quarter are comprised principally of acquisition-related expenses.
Management does not believe that comparative period expenses, gains or losses identified as non-core are
indicative of the results of operations of the Bank in the ordinary course of business.
(1) See table “Reconciliation of US GAAP Results to Core Earnings” below for reconciliation of US GAAP results to non-GAAP measures.
BALANCE SHEET COMMENTARY AT SEPTEMBER 30, 2026 COMPARED WITH DECEMBER 31, 2025
Total Assets
Total assets of the Bank were $14.3 billion at September 30, 2026, an increase of $0.2 billion from December 31,
The Bank maintained a highly liquid position at September 30, 2026, with $9.4 billion of cash, bank deposits, reverse repurchase agreements and liquid investments representing 65.6% of total assets, comparable with 65.6% at December 31, 2025.
Loans Receivable
The loan portfolio totaled $4.4 billion at September 30, 2026, relatively flat compared to December 31, 2025.
The allowance for credit losses at September 30, 2026 totaled $27.0 million, an increase of $1.6 million compared to $25.4 million at December 31, 2025. The increase was driven by a net increase in provisioned non-accrual loans.
The loan portfolio represented 30.7% of total assets at September 30, 2026 (December 31, 2025: 31.1%), while loans as a percentage of total deposits was 33.9% at September 30, 2026 (December 31, 2025: 34.5%). Both ratios remain relatively stable at September 30, 2026 compared to December 31, 2025.
As at September 30, 2026, the Bank had gross non-accrual loans of $119.6 million, representing 2.7% of total gross loans, an increase of $28.3 million from $91.3 million, or 2.1% of total loans, at December 31, 2025. The increase in non-accrual loans was driven by two well-secured residential mortgage facilities in the Channel Islands & UK segment, with the impact partially offset by the repayment of a separate facility within the same segment. The facilities remain well secured with no expected loss content.
Investment in Securities
The investment portfolio was $5.6 billion at September 30, 2026, and remained broadly stable compared with December 31, 2025 balances.
The investment portfolio is made up of high-quality assets with 100% invested in AA-or-better-rated securities. The investment book yield was 2.87% during the quarter ended September 30, 2026 compared with 2.78% during the previous quarter. Total net unrealized losses on the available-for-sale portfolio increased to $187.3 million, compared with total net unrealized losses of $89.4 million at December 31, 2025, as a result of rising long-term US dollar interest rates.
Deposits
Average total deposit balances were $13.1 billion for the quarter ended September 30, 2026, compared with $12.6 billion in the quarter ended December 31, 2025. Period end balances as at September 30, 2026 were $12.9 billion, higher compared to $12.7 billion in December 31, 2025
Assets Under Administration and Assets Under Management
Total assets under administration for the trust and custody businesses were $155.2 billion and $30.9 billion, respectively, at September 30, 2026, while assets under management were $6.8 billion at September 30, 2026. This compares with $134.7 billion, $32.3 billion and $6.9 billion, respectively, at December 31, 2025.
Reconciliation of US GAAP Results to Core Earnings
The table below shows the reconciliation of net income in accordance with US GAAP to core earnings, a non-GAAP measure, which excludes certain significant items that are included in our US GAAP results of operations. We focus on core net income, which we calculate by adjusting net income to exclude certain income or expense items that are not representative of our business operations, or “non-core”. Core net income includes revenue, gains, losses and expense items incurred in the normal course of business. We also present certain other non-GAAP financial measures, including tangible common equity and related tangible equity measures. We believe that these nonGAAP financial measures provide a meaningful base for period-to-period comparisons, which management believes will assist investors in analyzing the operating results of the Bank and predicting future performance. We believe that presentation of these non-GAAP financial measures will permit investors to assess the performance of the Bank on the same basis as management.
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