BNY Mellon reports mixed Q3 results
19 October 2018 New York
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BNY Mellon has reported a total revenue increase of 1 percent to $4.1 billion in Q3 2018, compared to $4.0 billion in Q3 2017.
On top of the revenue increase, BNY Mellon’s results also show that fee revenue increased 1 percent and net interest revenue increased 6 percent.
Total non-interest expense increased by 3 percent to $2.7 billion.
Continued investments in technology were partially offset by decreases in other expenses, while litigation expenses increased by 2 percent per common share.
Assets under custody and/or administration rose by 7 percent to $34.5 trillion. Assets under management increased slightly to $1.8 trillion.
Charles Scharf, chairman and CEO, said: “While we continued to benefit from a reduction in our tax rate related to the new tax law in the US and from strong capital returns, our revenue growth was modest.”
“We did see reasonable growth in some of our businesses and remain confident that we can increase the rate of growth in the others.”
He added: “We are moving with a sense of urgency to improve our growth trajectory. Bringing in new talent to complement the great expertise we already have is critical.”
“Knowing it will take time to increase our organic revenue growth, we remain keenly focused on expenses and continue to believe there are meaningful opportunities to become more efficient in both the short and the long term, which will help fund investments to improve the quality of our work and build additional capabilities for our clients," Scharf concluded.
On top of the revenue increase, BNY Mellon’s results also show that fee revenue increased 1 percent and net interest revenue increased 6 percent.
Total non-interest expense increased by 3 percent to $2.7 billion.
Continued investments in technology were partially offset by decreases in other expenses, while litigation expenses increased by 2 percent per common share.
Assets under custody and/or administration rose by 7 percent to $34.5 trillion. Assets under management increased slightly to $1.8 trillion.
Charles Scharf, chairman and CEO, said: “While we continued to benefit from a reduction in our tax rate related to the new tax law in the US and from strong capital returns, our revenue growth was modest.”
“We did see reasonable growth in some of our businesses and remain confident that we can increase the rate of growth in the others.”
He added: “We are moving with a sense of urgency to improve our growth trajectory. Bringing in new talent to complement the great expertise we already have is critical.”
“Knowing it will take time to increase our organic revenue growth, we remain keenly focused on expenses and continue to believe there are meaningful opportunities to become more efficient in both the short and the long term, which will help fund investments to improve the quality of our work and build additional capabilities for our clients," Scharf concluded.
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