BNY Mellon Beats Earnings Estimates on Higher Fees and Announces $6B Stock Buyback

The Bank of New York Mellon (BK) posted better-than-expected results as the oldest U.S. bank reported higher investment services fees. It also boosted its stock buyback program.

The bank founded by Alexander Hamilton posted first-quarter earnings per share (EPS) of $1.29, with revenue up 3% from a year ago to $4.53 billion. Total fees and other revenue increased 6% to $3.45 billion. All three beat analyst expectations. Net interest income declined 8% to $1.04 billion, but that was also above forecasts. 

Assets under control/administration (AUC/A) rose 5%, and assets under management (AUM) were up 6%. BNY Mellon said the the primary reason for the gains was higher market values.

CEO Robin Vince said the bank was “off to an encouraging start for the year,” as “our growth initiatives deliver results.”

The firm said it had returned $988 million to shareholders through share repurchases in the period, and the board authorized an additional $6 billion in stock buybacks. 

Shares of BNY Mellon rose in early trading before paring back gains later in the session. They were 1.9% lower at $54.09 as of 12:45 p.m. ET and have climbed close to 3% since the start of 2024.