{"id":417567,"date":"2021-01-20T06:33:16","date_gmt":"2021-01-20T11:33:16","guid":{"rendered":"http:\/\/www.marketnewsdesk.com\/?p=417567"},"modified":"2021-01-20T06:33:16","modified_gmt":"2021-01-20T11:33:16","slug":"bny-mellon-reports-fourth-quarter-2020-earnings-of-702-million-or-0-79-per-common-share-includes-0-18-per-share-negative-impact-of-notable-items","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/bny-mellon-reports-fourth-quarter-2020-earnings-of-702-million-or-0-79-per-common-share-includes-0-18-per-share-negative-impact-of-notable-items\/","title":{"rendered":"BNY Mellon Reports Fourth Quarter 2020 Earnings Of $702 Million Or $0.79 Per Common Share, Includes $0.18 Per Share Negative Impact Of Notable Items"},"content":{"rendered":"
\n

PR Newswire<\/p>\n<\/p><\/div>\n

\n

\n NEW YORK<\/span>, Jan. 20, 2021<\/span> \/PRNewswire\/ —<\/p>\n

\n\n\n
\n

\n
\n Revenue down 20% <\/b>
\n (a)<\/i>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n EPS down 48% <\/b>
\n (a)<\/i>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n ROE\u00a0 7%<\/b>
\n <\/span>\n <\/p>\n

\n
\n ROTCE\u00a0 13% <\/b>
\n (b)<\/i>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n CET1\u00a0 13.1%<\/b>
\n
\n Tier 1 leverage\u00a0 6.3%<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n<\/table><\/div>\n

\n\n\n\n
\n \n <\/td>\n<\/tr>\n
\n

\n
\n (a)\u00a0\u00a0 Excluding notable items, revenue down 2% and EPS down 5%.\u00a0 See note (b).<\/i>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n<\/table><\/div>\n

The Bank of New York Mellon Corporation (“BNY Mellon”) (NYSE: BK) today reported: <\/p>\n

\n\n\n\n\n\n\n\n
\n \n <\/td>\n\n

\n
\n 4Q20 vs.<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n \n <\/td>\n\n

\n
\n 4Q20<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 3Q20<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 4Q19<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 3Q20<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 4Q19<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n Net income applicable to common shareholders (in millions)<\/i><\/span>\n <\/p>\n<\/td>\n

\n

\n
\n $<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 702<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 876<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 1,391<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n (20)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n %<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n (50)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n %<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n Net income applicable to common shareholders, excluding notable items (in millions)<\/i>
\u2013 Non-GAAP (b)<\/i><\/span>\n <\/p>\n<\/td>\n

\n

\n
\n $<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 861<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 876<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 931<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n (2)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n %<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n (8)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n %<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n Diluted earnings per common share<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n $<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 0.79<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 0.98<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 1.52<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n (19)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n %<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n (48)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n %<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n Diluted earnings per common share, excluding notable items \u2013 Non-GAAP (b)<\/i><\/span>\n <\/p>\n<\/td>\n

\n

\n
\n $<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 0.96<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 0.98<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 1.01<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n (2)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n %<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n (5)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n %<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n<\/table><\/div>\n

\u00a0<\/p>\n

\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
\n

\n
\n Notable items<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n CEO Commentary<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n

\n
\n 4Q20 results<\/b>\u00a0include $(159) million, or $(0.18) per share, for litigation, severance, losses on business sales and real estate charges.<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n “During 2020, our business and operational resilience, enhanced by our technology and digital capabilities, enabled us to rapidly support our clients, employees and the financial system through immense stress and volatility.\u00a0 At the same time, we continued to advance our strategic priorities and longer-term growth agenda across all of our businesses.\u00a0 The investments we’ve made over the past several years, especially in technology and operations, served us and our clients well amid some difficult circumstances, and I want to thank our employees for their extraordinary efforts in supporting our clients during an unprecedented year,” Todd Gibbons, Chief Executive Officer, said.
\u00a0
“Full-year EPS was $3.83, down from $4.51, reflecting the impact of notable items.\u00a0 On an operating basis EPS was flat at $4.01, despite the impact of credit provisions, lower interest rates and associated money market fee waivers,” Mr. Gibbons added.
\u00a0
“While the full-year impact of low interest rates will be a significant headwind in 2021, we ended the year with momentum in our core franchise.\u00a0 We feel good about our business model and the power of the open architecture platforms and solutions we provide to help our clients grow their businesses.\u00a0 Our enterprise is incredibly strong and interconnected and our breadth of services and capabilities is unrivalled within our peer group, positioning us well for future growth.\u00a0 We have one of the industry’s best client rosters and a highly motivated group of talented employees executing our strategy, which is centered on driving growth and creating value for our clients, scaling and digitizing our operating model, and fostering a high-performance culture that is focused on delivering excellent client service in new and innovative ways,” Mr. Gibbons further noted.\u00a0
\u00a0
“The combination of our capital generation, revenue growth and good cost control gives us the ability to drive meaningful EPS growth over time,” Mr. Gibbons concluded. <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n
\n 4Q19 results<\/b>\u00a0include $460 million, or $0.50 per share, for the gain on sale of an equity investment, offset by severance, net securities losses and litigation.<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n

\n
\n Fourth Quarter Results<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n

\n
\n Total revenue of $3.8 billion, decreased 20%; 2% excluding notable items <\/b>
\n (b)<\/i>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n
    \n
  • Fee revenue decreased 22%; increased 1% excluding notable items (b)<\/i><\/li>\n
      \n
    • Money market fee waivers decreased fee revenue by 4% <\/li>\n<\/ul>\n
    • Net interest revenue decreased 17%<\/li>\n<\/ul>\n<\/td>\n
\n \n <\/td>\n<\/tr>\n
\n

\n
\n Provision for credit losses of $15 million<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n

\n
\n Total noninterest expense of $2.9 billion, decreased 1%; 1% excluding notable items <\/b>
\n (b)<\/i>
\n \u00a0<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n

\n
\n Investment Services<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n
    \n
  • Total revenue decreased 4% <\/li>\n
  • Income before taxes decreased 17% <\/li>\n
  • AUC\/A of $41.1 trillion, increased 11%<\/li>\n<\/ul>\n<\/td>\n
\n \n <\/td>\n<\/tr>\n
\n

\n
\n Investment and Wealth Management<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n
    \n
  • Total revenue increased 2% <\/li>\n
  • Income before taxes increased 30% <\/li>\n
  • AUM of $2.2 trillion, increased 15%<\/li>\n<\/ul>\n<\/td>\n
\n \n <\/td>\n<\/tr>\n
\n

\n
\n Media Relations:<\/b>\u00a0Madelyn McHugh (212) 635-1376<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n Investor Relations:<\/b> Magda Palczynska\u00a0 (212) 635-8529<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n
\n (b)\u00a0 For information on this Non-GAAP measure and full-year diluted operating earnings per share, see “Supplemental Information \u2013 Explanation of GAAP and Non-GAAP financial measures” on page 10.<\/i>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n
\n Note:\u00a0 Above comparisons are 4Q20 vs. 4Q19, unless otherwise noted.<\/i>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n<\/table><\/div>\n

\u00a0<\/p>\n

\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
\n

\n
\n CONSOLIDATED FINANCIAL HIGHLIGHTS<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n \n <\/td>\n<\/tr>\n
\n

\n
\n (in millions, except per share amounts and unless otherwise noted; not meaningful – N\/M)<\/i>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n

\n
\n 4Q20 vs.<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n
\n 4Q20<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n 3Q20<\/span>\n <\/p>\n<\/td>\n

\n

\n 4Q19<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 3Q20<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 4Q19<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n Fee revenue<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n $<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 3,116<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 3,108<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 3,971<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n \u2014<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n %<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n (22)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n %<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n Net securities gains (losses)<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 6<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 9<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n (25)<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n N\/M<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n N\/M<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n Total fee and other revenue<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 3,122<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 3,117<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 3,946<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n \u2014<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n (21)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n Income from consolidated investment management funds<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 41<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 27<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 17<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n N\/M<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n N\/M<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n Net interest revenue<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 680<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 703<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 815<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n (3)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n (17)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n Total revenue<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 3,843<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 3,847<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 4,778<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n \u2014<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n (20)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n Provision for credit losses<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 15<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 9<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n (8)<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n N\/M<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n N\/M<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n Noninterest expense<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 2,925<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 2,681<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 2,964<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n 9<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n (1)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n Income before income taxes<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 903<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 1,157<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 1,822<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n (22)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n (50)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n Provision for income taxes<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 148<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 213<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 373<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n (31)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n (60)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n Net income<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n $<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 755<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 944<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 1,449<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n (20)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n %<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n (48)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n %<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n Net income applicable to common shareholders of The Bank of New York\u00a0Mellon Corporation<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n $<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 702<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 876<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 1,391<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n (20)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n %<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n (50)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n %<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n Operating leverage (a)<\/i><\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n

\n
\n (921)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n \u00a0bps<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n (1,825)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n bps<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n Diluted earnings per common share<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n $<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 0.79<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 0.98<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 1.52<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n (19)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n %<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n (48)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n %<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n Average common shares and equivalents outstanding – diluted (in thousands)<\/i><\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 891,846<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 891,069<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 914,739<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n

\n Pre-tax operating margin<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 24<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n %<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n 30<\/span>\n <\/p>\n<\/td>\n

\n

\n %<\/span>\n <\/p>\n<\/td>\n

\n

\n 38<\/span>\n <\/p>\n<\/td>\n

\n

\n %<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n

\n
\n Non-GAAP measures, excluding notable items <\/b>
\n (b)<\/i>
\n :<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n

\n Fee revenue \u2013 Non-GAAP<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n $<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 3,177<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 3,108<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 3,156<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n 2<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n %<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 1<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n %<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n Net securities gains (losses) \u2013 Non-GAAP<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 6<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 9<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n \u2014<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n N\/M<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n N\/M<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n Total revenue \u2013 Non-GAAP<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 3,904<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 3,847<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 3,988<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n 1<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n (2)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n Noninterest expense \u2013 Non-GAAP<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 2,760<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 2,681<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 2,778<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n 3<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n (1)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n Income before income taxes \u2013 Non-GAAP<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 1,129<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 1,157<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 1,218<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n (2)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n (7)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n Provision for income taxes \u2013 Non-GAAP<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 215<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 213<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 229<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n 1<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n (6)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n Net income \u2013 Non-GAAP<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 914<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 944<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 989<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n (3)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n (8)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n Net income applicable to common shareholders of The Bank of New York Mellon Corporation \u2013 Non-GAAP<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 861<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 876<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 931<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n (2)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n (8)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n Operating leverage \u2013 Non-GAAP (a)<\/i><\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n

\n
\n (146)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n bps<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n (146)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n bps<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n Diluted earnings per common share \u2013 Non-GAAP<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n $<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 0.96<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 0.98<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n 1.01<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n (2)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n %<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n (5)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n %<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n Pre-tax operating margin \u2013 Non-GAAP<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 29<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n %<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n 30<\/span>\n <\/p>\n<\/td>\n

\n

\n %<\/span>\n <\/p>\n<\/td>\n

\n

\n 31<\/span>\n <\/p>\n<\/td>\n

\n

\n %<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n<\/table><\/div>\n
\n\n\n\n\n
\n

\n
\n (a)\u00a0\u00a0<\/i>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n Operating leverage is the rate of increase (decrease) in total revenue less the rate of increase (decrease) in total noninterest expense.<\/i>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n
\n (b)\u00a0\u00a0<\/i>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n Notable items in 4Q20 include litigation expense, severance, losses on business sales and real estate charges.\u00a0 Notable items in 4Q19 include a gain on sale of an equity investment, severance, net securities losses and litigation expense.\u00a0 There were no notable items in 3Q20.\u00a0 See “Supplemental information \u2013 Explanation of GAAP and Non-GAAP financial measures” on page 10 for additional information.<\/i>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n
\n bps \u2013<\/b> basis points.<\/i>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n<\/table><\/div>\n

\u00a0<\/p>\n

\n KEY DRIVERS <\/b>
\n (comparisons are 4Q20 vs. 4Q19, unless otherwise stated)<\/i>\n <\/p>\n