BNY Revenue Rises 12% to $5.68B on Strong Fee and Interest Income
Bank of New York Mellon reported third-quarter 2026 diluted EPS of $2.34, up 24% year-over-year, driven by double-digit growth in Securities Services and higher net interest income.
What they reported
- Total revenue for the third quarter of 2026 reached $5,676 million, up 12% from $5,081 million in the third quarter of 2025.
- Diluted earnings per share (EPS) rose 24% year-over-year to $2.34, up from $1.88 in 3Q25. Adjusted diluted EPS was $2.37.
- Net interest income increased 15% year-over-year to $1,423 million, reflecting reinvestment of securities at higher yields and balance sheet growth, which offset deposit margin compression.
- Total fee revenue rose 12% to $4,078 million, driven by net new business, higher client activity, and higher market values.
Against the forecast and a year ago
- Consensus forecast data was not provided for comparison.
- Pre-tax operating margin expanded to 38.5% from 36.4% in the prior-year period.
- Return on tangible common equity (ROTCE) rose to 29.0% from 25.6% in 3Q25.
- The company returned $1.4 billion of capital to common shareholders, including $436 million of dividends and $937 million of share repurchases.
What management said
CEO Robin Vince noted that BNY delivered strong results with broad-based growth across platforms, delivering significant operating leverage. He highlighted that client demand continued to grow, with sales and pipelines remaining very healthy across products, client segments, and regions.
What to watch next
- Assets under custody and/or administration (AUC/A), which grew 10% year-over-year to $63.4 trillion, primarily reflecting higher market values and net client inflows.
- Assets under management (AUM), which grew 2% to $2.2 trillion, as market gains were partially offset by cumulative net outflows and a stronger U.S. dollar.
- Average deposits, which rose 4% year-over-year to $311 billion but fell 1% sequentially from the second quarter of 2026.