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Northern Trust Corp Shares Edge Higher After Fourth-Quarter Results

Northern Trust Corp (NYSE: NTRS) closed the U.S. trading session higher at the market close, reflecting investor reaction to the company’s fourth-quarter 2025 earnings. The stock ended the session at $145.57, posting a positive intraday percentage move following the release of quarterly results.

Northern Trust provides asset servicing, asset management, wealth management, and banking services to institutional and high-net-worth clients globally.

Market Capitalization

Northern Trust had a market capitalization of approximately $27.5 billion at the U.S. market close.

Latest Quarterly Results

For the fourth quarter ended December 31, 2025, Northern Trust reported:

Total revenue (FTE basis): $2.14 billion, up 9% year over year excluding notable items

Net income (GAAP): $466 million, compared with $455 million a year earlier

Earnings per share: $2.42

Return on average common equity: 15.4%

Key components

Trust, investment and other servicing fees: $1.3 billion, up 7% year over year

Net interest income (FTE): $654 million, up 14% year over year and up 10% sequentially

Assets

Assets under custody and administration (AUC/A): $18.7 trillion, up 11% year over year

Assets under management (AUM): $1.8 trillion, up 12% year over year

Segment Highlights

Wealth Management

Client AUM: $507 billion, up 13% year over year

Trust fees: $578 million, up 6% year over year

Asset Servicing

AUC/A: $17.4 trillion, up 11% year over year

Asset servicing fees: $730 million, up 8% year over year

Pretax margin: 25.5%, up 210 basis points year over year

Chart – Financial Trends

Chart 1: Northern Trust – Revenue

Chart 2: Northern Trust – Stock Price

Full-Year Results Context

For fiscal year 2025:

Revenue declined 2% on a reported basis, reflecting the absence of prior-year favorable notable items

Revenue increased 7% excluding notable items

Net income and EPS declined on a reported basis

EPS increased 17% excluding notable items

Pretax margin: 30%, up 160 basis points year over year excluding notable items

Business & Operations Update

Net interest margin: 1.81%, up sequentially

Credit quality: Remained within historical norms; $8 million reserve release recorded in Q4

Capital ratios

CET1 (standardized): 12.6%

Tier 1 leverage ratio: 7.8%

Shareholder returns: $522 million returned in Q4; $1.9 billion returned for full year 2025 through dividends and repurchases

Guidance & Outlook

Management expects:

2026 net interest income growth in the low-to-mid single-digit range

More than 100 basis points of positive operating leverage

Return of more than 100% of earnings to shareholders

These expectations assume current interest-rate curves and a stable deposit mix

Performance Summary

Northern Trust shares closed higher following Q4 results.

Quarterly revenue and net income increased year over year.

Trust fees and net interest income drove performance.

Full-year results reflected growth excluding prior-year notable items.

The post Northern Trust Corp Shares Edge Higher After Fourth-Quarter Results first appeared on AlphaStreet.

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