State Street Corporation (STT)

State Street reported third-quarter 2026 earnings per share of $3.69 on 14 October, with total revenue of $4.0 billion, up 13 percent 2.

Net income was $1,090 million, up 27 percent from a year earlier 2. Fee revenue, the money earned for services rather than interest, rose 11 percent to $3,140 million 2.

Net interest income, the gap between what the bank earns on loans and securities and what it pays on deposits, rose 21 percent to $864 million 2.

Chief executive Ron O'Hanley said the quarter had record servicing and management fees and record foreign exchange client volumes 2. The bank also announced an agreement to acquire the Santander CACEIS Latam Securities Services joint venture, subject to regulatory approvals and customary closing conditions 2.

On 14 October the company also told holders it will redeem all of its $500 million of 1.684 percent senior notes due 2027 on 18 November 2026 1.

State Street Bank traces its beginnings to 1792, with the founding of its oldest ancestor bank, Union Bank 3. Its charter was authorized by a special Act of the Massachusetts Legislature in 1891, and its present name was adopted in 1960 3. The parent company was organized in 1969 3.

The company grew its software and data side by buying firms 3. It bought Charles River Development (CRD) in 2018, Mercatus in 2021, CF Global in 2024 and PriceStats in 2025 32.

One large deal did not close 3. After regulatory feedback, State Street decided in November 2022 to stop pursuing its purchase of the Brown Brothers Harriman Investor Services business, announced in September 2021 3.

Total revenue was $11,945 million in 2023, $13,000 million in 2024 and $13,944 million in 2025 3.

In 2025 revenue rose 7 percent 3. Fee revenue rose 8 percent on higher servicing fees, management fees, foreign exchange trading and securities finance revenue, while net interest income rose 1 percent 3.

Earnings per share, profit divided by the number of shares, went from $8.21 in 2024 to $9.40 in 2025 3. Notable items, one-off charges, cut income before tax by $344 million in 2025, including repositioning charges of $326 million 3.

Assets under custody and administration (AUC/A), the assets it holds and services for clients, rose 16 percent in 2025 to $53.80 trillion on higher markets and client flows 3. Assets under management (AUM) rose 20 percent to $5.67 trillion 3.

Investment Servicing

Investment Servicing is one of two lines of business 3. It provides custody, accounting and fund administration, plus foreign exchange, brokerage and securities lending, to funds, pension plans, insurers and wealth managers 3.

At the end of 2025 it serviced about $53.80 trillion of AUC/A: $37.42 trillion in the Americas, $12.92 trillion in Europe and the Middle East and $3.46 trillion in Asia-Pacific 3.

Servicing fees were $5,324 million in 2025, up 6 percent, mainly on higher average market levels and net new business 3. Foreign exchange trading services brought $1,614 million and securities finance $505 million, each up 15 percent 3.

In the third quarter of 2026 foreign exchange trading client volumes were a record, up 31 percent 2.

State Street Alpha and Charles River

State Street Alpha is a platform that combines portfolio management, trading and execution, analytics and compliance tools 3. Its front-office technology comes from Charles River Development, bought in 2018 3.

Software and processing fees were $903 million in 2025, up 2 percent 3. Software annual recurring revenue rose about 8 percent in the latest quarter 2.

The company won its first Wealth Services mandate, from one of the largest registered investment advisors in the United States, building on an existing Charles River relationship 2.

Investment Management

Investment Management is sold as State Street Investment Management, formerly State Street Global Advisors 3. It runs equity, fixed income, cash, multi-asset and alternatives strategies, through ETFs, indexed and actively managed funds 3.

Management fees were $2,398 million in 2025, up 13 percent 3. Assets under management were a record $6.3 trillion at the end of the latest quarter, up 16 percent in a year, on higher markets and net inflows 2.

The company said it launched 38 new products and solutions in the quarter 2.

Capital, people and places

In the third quarter it returned $651 million to common shareholders: $400 million of share repurchases and $251 million, or $0.92 per share, of declared dividends 2.

State Street had about 52,000 employees at the end of 2025 3. Ron O'Hanley is chairman and chief executive 2.

On 9 October the board elected Alexander Vollert as an independent director 1. He joins the Technology and Operations Committee and the Risk Committee 1.

Headquarters are at One Congress Street in Boston 3. At the end of 2025 it occupied about 5.5 million square feet at 101 locations, 99 of them leased 3.

Rivals and problems

Rivals include other custody banks, investment managers, insurers, brokers, technology companies and data providers 3. The filing names The Bank of New York Mellon Corporation and Northern Trust Corporation as its direct peer group 3.

As a globally systemically important bank, it faces extensive regulation 3. The filing says most other such banks have substantially greater financial resources 3.

The umbrella, in words

State Street Corporation is the parent holding company 3. It does most of its business through State Street Bank and Trust Company, a trust or custody bank 3.

Exhibit 21 lists certain subsidiaries, including Charles River Systems, Inc., Currenex, Inc., FX Connect, LLC, State Street Global Advisors, Inc. and State Street Global Markets, LLC 4. It says smaller ones are omitted 4.

Brands include State Street Alpha, State Street Investment Management and Charles River 3. It agreed to act as marketing agent, not manager, for SPDR Gold Shares and SPDR Gold MiniShares Trust 2.

The company reports $332 million of servicing fee revenue and $2.98 trillion of AUC/A won but still to be installed 2.

State Street announced an agreement to acquire the Santander CACEIS Latam Securities Services joint venture, subject to regulatory approvals and customary closing conditions 2. The 10-K warns that deals may fail if approvals are delayed 3.

O'Hanley said on 14 October that the company has confidence in its ability to deliver against its medium-term targets 2.

Its target ranges are 10-11% for the CET1 capital ratio, a core measure of financial strength, and 5.25-5.75% for the Tier 1 leverage ratio 3. The CET1 ratio was 11.0% at the end of the latest quarter 2.

The company will redeem its 1.684 percent notes due 2027 on 18 November 2026 1.

The 10-K states a vision to deliver digital asset solutions to clients on a secure platform with multiple blockchain connectivity 3.