Northern Trust third-quarter EPS jumps to $3.40 as fees and interest income grow

Northern Trust's third-quarter earnings per share rose about 48% from a year earlier, as higher markets lifted fee income and net interest income grew by double digits.

The Chicago-based custody and wealth bank earned $642.9 million, or $3.40 a diluted share, compared with $457.6 million, or $2.29, a year ago, according to its earnings release filed with an 8-K on Wednesday. Earnings were down from $4.23 in the second quarter, which included a large Visa-related gain.

Revenue on a fully taxable equivalent basis rose 13% to $2.30 billion. Trust, investment and other servicing fees, the company's largest revenue line, grew 8% to $1.37 billion. Net interest income increased 14% to $679.1 million.

Notable items

The quarter included a $34.0 million pretax gain on the sale of Northern Trust's guardianship services business and a $14.7 million pretax gain tied to its participation in Visa's second exchange offer.

Chief Executive Michael O'Grady said that, excluding notable items, revenue grew 11% from a year earlier and pretax income rose 21%.

Client assets

Assets under custody and administration rose 9% to $19.9 trillion, and assets under management increased 11% to $1.96 trillion, which the company attributed to favorable markets and net client inflows.

Noninterest expense rose 5% to $1.49 billion. Northern Trust said it has returned more than $1.5 billion to common shareholders so far this year.

By the numbers

• Diluted EPS: $3.40, vs. $2.29
• Net income: $642.9 million, vs. $457.6 million
• Revenue (FTE): $2.30 billion, up 13%
• Trust and servicing fees: $1.37 billion, up 8%
• Assets under custody/administration: $19.9 trillion, up 9%

Sources

1. Northern Trust Corporation, Form 8-K (Item 2.02) with Exhibit 99.1 earnings release, filed Oct. 21, 2026, accession 0000073124-26-000063

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