How to crop thumbnail size, from both width and height sides

I would like to crop in particular dimensions but I need that to be done on both height and width of the image. Here is a small illustration of what I am trying to do:

When I try to use this snippet:

add_image_size( 'custom-thumbnail', 160, 160, true);

or even

add_image_size( 'custom-thumbnail', 160, 160, array( 'center', 'center' ));

it only crops the horizontal side and so this is what I get:

And this is what needs to be achieved:

Is there any way to do that in WordPress? I made a lot of searches on Google but without success.

Thank you in advance for your help.