- Assets under custody and administration (AUCA) grew 13% year over year to $55.8 trillion, while assets under management (AUM) increased 3% to $2.1 trillion.
- Capital ratios remained strong with CET1 at 11.5% and Tier 1 leverage ratio at 6.1%, and the company returned $1.2 billion in capital to shareholders in Q2.
- Operating expenses increased 4% year over year, resulting in significant positive operating leverage of roughly 500 basis points.
- Pretax margin improved to 37%, and return on tangible common equity (ROTCE) rose to 28%, reflecting the success of the company’s multiyear transformation.
- Segment highlights included Security Services revenue up 10%, Markets and Wealth Services revenue up 13%, and Investment and Wealth Management revenue down 2%.
- The Bank of New York Mellon Corporation delivered strong Q2 2025 results with earnings per share of $1.93, up 27% year over year on a reported basis and 28% excluding notable items.
- Total revenue exceeded $5 billion for the first time in a quarter, up 9% year over year, driven by fee revenue growth of 7% and net interest income up 17%.
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- Adjusted noninterest expense increased 4% linked quarter, mainly due to salaries and benefits.
- Adjusted noninterest income increased 5% linked quarter, driven by mortgage, card, ATM fees, and wealth management.
- Average deposits grew organically by more than 30% over the last 5 years, with growth in consumer checking, small business, and wealth management accounts.
- Average loans remained stable, but ending loans grew in consumer and corporate banking.
- Capital markets revenue grew at a 14% compounded annual growth rate since 2019.
- Common equity Tier 1 ratio was 10.7%, with $144 million in share repurchases and $224 million in dividends paid during the quarter.
- Net interest income increased 5% linked quarter, with expected full year growth of 3% to 5%.
- Pretax pre-provision income increased 14% year-over-year to $832 million.
- Provision expense was $13 million over net charge-offs; asset quality metrics improved with net charge-offs at 47 basis points.
- Reported strong quarterly earnings of $534 million, with adjusted earnings of $538 million or $0.60 per share.
- Return on tangible common equity was 19%, highest among peers for the last 4 years.
- Treasury management revenue increased 8% year-to-date, and wealth management fee income reached a record quarter.
- Book value increased to $6.7 billion or $12.71 per share, up from $12.39 in the prior quarter.
- Dividend yield remains strong at 8.9%, paying out $0.25 per share.
- Genesis Capital achieved a record quarter with origination north of $4 billion, more than doubling since acquisition in 2022.
- Newrez's servicing portfolio grew to $864 billion with a typical ROE around 20%.
- Return on equity (ROE) for the entire company was 17%, with earnings available for distribution at $291.1 million or $0.54 per diluted share, representing an 18% ROE.
- Rithm Capital reported GAAP net income of $283.9 million or $0.53 per diluted share for Q2 2025.
- Sculptor's asset management business saw $3.5 billion of AUM growth since acquisition, with strong fundraising and performance.
- The company ended the quarter with a record $2.1 billion in cash and liquidity.
- CIB group achieved record origination growth with nearly two dozen new relationships and significant upsizes.
- Combined special mention, substandard, and foreclosed assets declined modestly, indicating stable asset quality.
- Fee income from capital markets activities increased due to bond and high-yield issuances impacting loan outstanding growth.
- Largest foreclosed asset, Lincoln Yards land in Chicago, sold at book value, representing a positive outcome.
- Margins expected to compress temporarily due to Fed cuts with a lag effect from deposit repricing.
- Net new originations and upsizes in CIB totaled about $1.6 billion, equating to $850 million in outstandings.
- Record level of RESG paydowns in the quarter, reflecting strong liquidity and refinance activity in CRE space.
- Three loans migrated to higher risk categories including one from substandard to substandard nonaccrual with a significant charge-off recognized.
- Classified loans declined $24.4 million or 5.1%; nonperforming loans declined modestly; criticized loans increased $176.9 million or 17.2%, mainly due to slower lease-up in multifamily loans.
- Common equity Tier 1 capital ratio improved 90 basis points to 13.43%.
- Deposits declined $102.2 million sequentially, approximately flat year-over-year adjusted for a large temporary deposit in Q2 2024.
- Dividend declared of $0.47 per share, yielding 7.0%.
- Interest-bearing deposit costs declined 1 basis point; total funding costs declined 9 basis points due to mix shift.
- Loans held for investment declined $1 billion, including $338 million moved to held-for-sale related to branch transaction, $74 million sold with credit card outsourcing, and $73 million amortization of indirect lending portfolio.
- Net charge-offs were $5.8 million or 14 basis points annualized; provision expense reduced by $0.3 million.
- Net income for Q2 2025 was $71.7 million or $0.69 per diluted share, up from $50.2 million or $0.49 per diluted share in Q1 2025.
- Net interest income increased by $2.2 million to $207.2 million, driven by reduced interest expense and lower average loan balances.
- Net interest margin was 3.32% fully tax equivalent, or 3.26% excluding purchase accounting accretion, up 12 basis points from prior quarter.
- Noninterest expense declined $5.5 million to $155.1 million due to lower seasonal payroll taxes and incentive compensation estimates, partially offset by $1.5 million in property valuation and lease termination fees.
- Noninterest income was $41.1 million, down $0.9 million sequentially, including a $7.3 million valuation allowance and a $4.3 million gain on sale from credit card outsourcing.
- Other borrowed funds declined to $250 million, down $2.2 billion year-over-year and $710 million sequentially.
- Yield on average loans increased 6 basis points to 5.65%, driven by repricing and payoffs of lower-yielding loans.
- Book value was nearly unchanged from quarter end after accrued dividends were accounted for.
- Capital raised totaled $560 million this year, primarily through common equity issued above book value, accretive to shareholders.
- Dynex Capital's market capitalization grew nearly 50% year-over-year to over $1.5 billion as of June 30, 2025.
- Liquidity remained strong at $891 million, representing 55% of total equity.
- Net interest income increased due to new investments with attractive yields and positive carry from agency RMBS and swaps.
- ROEs on newly acquired positions, fully hedged, ranged from mid-teens to low 20% range.
- The portfolio grew to $14 billion, a 25% increase from the prior quarter and over 50% from the prior year.
- 30-day delinquency rate improved to 6.6%, down 50 basis points sequentially and 30 basis points year-over-year.
- Book value per share reached $36.43 at quarter end.
- Capital generation was $16.9 million in Q2, with $26.8 million year-to-date.
- Net credit loss rate was 11.9%, improving 50 basis points sequentially and 80 basis points year-over-year.
- Net receivables grew by $70 million sequentially and were up 10.5% year-over-year.
- Operating expense ratio improved to 13.2%, an all-time best and 60 basis points better year-over-year.
- Quarterly revenue reached a record $157 million, up 10% year-over-year.
- Regional Management delivered net income of $10.1 million and diluted EPS of $1.03 in Q2 2025, a 20% year-over-year improvement.
- Returned $17.6 million to shareholders year-to-date via $11.6 million in stock repurchases and $6.1 million in dividends.
- Total originations hit a record $510 million, up 20% year-over-year.
Dafinchi