BNY Mellon Reports Q1 2025 EPS of $1.58 as Revenue Rises 6% Amid Growth in Custody Assets and Strong Profitability

The Bank of New York Mellon Corporation (NYSE: BK) reported first-quarter 2025 diluted earnings per share of $1.58, up 26% from the same period last year. Total revenue rose 6% year-over-year to $4.8 billion, driven by growth in net interest income, client flows, and higher market valuations. Net income applicable to common shareholders increased 21% to $1.15 billion.

Assets under custody and/or administration (AUC/A) reached $53.1 trillion, up 9% year-over-year, while assets under management (AUM) remained flat at $2.0 trillion. Net interest income rose 11% to $1.16 billion, supported by reinvestment at higher yields. Fee revenue increased 3%, while noninterest expense rose 2% due to higher investments and employee merit increases.

The bank achieved a return on common equity of 12.6% and a return on tangible common equity of 24.2%. Its Common Equity Tier 1 (CET1) ratio improved to 11.5%, and Tier 1 leverage ratio reached 6.2%, both showing sequential and annual increases.

BNY returned $1.1 billion to shareholders during the quarter through $343 million in dividends and $746 million in share repurchases, representing a total payout ratio of 95%.

CEO Robin Vince noted continued momentum in the bank’s transformation strategy and highlighted its readiness to navigate a more uncertain macroeconomic environment. BNY also emphasized its strong capital position and platform-based client approach.

The Bank of New York Mellon Corporation (BNY) has announced the redemption of all issued and outstanding Floating Rate Senior Notes due April 25, 2025, with a total principal amount of $400 million. The redemption date is set for March 25, 2025, and the redemption price will be 100% of the principal amount plus any accrued and unpaid interest up to but excluding the redemption date. After this date, the notes will no longer be outstanding, and interest will cease to accrue. Payment will be processed through The Depository Trust Company.

BNY is a global financial services company managing $52.1 trillion in assets under custody and administration, with $2.0 trillion in assets under management as of December 31, 2024. The company serves major financial institutions, pension plans, governments, and corporations worldwide.

For further details, media inquiries can be directed to Garrett Marquis at garrett.marquis@bny.com, and analyst inquiries to Marius Merz at marius.merz@bny.com.

New York, NY – March 10, 2025 – The Bank of New York Mellon Corporation (NYSE: BK) has completed the issuance of Series J Noncumulative Perpetual Preferred Stock and the public offering of 500,000 depositary shares, each representing a 1/100th interest in a share of Series J Preferred Stock.

Key Highlights of the Offering
The Series J Preferred Stock was issued on March 10, 2025, following the filing of a Certificate of Designations with the Secretary of State of the State of Delaware on March 7, 2025.
The depositary shares were offered pursuant to an Underwriting Agreement between BNY Mellon and leading investment banks including:
Deutsche Bank Securities Inc.
Goldman Sachs & Co. LLC
Morgan Stanley & Co. LLC
RBC Capital Markets, LLC
UBS Securities LLC
BNY Mellon Capital Markets, LLC
Restrictions on Dividends
Under the terms of the Series J Preferred Stock, BNY Mellon may face restrictions on declaring or paying dividends on common stock or any junior ranking securities if dividends on the Series J Preferred Stock are not declared and paid for the most recent dividend period.

Legal and Regulatory Filings
The Certificate of Designations, establishing the rights, preferences, and limitations of the Series J Preferred Stock, was filed as Exhibit 3.1 to BNY Mellon's Form 8-K.
The Underwriting Agreement, detailing the terms of the public offering, was filed as Exhibit 1.1 and is incorporated into BNY Mellon's Form S-3 (File No. 333-282710).
Sullivan & Cromwell LLP, acting as legal counsel, has issued an opinion on the legality of the issuance, filed as Exhibit 5.1.
The Deposit Agreement, governing the issuance and administration of the depositary shares, was executed with Computershare Inc. and Computershare Trust Company, N.A., and is filed as Exhibit 4.2.
Market Impact and Strategic Considerations
The issuance of the Series J Preferred Stock and the public offering of depositary shares are expected to strengthen BNY Mellon’s capital position and provide additional financial flexibility.

The Bank of New York Mellon Corporation (BNY) announced its fourth quarter 2024 financial results, reporting earnings per common share (EPS) of $1.54 and adjusted EPS of $1.72. For the full year, EPS was $5.80, with adjusted EPS at $6.03. The company highlighted a record net income of $4.3 billion and record revenue of $18.6 billion for the year, reflecting a 23% return on tangible common equity. This performance was driven by significant operating leverage, leading to pre-tax margin and profitability expansion. BNY also returned $4.4 billion in capital to shareholders in 2024.