Financial Performance - For the three months ended September 30, 2025, net income was $457.6 million, a decrease of 2% compared to $464.9 million in the same period of 2024[8]. - Total revenue for the nine months ended September 30, 2025, was $5,963.3 million, down 6% from $6,330.8 million in 2024[8]. - Net Income for Q3 2025 was $457.6 million, a 2% decrease from $464.9 million in Q3 2024, and a 19% decrease year-to-date[8]. - Net Income for the nine months ended September 30, 2025, was $1,270.9 million, down 19% from $1,575.7 million in the same period of 2024[95]. Revenue Breakdown - Noninterest income for the three months ended September 30, 2025, increased by 2% to $1,434.6 million, while for the nine months it decreased by 11% to $4,193.9 million[8]. - Revenue for the three months ended September 30, 2025, increased to $2.0 billion, with Trust, Investment and Other Servicing Fees rising to $1.3 billion due to favorable markets[18]. - Revenue for the nine months ended September 30, 2025, decreased to $6.0 billion, with Trust, Investment and Other Servicing Fees increasing to $3.7 billion driven by favorable markets and net new business[18]. - Total Noninterest Income for Q3 2025 was $1,434.6 million, an increase of 2% from $1,406.2 million in Q3 2024[94]. Assets and Deposits - Total assets as of September 30, 2025, were $170,263.3 million, reflecting a 9% increase from $155,508.4 million at the end of 2024[8]. - Deposits increased by 11% to $135,801.1 million as of September 30, 2025, compared to $122,482.7 million at the end of 2024[8]. - Average Total Assets for Q3 2025 were $151,041.5 million, a 3% increase from $146,842.9 million in Q3 2024[8]. - Total Assets Under Custody/Administration as of September 30, 2025, reached $18,247.6 billion, a 5% increase from the prior-year period[30]. Interest Income and Expenses - Net interest income rose by 5% to $590.8 million for the three months ended September 30, 2025, and increased by 10% to $1,769.4 million for the nine months[8]. - Noninterest Expense for the current quarter increased to $1.4 billion, primarily due to higher Compensation and Equipment and Software expenses[18]. - The provision for credit losses for the three months ended September 30, 2025, was $(17.0) million, compared to $8.0 million in the same period of 2024[8]. - The effective tax rate for the three months ended September 30, 2025, was 26.1%, up from 22.7% in the prior-year quarter, due to higher net tax impacts from international operations[83]. Market Performance - The S&P 500 index increased by 16% year-over-year as of September 30, 2025, positively impacting the company's results[26]. - The market value per share at the end of the period was $134.60, a significant increase of 50% from $90.03 at the end of 2024[8]. Credit Quality - The provision for credit losses for the three months ended September 30, 2025, was a negative $17.0 million, compared to a provision of $8.0 million in the prior-year quarter, indicating improved macroeconomic conditions[74]. - Nonaccrual loans represented 0.18% of total loans as of September 30, 2025, compared to 0.13% as of December 31, 2024[120]. - The total allowance for credit losses as of September 30, 2025, was $196.5 million, a decrease from $198.4 million as of December 31, 2024[128]. Cash Flow - Net cash provided by operating activities increased significantly to $5,145.1 million for the nine months ended September 30, 2025, compared to $2,148.8 million for the same period in 2024, marking an increase of 139.5%[135][136]. - Net cash used in investing activities rose sharply to $13,098.9 million for the nine months ended September 30, 2025, compared to $355.9 million in 2024, indicating a substantial increase in investment outflows[135][138]. - Net cash provided by financing activities was $8,038.7 million for the nine months ended September 30, 2025, a significant increase from $287.7 million in 2024, reflecting a rise in total deposits[135][140]. Capital Ratios - Common Equity Tier 1 Capital ratio remained stable at 12.4% as of September 30, 2025, consistent with the ratio from December 31, 2024[148]. - Total risk-based capital increased to $13,581.9 million as of September 30, 2025, compared to $13,423.2 million as of September 30, 2024, showing a growth of 1.2%[147].
NORTHERN DEPOSIT(NTRSO) - 2025 Q3 - Quarterly Report