$BNY · Bank of New York Mellon Corp
BNY reported Q3 2026 net income of $1.6B ($2.34 GAAP EPS, $2.37 adjusted) on total revenue of $5.676B, up 12% YoY. Fee revenue grew 12% to $4.078B and net interest income rose 15% to $1.423B. The Board raised the quarterly dividend 19% to $0.63/share, and the company repurchased $937M in common stock during the quarter.
- Total revenue rose 12% YoY to $5.676B, driven by 12% fee revenue growth and 15% net interest income growth.
- GAAP diluted EPS of $2.34 vs $1.88 in Q3 2025; adjusted EPS of $2.37 vs $1.91.
- AUC/A reached $63.4 trillion, up 10% YoY on higher market values and net client inflows.
- Board approved a 19% dividend increase to $0.63/share; $937M in common stock repurchased during the quarter.
- CET1 ratio under Standardized Approach declined to 11.0% from 11.9% at year-end 2025, reflecting capital returns.
Extended-hours trading shows BNY at $149.00, down 0.25% from the regular close of $149.37 — a muted reaction suggesting results were largely in line with expectations despite the strong 12% revenue growth and 24% YoY adjusted EPS jump.
BNY's 12% revenue growth and 24% adjusted EPS jump show the custody giant leveraging higher rates and market tailwinds, but declining capital ratios amid aggressive shareholder returns warrant monitoring.
BNY's 12% revenue growth and 29% ROTCE outpace most custody-bank peers, reflecting the benefit of higher rates on its large securities portfolio and scale advantages in asset servicing. The $63.4T AUC/A cements its position as the world's largest custody bank.
Unrealized losses on available-for-sale securities total $2.03B, with held-to-maturity securities carrying $4.18B in gross unrealized losses — concentrated in agency RMBS ($3.5B). Deposit margin compression partially offset NII gains from higher-yielding reinvestments.