01—Abstract
Summary
Summary of the 10-Q filed July 31, 2026. Cited figures are marked; the original filing is the authoritative source.
Bank of New York Mellon Corporation (BK) reported strong financial results for the second quarter of 2026, demonstrating robust growth across its business segments.
Total revenue increased by 13% year-over-year, driven by a 15% increase in revenue from its Securities Services segment, a 12% increase from Market and Wealth Services, and an 8% increase from Investment and Wealth Management. Net interest income saw a significant 20% increase, primarily due to higher yields on investment securities and balance sheet growth, although this was partially offset by deposit margin compression. The company also announced a substantial 19% increase in its quarterly cash dividend to $0.63a per share, signaling confidence in its financial health and commitment to returning capital to shareholders.
Assets under custody and/or administration (AUC/A) grew by 12% to $62.6 trillionb, reflecting higher market values and net client inflows. Assets under management (AUM) increased by 6% to $2.2 trillion, also driven by market appreciation, though partially impacted by net outflows and a stronger US dollar.
The company maintained a strong capital position with a CET1 ratio of 11.0%c under the Standardized Approach, consistent with the previous quarter. Overall, the results highlight BNY Mellon's continued strength in serving global capital markets, with positive performance across key metrics and a favorable outlook supported by strategic growth initiatives and shareholder return policies.
02—Key points
Key Highlights
- Total revenue increased 13% to $5.7 billion compared to Q2 2025.
- Net interest income rose 20% to $1.45 billion, driven by higher yields and balance sheet growth.
- AUC/A increased 12% to $62.6 trillion, and AUM grew 6% to $2.2 trillion.
- Net income applicable to common shareholders was $1.7 billion, or $2.45 per diluted share.
- The Board of Directors approved a 19% increase in the quarterly cash dividend to $0.63 per share.
- Noninterest expense increased 7% to $3.4 billion, reflecting investments and salary increases.
- CET1 ratio remained strong at 11.0%.
03—Questions
Frequently Asked Questions
What was the overall financial performance of BNY Mellon in Q2 2026?
BNY Mellon delivered a strong performance in Q2 2026, with total revenue up 13% year-over-year to $5.7 billion and net interest income increasing by 20% to $1.45 billion. Net income applicable to common shareholders was $1.7 billion, or $2.45 per diluted share.
How did the company's assets under custody and management perform?
Assets under custody and/or administration (AUC/A) grew by 12% to $62.6 trillion, driven by higher market values and net client inflows. Assets under management (AUM) also increased by 6% to $2.2 trillion, reflecting higher market values, although partially offset by net outflows and a stronger U.S. dollar.
What is the outlook for shareholder returns?
The company demonstrated a commitment to shareholder returns by increasing its quarterly cash dividend by 19% to $0.63 per share. This signals confidence in the company's financial stability and future earnings potential.
How did the company manage its expenses?
Noninterest expense increased by 7% to $3.4 billion, attributed to higher revenue-related expenses, investments, and employee salary increases. These increases were partially offset by efficiency savings implemented by the company.
04—Continue