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The Bank of New York Mellon (BK) Reports Q3 Earnings: What Key Metrics Have to Say

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The Bank of New York Mellon Corporation (BK - Free Report) reported $4.65 billion in revenue for the quarter ended September 2024, representing a year-over-year increase of 6.3%. EPS of $1.52 for the same period compares to $1.27 a year ago.

The reported revenue compares to the Zacks Consensus Estimate of $4.52 billion, representing a surprise of +2.76%. The company delivered an EPS surprise of +7.80%, with the consensus EPS estimate being $1.41.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how The Bank of New York Mellon performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Total interest-earning assets - Average balance: $356.93 billion versus $343.50 billion estimated by five analysts on average.
  • Net Interest Margin (FTE Basis): 1.2% versus 1.1% estimated by five analysts on average.
  • Tier 1 Leverage Ratio: 6% compared to the 6% average estimate based on four analysts.
  • Tier 1 Capital Ratio (Standardized Approach): 14.5% versus the three-analyst average estimate of 14%.
  • Revenue- Market and Wealth Services- Total revenue: $1.55 billion versus the two-analyst average estimate of $1.47 billion. The reported number represents a year-over-year change of +6.9%.
  • Revenue- Securities Services- Total fee and other revenue: $1.61 billion versus $1.62 billion estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +7.8% change.
  • Revenue- Securities Services- Net interest income: $609 million versus the two-analyst average estimate of $574.34 million. The reported number represents a year-over-year change of +1.5%.
  • Revenue- Securities Services- Total revenue: $2.21 billion versus the two-analyst average estimate of $2.20 billion. The reported number represents a year-over-year change of +6%.
  • Revenue- Market and Wealth Services- Net interest income: $415 million compared to the $396.44 million average estimate based on two analysts. The reported number represents a change of +3.2% year over year.
  • Revenue- Other Segment- Total revenue: $33 million compared to the $8.96 million average estimate based on two analysts. The reported number represents a change of +230% year over year.
  • Revenue- Investment and Wealth Management- Net interest income: $45 million compared to the $38.65 million average estimate based on two analysts. The reported number represents a change of +18.4% year over year.
  • Revenue- Investment and Wealth Management- Total fee and other revenue: $804 million versus $799.29 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +1.9% change.
View all Key Company Metrics for The Bank of New York Mellon here>>>

Shares of The Bank of New York Mellon have returned +7.9% over the past month versus the Zacks S&P 500 composite's +5.4% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term.

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