Northern Trust Keeps Dividend at $0.75 per Share, Sets Payable Date for July 1

Northern Trust Corporation has maintained its dividend at $0.75 per share, payable July 1 to shareholders as of June 6. The company specializes in managing investment funds and had USD 1,032 billion of assets under management at the end of 2023, with USD 402.5 billion in wealth management and USD 1,032 billion in investment services. The United States accounts for 61.1% of revenues.

Northern Trust Corporation (NTRS) has reported its Q1 2024 earnings, showcasing a strong performance despite challenging macroeconomic conditions. The company reported a net income of $214.7 million, with earnings per diluted common share (EPS) of $0.96 [1]. This marks a significant 13% increase in EPS compared to the prior year, driven by mid-single-digit growth in trust fees and net interest income [2].

Key highlights from the earnings report include:

- Trust, Investment, and Other Servicing Fees: These fees totaled $1.2 billion, representing a 6% year-over-year increase.
- Net Interest Income (FTE basis): At $574 million, this was up 7% from the prior year.
- Assets Under Custody and Administration: The company managed $15.8 trillion in assets, a 3% year-over-year increase.
- Assets Under Management: This totaled $1.2 trillion, up 7% year-over-year.
- Return on Average Common Equity: The company reported a 13% return for the quarter.
- Return to Shareholders: Northern Trust Corp. returned $435 million to shareholders through dividends and stock repurchases.

Northern Trust Corporation also announced its dividend, which remains at $0.75 per share, payable July 1 to shareholders as of June 6. The company specializes in managing investment funds, with USD 1,032 billion of assets under management at the end of 2023, including USD 402.5 billion in wealth management and USD 630 billion in investment services [1].

The United States accounts for 61.1% of Northern Trust's revenues, indicating a strong domestic presence. However, the company faces challenges such as currency movements unfavorably impacting revenue growth by approximately 20 basis points, and a 1% sequential decline in trust, investment, and other servicing fees [2].

Looking ahead, Northern Trust remains focused on optimizing growth, strengthening resiliency, and driving productivity. The company has also launched a dedicated ultra-high-net-worth segment, Family Office Solutions, which has seen good client traction. The Asset Management segment saw strong fundraising, particularly in alternative investment solutions.

References:
[1] https://www.northerntrust.com/united-states/about-us/investor-relations
[2] https://uk.finance.yahoo.com/news/northern-trust-corp-ntrs-q1-070409130.html