The Bank of New York Mellon reported a record net income of $5.3 billion for fiscal 2025, representing a 24% increase over 2024. Total revenue reached $20.1 billion, up 8% year-over-year, driven by broad-based growth across its custody, administration and asset management businesses. Return on tangible common equity climbed to 26%, reflecting both operating leverage and disciplined capital management, while adjusted earnings per share for the year rose to $7.50, comfortably above prior guidance.

In the fourth quarter, adjusted earnings per share came in at $2.08, surpassing the consensus estimate of $1.99. Revenue for the quarter was $5.18 billion, 7% higher than Q4 2024 and slightly ahead of the $5.15 billion consensus. Net interest income increased 13% to $1.35 billion, benefiting from the reinvestment of maturing securities at higher yields, partially offset by deposit margin pressure. Fee revenue rose 5%, reflecting strong performance in securities services and asset management fees.

Assets under custody and administration grew 14% year-over-year to $59.3 trillion, while assets under management increased 7% to $2.2 trillion, driven by market appreciation and net new business. The bank reaffirmed its 2026 revenue growth target of approximately 5% and reiterated plans for substantial capital returns through dividends and share repurchases, underpinned by a CET1 ratio above 13% and a disciplined approach to expense management. Management warned that further margin expansion may slow as cost-efficiency gains become more incremental.