State Street posted first-quarter 2026 net profit of $764m, compared with $644m in the same period last year, marking a 19% increase.
Diluted earnings per share came to $2.49, up from $2.04 a year earlier, an increase of 22%.
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Revenue for the quarter rose 16% year-on-year to $3.7bn.
The increase was attributed to stronger fee income, higher net interest income and currency translation effects.
Expenses were 15% higher than a year earlier.
The provision for credit losses stood at $16m in 1Q26, mainly linked to certain commercial loans and the broader macroeconomic backdrop.
By the end of the quarter, investment servicing assets under custody and/or administration reached $54.5tn, up 17% from a year earlier, supported by market movements, flows and net new business.
Investment management assets under management totalled $5.6tn at quarter-end, an increase of 20%, driven chiefly by stronger markets and net inflows.
New servicing fee revenue wins in 1Q26 were $56m, led mainly by back-office activity and alternatives, including private markets and hedge funds.
New servicing assets under custody and/or administration wins were $365bn, with asset managers accounting for most of the total.
At quarter-end, servicing fee revenue of $315m remained to be installed in future periods, along with $2.7tn of assets under custody and/or administration.
During 1Q26, the bank returned $633m to common shareholders, made up of $400m in share repurchases and $233m in declared dividends, equivalent to $0.84 per share.
State Street chairman and CEO Ron O’Hanley said: “Our focus on being an essential partner to clients, supported by operational excellence and a diversified business model, enabled us to deliver a strong start to 2026 with growth underpinned by continued financial and strategic progress in the first quarter.”
“Looking ahead, how the macro and geopolitical environment will evolve is uncertain. What we can control is how we run the firm – remaining disciplined, supporting our clients, and managing the company for resilience across a range of environments. We are encouraged by our momentum, appropriately mindful of risks, and confident in our ability to continue to grow and deliver even more as we move through the year.”
This January, State Street agreed to take a 23% stake in India’s Groww AMC.
