Bank of NY Mellon | 10-Q: FY2025 Q3 Revenue Beats Estimate at USD 5.081 B
Revenue: As of FY2025 Q3, the actual value is USD 5.081 B, beating the estimate of USD 4.977 B.
EPS: As of FY2025 Q3, the actual value is USD 1.88, beating the estimate of USD 1.7618.
Securities Services Segment
Revenue
Asset Servicing: $1,141 million in 3Q25, up 12% YoY.
Issuer Services: $313 million in 3Q25, up 10% YoY.
Total Investment Services Fees: $1,454 million in 3Q25, up 11% YoY.
Foreign Exchange Revenue: $143 million in 3Q25, up 4% YoY.
Other Fees: $73 million in 3Q25, up 28% YoY.
Total Fee Revenue: $1,670 million in 3Q25, up 11% YoY.
Investment and Other Revenue: $119 million in 3Q25, up 13% YoY.
Total Fee and Other Revenue: $1,789 million in 3Q25, up 11% YoY.
Net Interest Income: $670 million in 3Q25, up 10% YoY.
Total Revenue: $2,459 million in 3Q25, up 11% YoY.
Operational Metrics
Provision for Credit Losses: - $3 million in 3Q25.
Noninterest Expense: $1,656 million in 3Q25, up 6% YoY.
Income Before Income Taxes: $806 million in 3Q25, up 26% YoY.
Pre-tax Operating Margin: 33% in 3Q25.
Cash Flow
Securities Lending Revenue: $62 million in 3Q25, up 32% YoY.
Unique Metrics
AUC/A: $41.7 trillion at 3Q25, up 11% YoY.
Market Value of Securities on Loan: $554 billion at 3Q25, up 14% YoY.
Future Outlook and Strategy
Focus on higher client activity, market values, and disposal gains.
Market and Wealth Services Segment
Revenue
Pershing: $508 million in 3Q25, up 7% YoY.
Treasury Services: $214 million in 3Q25, up 7% YoY.
Clearance and Collateral Management: $398 million in 3Q25, up 12% YoY.
Total Investment Services Fees: $1,120 million in 3Q25, up 9% YoY.
Foreign Exchange Revenue: $31 million in 3Q25, up 35% YoY.
Other Fees: $70 million in 3Q25, up 21% YoY.
Total Fee Revenue: $1,221 million in 3Q25, up 10% YoY.
Investment and Other Revenue: $22 million in 3Q25, up 10% YoY.
Total Fee and Other Revenue: $1,243 million in 3Q25, up 10% YoY.
Net Interest Income: $524 million in 3Q25, up 26% YoY.
Total Revenue: $1,767 million in 3Q25, up 14% YoY.
Operational Metrics
Provision for Credit Losses: - $3 million in 3Q25.
Noninterest Expense: $895 million in 3Q25, up 7% YoY.
Income Before Income Taxes: $875 million in 3Q25, up 24% YoY.
Pre-tax Operating Margin: 50% in 3Q25.
Unique Metrics
AUC/A: $15.8 trillion at 3Q25, up 10% YoY.
Future Outlook and Strategy
Focus on higher net interest income, market values, and client activity.
Investment and Wealth Management Segment
Revenue
Investment Management Fees: $776 million in 3Q25, down 1% YoY.
Performance Fees: $6 million in 3Q25, down 54% YoY.
Investment Management and Performance Fees: $782 million in 3Q25, down 2% YoY.
Distribution and Servicing Fees: $69 million in 3Q25, flat YoY.
Other Fees: - $78 million in 3Q25.
Total Fee Revenue: $773 million in 3Q25, down 3% YoY.
Investment and Other Revenue: $10 million in 3Q25, up 11% YoY.
Total Fee and Other Revenue: $783 million in 3Q25, down 3% YoY.
Net Interest Income: $41 million in 3Q25, down 9% YoY.
Total Revenue: $824 million in 3Q25, down 3% YoY.
Operational Metrics
Provision for Credit Losses: $0 million in 3Q25.
Noninterest Expense: $640 million in 3Q25, down 5% YoY.
Income Before Income Taxes: $184 million in 3Q25, up 5% YoY.
Pre-tax Operating Margin: 22% in 3Q25.
Unique Metrics
AUM: $2.1 trillion at 3Q25, flat YoY.
Future Outlook and Strategy
Focus on higher market values and efficiency savings.
Other Segment
Revenue
Fee Revenue: - $27 million in 3Q25.
Investment and Other Revenue: $45 million in 3Q25.
Total Fee and Other Revenue: $18 million in 3Q25.
Net Interest Income (Expense): $1 million in 3Q25.
Total Revenue: $19 million in 3Q25.
Operational Metrics
Provision for Credit Losses: - $1 million in 3Q25.
Noninterest Expense: $45 million in 3Q25.
(Loss) Before Income Taxes: - $25 million in 3Q25.
Unique Metrics
Average Loans and Leases: $1.6 billion in 3Q25.
Future Outlook and Strategy
Focus on managing higher staff expense and litigation reserves.
