BNY reported a 17% jump in first-quarter profit on Friday as it managed higher assets under custody that boosted its fee income.
The bank’s fees, typically calculated as a percentage of assets under custody, benefited from the acquisition of new clients and heightened market volatility that led to investors aggressively revamping their portfolios to cushion against the impact.
Adjusted profit applicable to BNY shareholders stood at $1.15 billion, or $1.58 per share, for the three months ended March 31, compared with $982 million, or $1.25 per share in the same period a year earlier.
“Looking ahead, we are prepared for a wide range of macroeconomic and market scenarios as the outlook for the operating environment is becoming more uncertain,” said Robin Vince, BNY President and CEO.
Its total fee revenue grew 3% year-on-year to $3.40 billion in the reporting quarter.
Net interest income – the spread between earnings from assets and expenditure from liabilities – rose 11% to $1.16 billion.
BNY’s assets under custody and administration were $53.1 trillion in the first quarter, 9% higher than last year.
(Reporting by Jaiveer Singh Shekhawat in Bengaluru; Editing by Janane Venkatraman)
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