The Bank of New York Mellon Corporation ("BNY") has reported its financial results for the fourth quarter of 2024, demonstrating a strong performance across various key metrics. The company reported earnings per common share of $1.54, or $1.72 as adjusted, for the fourth quarter of 2024, representing a significant increase from the same period in 2023, where the adjusted earnings per common share were $1.29.
Full-year 2024 earnings per common share were $5.80, or $6.03 as adjusted, compared to $3.89 in 2023. This represents a 49% increase in diluted earnings per common share from the previous year.
BNY's total revenue for the fourth quarter of 2024 reached $4.8 billion, marking an 11% increase from the same period in 2023. Adjusted total revenue rose by 8% in the same period.
The company also demonstrated positive operating leverage, with pre-tax margin and profitability expansion. Notably, the pre-tax operating margin was 30% for the fourth quarter of 2024, or 34% excluding notable items.
BNY's return on tangible common equity (ROTCE) was reported at 23.3% for the fourth quarter of 2024, or 26.1% excluding notable items. This is an improvement from the same period in 2023, where the ROTCE was 21.5%.
In terms of key financial information, BNY reported a 2% increase in net income applicable to common shareholders for the fourth quarter of 2024 compared to the same period in 2023. Diluted EPS also saw a notable increase of 633% from the same period in 2023.
The company's capital distribution for the full year of 2024 included returning $1.1 billion of capital to common shareholders, a total payout ratio of 102%, and a common equity tier 1 ("CET1") ratio of 11.2%.
BNY's assets under custody and/or administration ("AUC/A") and assets under management ("AUM") saw positive growth, with AUC/A increasing by 9% and AUM by 3% for the fourth quarter of 2024 compared to the same period in 2023.
In the securities services business segment, BNY reported a 5% increase in total revenue across its different lines of business for the fourth quarter of 2024 compared to the same period in 2023. The pre-tax operating margin for this segment was 28%, a slight improvement from the same period in 2023.
For the market and wealth services business segment, BNY reported an 8% increase in total revenue across its different lines of business for the fourth quarter of 2024 compared to the same period in 2023. The pre-tax operating margin for this segment was 48%, showing a positive trend from the same period in 2023.
Following these announcements, the company's shares moved 6.0%, and are now trading at a price of $80.51. For more information, read the company's full 8-K submission here.
