2Q profit rises for BNY Mellon on increased fee revenue
The Bank of New York Mellon Corp. (BK) earned $735 million for the second quarter, or 59 cents per share, beating analysts' estimates as fees and net interest revenue attributed to 9% growth in earnings per share. The figure compares to net income of $658 million, or 54 cents a share, for the year-ago quarter. Analysts had estimated the bank would earn 56 cents a share, according to Yahoo Finance. Still, expense growth remained high due in part to legal and regulatory costs, the New York-based bank said, noting that it is taking additional actions to reduce expenses. "Our balance sheet remains very strong, deposits grew substantially and our capital ratios rose after our dividend increase and stock repurchases," said Robert Kelly, chairman and CEO of BNY Mellon. The bank had $3.85 billion in revenue for the quarter, up from $3.34 billion in the year-ago period. The bank reported that total fee revenue was up 18% with investment management fees up 14% and investment services fees up 27%. Write to Kerry Curry. Follow her on Twitter @communicatorKLC.