Northern Trust Corporation: Strong Q4 2024 Performance

Northern Trust Corporation ( (NTRS) ) has released its Q4 earnings. Here is a breakdown of the information Northern Trust Corporation presented to its investors.

Northern Trust Corporation, based in Chicago, is a prominent provider of wealth management, asset servicing, asset management, and banking services to corporations, institutions, affluent families, and individuals across the globe. Founded in 1889, the company operates in the financial services sector with a global footprint.

In the fourth quarter of 2024, Northern Trust reported a net income of $455.4 million and earnings per diluted common share of $2.26, marking a substantial increase from the same period last year. The company successfully executed its ‘One Northern Trust’ strategy, leading to significant growth in fee revenue and a notable return on common equity of 15.3%.

Key financial metrics highlight Northern Trust’s strong performance, with total revenue rising by 26% year-over-year to $1.97 billion. Trust, investment, and other servicing fees reached $1.22 billion, reflecting a 12% increase driven by organic growth and favorable market conditions. Net interest income also saw a 15% rise due to increased deposits and strategic securities repositioning, while noninterest expenses remained stable.

Despite a slight decline in net income compared to the previous quarter, the company remains well-capitalized, with capital ratios exceeding regulatory requirements. Northern Trust returned over $400 million to shareholders through dividends and share repurchases, underscoring its robust financial health.

Looking ahead to 2025, Northern Trust is poised to build on its achievements from 2024. The company remains focused on accelerating growth, enhancing productivity initiatives, and making strategic investments to support its modernization and resilience efforts.