State Street : 2Q 2025 Earnings 2Q25 Financial Tables

Published: 2025-07-15 13:42:08 ET STT

Published on 07/15/2025 at 13:42

4-Year Summary of Results 2

Consolidated Results of Operations 3

Consolidated Statement of Condition 5

Average Statement of Condition - Rates Earned and Paid - Fully Taxable-Equivalent Basis 6

Average Statement of Condition - Rates Earned and Paid - Fully Taxable-Equivalent Basis - Year-to-Date 7

Selected Average Balances by Currency - Rates Earned and Paid 8

Investment Portfolio Holdings by Asset Class 9

Allowance for Credit Losses 11

Assets Under Custody and/or Administration 12

Assets Under Management 13

Line of Business Information 14

Regulatory Capital 15

Reconciliations of Tangible Book Value per Share and Return on Tangible Common Equity 16

Reconciliations of Non-GAAP Financial Information 17

Reconciliation of Pre-tax Margin Excluding Notable Items 21

Reconciliations of Constant Currency FX Impacts 22

This financial information should be read in conjunction with State Street's news release dated July 15, 2025.

(Dollars in millions, except per share amounts, or where otherwise noted)

2021

2022

2023

2024

Year ended December 31:

Total fee revenue

$ 10,012

$ 9,606

$ 9,480

$ 10,156

Net interest income

1,905

2,544

2,759

2,923

Other income

110

(2)

(294)

(79)

Total revenue

12,027

12,148

11,945

13,000

Provision for credit losses

(33)

Total expenses

8,889

8,801

9,583

9,530

Income before income tax expense

3,171

3,327

2,316

3,395

Income tax expense

478

553

372

708

Net income

2,693

2,774

1,944

2,687

Net income available to common shareholders

$ 2,572 $ 2,660 $ 1,821

2,483

Per common share:

Diluted earnings per common share

$ 7.19

$ 5.58

$ 8.21

Average diluted common shares outstanding (in thousands)

357,962

370,109

326,568

302,226

Cash dividends declared per common share

$ 2.18

$ 2.40

$ 2.64

$ 2.90

Closing price per share of common stock (at year end)

93.00

77.57

77.46

98.15

Average balance sheet:

Investment securities

$ 111,730

$ 111,929

$ 105,765

$ 104,784

Total assets

299,743

286,430

274,696

311,723

Total deposits

235,404

222,874

205,111

225,611

Ratios and other metrics:

Return on average common equity

10.7 %

11.1 %

8.2 %

11.1 %

Return on average tangible common equity(1)

17.2

17.4

13.3

17.9

Pre-tax margin

26.4

27.4

19.4

26.1

Pre-tax margin, excluding notable items(2)

27.6

28.4

26.4

27.6

Net interest margin, fully taxable-equivalent basis

0.74

1.03

1.20

1.10

Common equity tier 1 ratio(3)(4)

14.3

13.6

11.6

10.9

Tier 1 capital ratio(3)(4)

16.1

15.4

13.4

13.2

Total capital ratio(3)(4)

17.5

16.8

15.2

14.8

Tier 1 leverage ratio(3)

6.1

6.0

5.5

5.2

Supplementary leverage ratio(3)

7.4

7.0

6.2

Assets under custody and/or administration (in trillions)

$ 43.68

$ 36.74

$ 41.81

$ 46.56

Assets under management (in trillions)

4.14

3.48

4.13

4.72

(1)Return on average tangible common equity is calculated by dividing the net income available to common shareholders (GAAP-basis) for the relevant period by average tangible common equity (non-GAAP). Refer to the Reconciliations of Tangible Book Value per Common Share and Return on Tangible Common Equity page for details.

(2)Notable items include acquisition and restructuring costs, repositioning charges and legal and other notable items. Refer to Reconciliations of pre-tax margin excluding notable items for details.

(3)The capital ratios presented are calculated in conformity with the applicable regulatory guidance in effect as of each period end.

(4)The reportable ratios represent the lower of each of the risk-based capital ratios under both the Standardized Approach and the Advanced Approaches.

Quarters

% Change

Year-to-Date

% Change

(Dollars in millions, except per share amounts, or where otherwise noted)

1Q24

2Q24

3Q24

4Q24

1Q25

2Q25

vs. 2Q24

2Q25

vs. 1Q25

2024

2025

YTD2025

vs.

YTD2024

Fee revenue:

Servicing fees

$ 1,228

$ 1,239

$ 1,266

$ 1,283

$ 1,275

$ 1,304

5.2 %

2.3 %

$ 2,467

2,579

4.5 %

Management fees

510

511

527

576

562

10.0

1,021

1,124

10.1

Foreign exchange trading services

331

336

374

360

362

431

28.3

19.1

667

793

18.9

Securities finance

108

116

118

114

126

16.7

10.5

204

240

17.6

Front office software and data

144

152

146

197

158

169

11.2

7.0

296

327

10.5

Lending related and other fees

(1.6)

(9.0)

125

128

2.4

Software and processing fees

207

214

208

259

225

230

7.5

2.2

421

455

8.1

Other fee revenue

125

37.5

Total fee revenue

2,422

2,456

2,616

2,662

2,570

2,719

10.7

5.8

4,878

5,289

8.4

Net interest income:

Interest income

2,889

2,998

3,081

3,009

2,922

3,055

1.9

4.6

5,887

5,977

1.5

Interest expense

2,173

2,263

2,358

2,260

2,208

2,326

2.8

5.3

4,436

4,534

2.2

Net interest income

716

735

723

749

714

729

(0.8)

2.1

1,451

1,443

(0.6)

Other income:

Gains (losses) related to investment securities, net

(80)

Total other income

(80)

Total revenue

3,138

3,191

3,259

3,412

3,284

3,448

8.1

5.0

6,329

6,732

6.4

Provision for credit losses

13.5

Expenses:

Compensation and employee benefits

1,252

1,099

1,134

1,212

1,262

1,280

16.5

1.4

2,351

2,542

8.1

Information systems and communications

432

454

463

480

497

523

15.2

5.2

886

1,020

15.1

Transaction processing services

248

250

255

245

258

260

4.0

0.8

498

518

4.0

Occupancy

103

106

105

123

103

105

(0.9)

1.9

209

208

(0.5)

Amortization of other intangible assets

(6.7)

3.7

120

110

(8.3)

Other

418

300

295

326

276

305

1.7

10.5

718

581

(19.1)

Total expenses

2,513

2,269

2,308

2,440

2,450

2,529

11.5

3.2

4,782

4,979

4.1

Income before income tax expense

598

912

925

960

822

889

(2.5)

8.2

1,510

1,711

13.3

Income tax expense

135

201

195

177

178

196

(2.5)

10.1

336

374

11.3

Net income

$ 463

$ 711

$ 730

$ 783

$ 644

$ 693

(2.5)

7.6

$ 1,174

1,337

13.9

Quarters % Change Year-to-Date % Change

2Q25

YTD2025

vs.

(Dollars in millions, except per share amounts, or where otherwise noted)

1Q24

2Q24

3Q24

4Q24

1Q25

2Q25

2Q24

1Q25

2024

2025

YTD2024

Adjustments to net income:

Dividends on preferred stock

$ (45)

$ (55)

$ (48)

$ (54)

$ (46)

$ (63)

(14.5)%

(37.0)%

$ (100)

$ (109)

(9.0)%

Earnings allocated to participating securities

(1)

Net income available to common shareholders

$ 418

$ 655

$ 682

$ 728

$ 597

$ 630

(3.8)

5.5

$ 1,073

$ 1,227

14.4

Per common share:

Basic earnings

$ 1.38

$ 2.18

$ 2.29

2.50

$ 2.07

$ 2.20

0.9

6.3

$ 3.56

$ 4.27

19.9

Diluted earnings

1.37

2.15

2.26

2.46

2.04

2.17

0.9

6.4

3.52

4.21

19.6

Average common shares outstanding (in thousands):

Basic

301,991

300,564

297,365

291,686

288,562

286,281

(4.8)

(0.8)

301,278

287,415

(4.6)

Diluted

305,943

304,765

301,847

296,420

292,716

290,490

(4.7)

(0.8)

305,354

291,596

(4.5)

Cash dividends declared per common share

$ 0.69

$ 0.76

10.1

$ 1.38

$ 1.52

10.1

Closing price per share of common stock (as of quarter end)

77.32

74.00

88.47

98.15

89.53

106.34

43.7

18.8

74.00

106.34

43.7

Book value per common share

$ 72.85

$ 74.50

$ 78.22

$ 77.95

$ 80.13

$ 83.16

11.6

3.8

$ 74.50

$ 83.16

11.6

Tangible book value per common share(1)

45.06

46.10

49.22

49.14

51.23

53.56

16.2

4.5

46.10

53.56

16.2

Balance sheet averages:

Investment securities

$101,318

$105,098

$107,364

$105,322

$110,070

$ 112,083

6.6

1.8

$103,208

$111,082

7.6

Total assets

298,570

306,298

314,640

327,181

337,291

353,779

15.5

4.9

302,434

345,580

14.3

Total deposits

218,892

220,881

225,482

237,066

243,036

260,745

18.0

7.3

219,886

251,938

14.6

Ratios and other metrics:

Effective tax rate

22.5 %

22.1 %

21.1 %

18.4 %

21.7 %

22.0 %

(0.1)% pts

0.3 % pts

22.3 %

21.9 %

(0.4)% pts

Return on average common equity

7.7

11.9

12.0

12.7

10.6

10.8

(1.1)

0.2

9.8

10.7

0.9

Return on average tangible common equity(2)

12.4

19.3

20.3

16.4

16.7

(2.6)

0.3

15.9

16.6

0.7

Pre-tax margin

19.1

28.6

28.4

28.1

25.0

25.8

(2.8)

0.8

23.9

25.4

1.5

Pre-tax margin, excluding notable items(3)

23.2

28.6

28.4

29.8

25.0

29.6

1.0

4.6

25.9

27.4

1.5

Net interest margin, fully taxable-equivalent basis

1.13

1.07

1.00

0.96

(0.2)

1.13

0.98

(0.2)

Common equity tier 1 ratio(4)(5)

11.1

11.2

11.6

10.9

11.0

10.7

(0.5)

(0.3)

11.2

10.7

(0.5)

Tier 1 capital ratio(4)(5)

13.2

13.3

13.9

13.2

13.8

13.3

(0.5)

13.3

Total capital ratio(4)(5)

14.9

15.0

15.6

14.8

15.3

14.8

(0.2)

(0.5)

15.0

14.8

(0.2)

Tier 1 leverage ratio(4)

5.4

5.3

5.5

5.2

5.5

5.3

(0.2)

5.3

Supplementary leverage ratio(4)

6.5

6.3

6.4

6.2

6.5

6.3

(0.2)

6.3

Assets under custody and/or administration (in billions)

$ 43,912

$ 44,312

$ 46,759

$ 46,557

$ 46,733

$ 49,000

10.6 %

4.9 %

$ 44,312

$ 49,000

10.6 %

Assets under management (in billions)

4,299

4,369

4,732

4,715

4,665

5,117

17.1

9.7

4,369

5,117

17.1

Average securities on loan(6)

301,247

334,675

349,113

354,372

358,869

386,730

15.6

7.8

317,961

372,877

17.3

(1)Tangible book value per common share is calculated by dividing the period end tangible common equity (non-GAAP) by the total common shares outstanding at period end. Refer to the Reconciliations of Tangible Book Value per Common Share and Return on Tangible Common Equity page for details.

(2)Return on average tangible common equity is calculated by dividing annualized net income available to common shareholders (GAAP-basis) for the relevant period by average tangible common equity (non-GAAP). Beginning in the third quarter of 2024, quarterly annualized net income available to common shareholders is utilized in the quarterly return on average tangible common equity calculation as compared to year-to-date annualized net income available to common shareholders utilized in prior quarters. Prior quarterly periods have been revised to conform to the current presentation. Refer to the Reconciliations of Tangible Book Value per Common Share and Return on Tangible Common Equity page for details.

(3)Notable items include acquisition and restructuring costs, repositioning charges and legal and other notable items. Refer to Reconciliations of non-GAAP Financial Information pages for details.

(4)The capital ratios presented are calculated in conformity with the applicable regulatory guidance in effect as of each period end. Capital ratios as of June 30, 2025 are estimates.

(5)The reportable ratios represent the lower of each of the risk-based capital ratios under both the Standardized Approach and the Advanced Approaches. Refer to Regulatory Capital for details on Standardized and Advanced Approaches ratios.

(6)End-of-period securities on loan were $339,940 million, $339,111 million, $378,713 million and $327,389 million at March 31, 2024, June 30, 2024, September 30, 2024 and December 31, 2024, respectively, and $376,269 million and $387,070 million at March 31, 2025 and June 30, 2025, respectively.

As of % Change

2Q25

vs.

2Q25

vs.

Cash and due from banks $ 3,413 $ 2,898 $ 4,067 $ 3,145 $ 4,658 $ 4,020 38.7 % (13.7)%

(Dollars in millions, except per share amounts) March 31, 2024 June 30, 2024 September 30, 2024 December 31, 2024 March 31, 2025 June 30, 2025 Assets:

2Q24

1Q25

Securities purchased under resale agreements 7,489 6,340 8,334 6,679 7,971 8,275 30.5 3.8

Interest-bearing deposits with banks, net 125,486 99,876 105,121 112,957 119,464 118,835 19.0 (0.5)

Investment securities:

Trading account assets 760 780 802 768 743 791 1.4 6.5

Investment securities held-to-maturity, net(1)52,914 51,051 49,477 47,727 45,505 43,286 (15.2) (4.9)

Investment securities available-for-sale, net 48,640 56,755 56,853 58,895 67,444 70,603 24.4 4.7

Loans 38,635 39,376 41,961 43,200 44,685 47,279 20.1 5.8

Total investment securities 101,554 107,806 106,330 106,622 112,949 113,889 5.6 0.8

Loans, net 38,500 39,240 41,799 43,026 44,509 47,100 20.0 5.8

Allowance for credit losses on loans(2)135 136 162 174 176 179 31.6 1.7

Accrued interest and fees receivable 4,014 4,066 4,160 4,034 4,280 4,589 12.9 7.2

Premises and equipment, net(3)2,479 2,539 2,621 2,715 2,784 2,942 15.9 5.7

Other intangible assets 1,258 1,209 1,166 1,089 1,046 1,014 (16.1) (3.1)

Goodwill 7,582 7,751 7,833 7,691 7,763 7,918 2.2 2.0

Other assets 45,468 53,098 56,248 64,514 66,526 67,344 26.8 1.2

Total assets $ 338,003 $ 325,603 $ 338,481 $ 353,240 $ 372,693 $ 376,717 15.7 1.1

Deposits:

Interest-bearing - U.S. 148,485 140,983 145,527 166,483 168,362 169,444 20.2 0.6

Non-interest-bearing $ 37,367 $ 34,519 $ 31,448 $ 33,180 $ 32,265 $ 34,569 0.1 7.1

Total deposits(4)251,884 239,160 247,429 261,920 272,056 283,024 18.3 4.0

Interest-bearing - Non-U.S. 66,032 63,658 70,454 62,257 71,429 79,011 24.1 10.6

Other short-term borrowings 11,541 13,571 10,018 9,840 11,849 9,844 (27.5) (16.9)

Securities sold under repurchase agreements 3,576 2,716 2,119 3,681 3,524 2,377 (12.5) (32.5)

Long-term debt 19,746 19,737 20,902 23,272 24,846 25,911 31.3 4.3

Accrued expenses and other liabilities 26,823 25,657 32,185 29,201 33,726 28,254 10.1 (16.2)

Shareholders' equity:

Total liabilities 313,570 300,841 312,653 327,914 346,001 349,410 16.1 1.0

Series G, 5,000 shares issued and outstanding 493 493 493 493 493 493 - -

Preferred stock, no par, 3,500,000 shares authorized:

Series I, 15,000 shares issued and outstanding 1,481 1,481 1,481 1,481 1,481 1,481 - -

Series H, 5,000 shares issued and outstanding 494 494 - - - - nm -

Series K, 7,500 shares issued and outstanding - - - - 743 743 nm nm

Series J, 8,500 shares issued and outstanding - - 842 842 842 842 nm -

Surplus 10,724 10,721 10,723 10,722 10,693 10,698 (0.2) -

Common stock, $1 par, 750,000,000 shares authorized(5)(6)504 504 504 504 504 504 - -

Accumulated other comprehensive income (loss) (2,369) (2,314) (1,625) (2,100) (1,792) (1,321) 42.9 26.3

Retained earnings 28,166 28,615 29,073 29,582 29,959 30,373 6.1 1.4

Treasury stock, at cost(7)(15,060) (15,232) (15,663) (16,198) (16,231) (16,506) (8.4) (1.7)

Total shareholders' equity 24,433 24,762 25,828 25,326 26,692 27,307 10.3 2.3

Total liabilities and equity $ 338,003 $ 325,603 $ 338,481 $ 353,240 $ 372,693 $ 376,717 15.7 1.1

(1)Fair value of investment securities held-to-maturity $ 46,823 $ 44,916 $ 44,925 $ 41,906 $ 40,424 $ 38,485

(2)Total allowance for credit losses including off-balance sheet commitments 146 145 171 183 186 192

(3)Accumulated depreciation for premises and equipment 6,193 6,318 6,400 6,461 6,635 6,824

(4)Average total deposits 218,892 220,881 225,482 237,066 243,036 260,745

(5)Common stock shares issued 503,879,642 503,879,642 503,879,642 503,879,642 503,879,642 503,879,642

(6)Total common shares outstanding 301,504,470 299,231,005 294,191,001 288,766,452 288,676,229 285,561,974

(7)Treasury stock shares 202,375,172 204,648,637 209,688,641 215,113,190 215,203,413 218,317,668

Disclaimer

State Street Corporation published this content on July 15, 2025, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on July 15, 2025 at 17:41 UTC.