Northern Trust reports higher profit as fee income climbs

NORTHERN TRUST CORP reported a significant increase in first-quarter profit, as favorable market conditions bolstered assets under custody and fee-related earnings. The firm, which is headquartered in the United States, services a wide range of institutional clients and has capitalized on heightened market activity and portfolio rebalancing. These results parallel the performance of industry peers such as BNY Mellon and STATE STREET CORP, both of which recently reported profit gains amid market volatility and geopolitical shifts.

Net income for the quarter ending March 31 rose to $525.5 million, or $2.71 per share, compared to $392 million, or $1.90 per share, in the same period last year. Total revenue for the quarter reached $2.21 billion, up from $1.95 billion a year earlier. Assets under custody and administration grew 10% to $18.55 trillion, while assets under management stood at $1.78 trillion. Fee income experienced an 11% increase to $1.34 billion, and net interest income—the difference between earnings on assets and interest paid on liabilities—surged 15% to $662 million.

Following the earnings release, shares of the company rose approximately 1% in premarket trading. The stock has seen a robust performance so far this year, with a total gain of over 16%.