EX-99.23exhibit992-2q26earningsrel.htmEX-99.2 Document
Exhibit 99.2
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
June 30, 2026
Table of Contents
GAAP-Basis Financial Information:
4-Year Summary of Results
2
Consolidated Results of Operations
3
Consolidated Statement of Condition
5
Average Statement of Condition - Rates Earned and Paid - Fully Taxable-Equivalent Basis
6
Average Statement of Condition - Rates Earned and Paid - Fully Taxable-Equivalent Basis - Year-to-Date
7
Selected Average Balances by Currency - Rates Earned and Paid
8
Investment Portfolio Holdings by Asset Class
9
Allowance for Credit Losses
11
Assets Under Custody and/or Administration
12
Assets Under Management
13
Line of Business Information
15
Capital:
Regulatory Capital
16
Reconciliations of Tangible Book Value per Share and Return on Tangible Common Equity
17
Non-GAAP Financial Information:
Reconciliations of Non-GAAP Financial Information
18
Reconciliations of Pre-tax Margin and Return on Tangible Common Equity Excluding Notable Items
21
Reconciliations of Constant Currency FX Impacts
22
This financial information should be read in conjunction with State Street's news release dated July 16, 2026.
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
4-YEAR SUMMARY OF RESULTS
(Dollars in millions, except per share amounts, or where otherwise noted)
2022
2023
2024
2025
Year ended December 31:
Total fee revenue
$
9,606
$
9,480
$
10,156
$
10,980
Net interest income
2,544
2,759
2,923
2,960
Other income
(2)
(294)
(79)
4
Total revenue
12,148
11,945
13,000
13,944
Provision for credit losses
20
46
75
59
Total expenses
8,801
9,583
9,530
10,154
Income before income tax expense
3,327
2,316
3,395
3,731
Income tax expense
553
372
708
786
Net income
2,774
1,944
2,687
2,945
Net income available to common shareholders
$
2,660
$
1,821
$
2,483
$
2,717
Per common share:
Diluted earnings per common share
$
7.19
$
5.58
$
8.21
$
9.40
Average diluted common shares outstanding (in thousands)
370,109
326,568
302,226
289,019
Cash dividends declared per common share
$
2.40
$
2.64
$
2.90
$
3.20
Closing price per share of common stock (at year end)
77.57
77.46
98.15
129.01
Average balance sheet:
Investment securities
$
111,929
$
105,765
$
104,784
$
110,586
Total assets
286,430
274,696
311,723
343,505
Total deposits
222,874
205,111
225,611
253,002
Ratios and other metrics:
Return on average common equity
11.1
%
8.2
%
11.1
%
11.5
%
Return on average tangible common equity(1)
17.4
13.3
17.9
17.9
Pre-tax margin
27.4
19.4
26.1
26.8
Pre-tax margin, excluding notable items(2)
28.4
26.4
27.6
29.2
Net interest margin, fully taxable-equivalent basis
1.03
1.20
1.10
1.00
Common equity tier 1 ratio(3)(4)
13.6
11.6
10.9
11.6
Tier 1 capital ratio(3)(4)
15.4
13.4
13.2
14.4
Total capital ratio(3)(4)
16.8
15.2
14.8
16.1
Tier 1 leverage ratio(3)
6.0
5.5
5.2
5.5
Supplementary leverage ratio(3)
7.0
6.2
6.2
6.5
Assets under custody and/or administration (in trillions)
$
36.74
$
41.81
$
46.56
$
53.80
Assets under management (in trillions)
3.48
4.13
4.72
5.67
(1) Return on average tangible common equity is calculated by dividing the net income available to common shareholders (GAAP-basis) for the relevant period by average tangible common equity (non-GAAP). Refer to the Reconciliations of Tangible Book Value per Common Share and Return on Tangible Common Equity page for details.
(2) Notable items include acquisition and restructuring costs, repositioning charges and legal and other notable items. Refer to Reconciliations of pre-tax margin excluding notable items for details.
(3) The capital ratios presented are calculated in conformity with the applicable regulatory guidance in effect as of each period end.
(4) The reportable ratios represent the lower of each of the risk-based capital ratios under both the Standardized Approach and the Advanced Approaches.
2
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
CONSOLIDATED RESULTS OF OPERATIONS
Quarters
% Change
Year-to-Date
% Change
(Dollars in millions, except per share amounts, or where otherwise noted)
1Q25
2Q25
3Q25
4Q25
1Q26
2Q26
2Q26
vs.
2Q25
2Q26
vs.
1Q26
2025
2026
YTD2026
vs.
YTD2025
Fee revenue:
Servicing fees
$
1,275
$
1,304
$
1,357
$
1,388
$
1,409
$
1,468
12.6
%
4.2
%
$
2,579
$
2,877
11.6
%
Management fees(1)
587
600
664
717
724
772
28.7
6.6
1,187
1,496
26.0
Foreign exchange trading services(1)
337
393
364
350
435
494
25.7
13.6
730
929
27.3
Securities finance
114
126
138
127
116
150
19.0
29.3
240
266
10.8
Software services(1)
158
169
167
163
169
166
(1.8)
(1.8)
327
335
2.4
Other fee revenue(1)
99
127
139
117
107
138
8.7
29.0
226
245
8.4
Total fee revenue
2,570
2,719
2,829
2,862
2,960
3,188
17.2
7.7
5,289
6,148
16.2
Net interest income:
Interest income
2,922
3,055
2,918
2,749
2,651
2,843
(6.9)
7.2
5,977
5,494
(8.1)
Interest expense
2,208
2,326
2,203
1,947
1,816
1,983
(14.7)
9.2
4,534
3,799
(16.2)
Net interest income
714
729
715
802
835
860
18.0
3.0
1,443
1,695
17.5
Other income:
Gains from sales of available-for-sale securities, net
—
—
1
3
1
—
nm
nm
—
1
nm
Total other income
—
—
1
3
1
—
nm
nm
—
1
nm
Total revenue
3,284
3,448
3,545
3,667
3,796
4,048
17.4
6.6
6,732
7,844
16.5
Provision for credit losses
12
30
9
8
16
—
nm
nm
42
16
(61.9)
Expenses:
Compensation and employee benefits
1,262
1,280
1,162
1,331
1,441
1,292
0.9
(10.3)
2,542
2,733
7.5
Information systems and communications
497
523
517
557
637
589
12.6
(7.5)
1,020
1,226
20.2
Transaction processing services
258
260
276
256
283
280
7.7
(1.1)
518
563
8.7
Occupancy
103
105
106
173
101
96
(8.6)
(5.0)
208
197
(5.3)
Other
330
361
373
424
349
402
11.4
15.2
691
751
8.7
Total expenses
2,450
2,529
2,434
2,741
2,811
2,659
5.1
(5.4)
4,979
5,470
9.9
Income before income tax expense
822
889
1,102
918
969
1,389
56.2
43.3
1,711
2,358
37.8
Income tax expense
178
196
241
171
205
305
55.6
48.8
374
510
36.4
Net income
$
644
$
693
$
861
$
747
$
764
$
1,084
56.4
41.9
$
1,337
$
1,848
38.2
Adjustments to net income:
Dividends on preferred stock
$
(46)
$
(63)
$
(58)
$
(59)
$
(58)
$
(58)
7.9
%
—
%
$
(109)
$
(116)
(6.4)
Earnings allocated to participating securities
(1)
—
(1)
—
(1)
—
—
nm
(1)
(1)
—
Net income available to common shareholders
$
597
$
630
$
802
$
688
$
705
$
1,026
62.9
45.5
$
1,227
$
1,731
41.1
3
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
CONSOLIDATED RESULTS OF OPERATIONS (Continued)
Quarters
% Change
Year-to-Date
% Change
(Dollars in millions, except per share amounts, or where otherwise noted)
1Q25
2Q25
3Q25
4Q25
1Q26
2Q26
2Q26
vs.
2Q25
2Q26
vs.
1Q26
2025
2026
YTD2026
vs.
YTD2025
Per common share:
Basic earnings
$
2.07
$
2.20
$
2.83
$
2.46
$
2.53
$
3.71
68.6
%
46.6
%
$
4.27
$
6.24
46.1
%
Diluted earnings
2.04
2.17
2.78
2.42
2.49
3.65
68.2
46.6
4.21
6.14
45.8
Average common shares outstanding (in thousands):
Basic
288,562
286,281
283,434
280,008
278,434
276,150
(3.5)
(0.8)
287,415
277,286
(3.5)
Diluted
292,716
290,490
288,163
284,806
282,874
281,062
(3.2)
(0.6)
291,596
281,963
(3.3)
Cash dividends declared per common share
$
0.76
$
0.76
$
0.84
$
0.84
$
0.84
$
0.84
10.5
—
$
1.52
$
1.68
10.5
Closing price per share of common stock (as of quarter end)
89.53
106.34
116.01
129.01
126.56
169.60
59.5
34.0
106.34
169.60
59.5
Book value per common share
$
80.13
$
83.16
$
85.33
$
87.01
$
87.33
$
89.95
8.2
3.0
$
83.16
$
89.95
8.2
Tangible book value per common share(2)
51.23
53.56
55.57
56.13
56.59
59.23
10.6
4.7
53.56
59.23
10.6
Balance sheet averages:
Investment securities
$
110,070
$
112,083
$
111,821
$
108,376
$
107,157
$
108,630
(3.1)
1.4
$
111,082
$
107,897
(2.9)
Total assets
337,291
353,779
340,480
342,448
351,714
366,821
3.7
4.3
345,580
359,309
4.0
Total deposits
243,036
260,745
254,509
253,585
258,081
270,345
3.7
4.8
251,938
264,247
4.9
Ratios and other metrics:
Effective tax rate
21.7
%
22.0
%
21.9
%
18.6
%
21.2
%
21.9
%
(0.1)
%
pts
0.7
%
pts
21.9
%
21.6
%
(0.3)
%
pts
Return on average common equity
10.6
10.8
13.4
11.3
11.6
16.7
5.9
5.1
10.7
14.2
3.5
Return on average tangible common equity(3)
16.4
16.7
20.9
17.5
17.6
25.5
8.8
7.9
16.6
21.6
5.0
Pre-tax margin
25.0
25.8
31.1
25.0
25.5
34.3
8.5
8.8
25.4
30.1
4.7
Pre-tax margin, excluding notable items(4)
25.0
29.6
31.1
30.7
29.0
34.3
4.7
5.3
27.4
31.7
4.3
Net interest margin, fully taxable-equivalent basis
1.00
0.96
0.96
1.10
1.16
1.13
0.2
—
0.98
1.14
0.2
Common equity tier 1 ratio(5)(6)
11.0
10.7
11.3
11.6
10.6
10.8
0.1
0.2
10.7
10.8
0.1
Tier 1 capital ratio(5)(6)
13.8
13.3
13.9
14.4
13.1
13.2
(0.1)
0.1
13.3
13.2
(0.1)
Total capital ratio(5)(6)
15.3
14.8
15.5
16.1
14.5
14.5
(0.3)
—
14.8
14.5
(0.3)
Tier 1 leverage ratio(5)
5.5
5.3
5.6
5.5
5.4
5.3
—
(0.1)
5.3
5.3
—
Supplementary leverage ratio(5)
6.5
6.3
6.4
6.5
6.3
6.2
(0.1)
(0.1)
6.3
6.2
(0.1)
Assets under custody and/or administration (in billions)
$
46,733
$
49,000
$
51,664
$
53,800
$
54,515
$
57,858
18.1
%
6.1
%
$
49,000
$
57,858
18.1
%
Assets under management (in billions)
4,665
5,117
5,446
5,665
5,620
6,278
22.7
11.7
5,117
6,278
22.7
Average securities on loan(7)
358,869
386,730
404,378
411,166
431,100
478,343
23.7
11.0
372,877
454,852
22.0
(1) In the first quarter of 2026, revenue related to distribution and marketing activities was reclassified from foreign exchange trading services to management fees. Additionally, lending-related and other fees, previously recognized within software and processing fees, was reclassified to other fee revenue, and the software and processing fees caption has been changed to software services. Prior-period amounts have been reclassified to conform to the current presentation. These reclassifications had no impact on total fee revenue, total revenue or net income, on either a consolidated or line of business basis.
(2) Tangible book value per common share is calculated by dividing the period end tangible common equity (non-GAAP) by the total common shares outstanding at period end. Refer to the Reconciliations of Tangible Book Value per Common Share and Return on Tangible Common Equity page for details.
(3) Return on average tangible common equity is calculated by dividing annualized net income available to common shareholders (GAAP-basis) for the relevant period by average tangible common equity (non-GAAP). Refer to the Reconciliations of Tangible Book Value per Common Share and Return on Tangible Common Equity page for details.
(4) Excluding notable items is a non-GAAP presentation; refer to Reconciliations of non-GAAP Financial Information pages for details.
(5) The capital ratios presented are calculated in conformity with the applicable regulatory guidance in effect as of each period end. Capital ratios as of June 30, 2026 are estimates.
(6) The reportable ratios represent the lower of each of the risk-based capital ratios under both the Standardized Approach and the Advanced Approaches. Refer to Regulatory Capital for details on Standardized and Advanced Approaches ratios.
(7) End-of-period securities on loan were $376,269 million, $387,070 million, $397,730 million and $394,277 million at March 31, 2025, June 30, 2025, September 30, 2025 and December 31, 2025, respectively, and $431,805 million and $426,290 million at March 31, 2026 and June 30, 2026, respectively.
nm Denotes not meaningful
4
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
CONSOLIDATED STATEMENT OF CONDITION
As of
% Change
(Dollars in millions, except per share amounts)
March 31, 2025
June 30, 2025
September 30, 2025
December 31, 2025
March 31, 2026
June 30, 2026
2Q26
vs.
2Q25
2Q26
vs.
1Q26
Assets:
Cash and due from banks
$
4,658
$
4,020
$
4,756
$
4,433
$
6,518
$
4,290
6.7
%
(34.2)
%
Interest-bearing deposits with banks, net
119,464
118,835
122,642
126,930
123,574
145,223
22.2
17.5
Securities purchased under resale agreements
7,971
8,275
7,730
6,812
8,187
9,035
9.2
10.4
Trading account assets
743
791
884
827
842
856
8.2
1.7
Investment securities:
Investment securities available-for-sale, net
67,444
70,603
69,443
67,154
71,645
72,297
2.4
0.9
Investment securities held-to-maturity, net(1)
45,505
43,286
40,934
38,171
36,732
35,290
(18.5)
(3.9)
Total investment securities
112,949
113,889
110,377
105,325
108,377
107,587
(5.5)
(0.7)
Loans
44,685
47,279
46,660
46,782
49,190
52,062
10.1
5.8
Allowance for credit losses on loans(2)
176
179
190
193
168
161
(10.1)
(4.2)
Loans, net
44,509
47,100
46,470
46,589
49,022
51,901
10.2
5.9
Premises and equipment, net(3)
2,784
2,942
3,080
3,174
3,313
3,854
31.0
16.3
Accrued interest and fees receivable
4,280
4,589
4,476
4,395
4,708
4,867
6.1
3.4
Goodwill
7,763
7,918
7,916
8,159
8,121
8,106
2.4
(0.2)
Other intangible assets
1,046
1,014
958
935
872
816
(19.5)
(6.4)
Other assets
66,526
67,344
61,781
58,468
78,631
81,846
21.5
4.1
Total assets
$
372,693
$
376,717
$
371,070
$
366,047
$
392,165
$
418,381
11.1
6.7
Liabilities:
Deposits:
Non-interest-bearing
$
32,265
$
34,569
$
34,395
$
35,267
$
39,643
$
46,489
34.5
17.3
Interest-bearing - U.S.
168,362
169,444
169,013
168,079
174,723
191,759
13.2
9.8
Interest-bearing - Non-U.S.
71,429
79,011
76,591
71,004
78,975
81,299
2.9
2.9
Total deposits(4)
272,056
283,024
279,999
274,350
293,341
319,547
12.9
8.9
Securities sold under repurchase agreements
3,524
2,377
206
841
969
395
(83.4)
(59.2)
Other short-term borrowings
11,849
9,844
9,825
3,821
3,981
4,372
(55.6)
9.8
Accrued expenses and other liabilities
33,726
28,254
28,710
34,051
40,899
40,095
41.9
(2.0)
Long-term debt
24,846
25,911
24,688
25,143
25,233
25,704
(0.8)
1.9
Total liabilities
346,001
349,410
343,428
338,206
364,423
390,113
11.6
7.0
Shareholders' equity:
Preferred stock, no par, 3,500,000 shares authorized:
Series G, 5,000 shares issued and outstanding
493
493
493
493
493
493
—
—
Series I, 15,000 shares issued and outstanding
1,481
1,481
1,481
1,481
1,481
1,481
—
—
Series J, 8,500 shares issued and outstanding
842
842
842
842
842
842
—
—
Series K, 7,500 shares issued and outstanding
743
743
743
743
743
743
—
—
Common stock, $1 par, 750,000,000 shares authorized(5)(6)
504
504
504
504
504
504
—
—
Surplus
10,693
10,698
10,704
10,705
10,701
10,710
0.1
0.1
Retained earnings
29,959
30,373
30,938
31,392
31,864
32,660
7.5
2.5
Accumulated other comprehensive income (loss)
(1,792)
(1,321)
(1,172)
(1,043)
(1,282)
(1,178)
10.8
8.1
Treasury stock, at cost(7)
(16,231)
(16,506)
(16,891)
(17,276)
(17,604)
(17,987)
(9.0)
(2.2)
Total shareholders' equity
26,692
27,307
27,642
27,841
27,742
28,268
3.5
1.9
Total liabilities and equity
$
372,693
$
376,717
$
371,070
$
366,047
$
392,165
$
418,381
11.1
6.7
(1) Fair value of investment securities held-to-maturity
$
40,424
$
38,485
$
36,654
$
34,166
$
32,560
$
31,104
(2) Total allowance for credit losses including off-balance sheet commitments
186
192
201
203
179
175
(3) Accumulated depreciation for premises and equipment
6,635
6,824
6,979
7,046
7,170
7,273
(4) Average total deposits
243,036
260,745
254,509
253,585
258,081
270,345
(5) Common stock shares issued
503,879,642
503,879,642
503,879,642
503,879,642
503,879,642
503,879,642
(6) Total common shares outstanding
288,676,229
285,561,974
282,217,819
279,077,907
276,924,993
274,702,550
(7) Treasury stock shares
215,203,413
218,317,668
221,661,823
224,801,735
226,954,649
229,177,092
5
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
AVERAGE STATEMENT OF CONDITION - RATES EARNED AND PAID - FULLY TAXABLE-EQUIVALENT BASIS(1)
The following table presents average rates earned and paid, on a fully taxable-equivalent basis, on consolidated average interest-earning assets and average interest-bearing liabilities for the quarters indicated. Tax-equivalent adjustments were calculated using a federal income tax rate of 21%, adjusted for applicable state income taxes, net of related federal benefit.
Quarters
% Change
1Q25
2Q25
3Q25
4Q25
1Q26
2Q26
2Q26
vs.
2Q25
2Q26
vs.
1Q26
(Dollars in millions; fully-taxable equivalent basis)
Average balance
Average rates
Average balance
Average rates
Average balance
Average rates
Average balance
Average rates
Average balance
Average rates
Average balance
Average rates
Average balance
Average balance
Assets:
Interest-bearing deposits with banks, net
$
92,780
3.36
%
$
98,321
3.23
%
$
88,130
3.03
%
$
94,987
2.83
%
$
100,363
2.81
%
$
103,683
2.89
%
5.5
%
3.3
%
Securities purchased under resale agreements(2)
7,716
8.66
9,169
7.83
8,643
7.82
7,398
8.47
8,051
7.65
8,129
7.43
(11.3)
1.0
Trading account assets
756
0.15
791
0.06
806
0.90
872
0.65
837
0.71
845
0.80
6.8
1.0
Investment securities:
Investment securities available-for-sale, net
63,428
4.57
67,718
4.45
69,898
4.43
68,858
4.32
69,862
4.04
72,810
4.06
7.5
4.2
Investment securities held-to-maturity, net
46,642
2.07
44,365
2.11
41,923
2.15
39,518
2.19
37,295
2.22
35,820
2.24
(19.3)
(4.0)
Total investment securities
110,070
3.51
112,083
3.52
111,821
3.58
108,376
3.55
107,157
3.41
108,630
3.46
(3.1)
1.4
Loans(3)
43,730
5.17
45,277
5.08
46,500
4.98
47,599
4.77
48,588
4.53
50,081
4.64
10.6
3.1
Other interest-earning assets
34,464
5.49
39,007
5.38
39,557
4.92
29,999
5.00
28,118
5.00
34,038
5.00
(12.7)
21.1
Total interest-earning assets
289,516
4.09
304,648
4.02
295,457
3.92
289,231
3.77
293,114
3.67
305,406
3.73
0.2
4.2
Cash and due from banks
4,516
4,058
4,336
3,633
3,912
3,984
(1.8)
1.8
Other non-interest-earning assets
43,259
45,073
40,687
49,584
54,688
57,431
27.4
5.0
Total assets
$
337,291
$
353,779
$
340,480
$
342,448
$
351,714
$
366,821
3.7
4.3
Liabilities:
Interest-bearing deposits:
U.S.
$
154,462
3.54
%
$
159,770
3.50
%
$
157,132
3.49
%
$
153,865
3.13
%
$
154,634
2.91
%
$
161,741
2.91
%
1.2
%
4.6
%
Non-U.S.
63,677
1.38
76,807
1.55
73,428
1.49
73,577
1.34
73,962
1.34
79,103
1.52
3.0
7.0
Total interest-bearing deposits(4)
218,139
2.91
236,577
2.87
230,560
2.86
227,442
2.55
228,596
2.40
240,844
2.45
1.8
5.4
Securities sold under repurchase agreements
4,530
4.54
3,160
4.42
1,002
3.44
161
1.90
272
2.84
256
2.23
(91.9)
(5.9)
Other short-term borrowings
11,848
4.64
10,179
4.51
10,069
4.88
6,320
3.81
3,857
4.05
4,179
3.78
(58.9)
8.3
Long-term debt
23,742
5.00
25,864
4.98
25,273
4.93
25,126
4.77
25,256
4.53
25,912
4.57
0.2
2.6
Other interest-bearing liabilities
5,471
11.76
3,543
18.35
3,445
11.39
3,678
13.27
4,310
12.82
5,383
12.90
51.9
24.9
Total interest-bearing liabilities
263,730
3.40
279,323
3.34
270,349
3.23
262,727
2.94
262,291
2.81
276,574
2.88
(1.0)
5.4
Non-interest-bearing deposits(5)
24,897
24,168
23,949
26,143
29,485
29,501
22.1
0.1
Other non-interest-bearing liabilities
22,554
23,232
18,850
25,851
31,823
32,605
40.3
2.5
Preferred shareholders' equity
3,263
3,560
3,560
3,560
3,560
3,560
—
—
Common shareholders' equity
22,847
23,496
23,772
24,167
24,555
24,581
4.6
0.1
Total liabilities and shareholders' equity
$
337,291
$
353,779
$
340,480
$
342,448
$
351,714
$
366,821
3.7
4.3
Total deposits
$
243,036
$
260,745
$
254,509
$
253,585
$
258,081
$
270,345
3.7
4.8
Excess of rate earned over rate paid
0.70
%
0.68
%
0.69
%
0.83
%
0.86
%
0.86
%
Net interest margin
1.00
%
0.96
%
0.96
%
1.10
%
1.16
%
1.13
%
Net interest income, fully taxable-equivalent basis
$
714
$
729
$
716
$
802
$
835
$
860
Tax-equivalent adjustment
—
—
(1)
—
—
—
Net interest income, GAAP-basis(4)
$
714
$
729
$
715
$
802
$
835
$
860
(1) Average rates earned and paid on interest-earning assets and interest-bearing liabilities include the impact of hedge activities associated with our asset and liability management activities where applicable.
(2) Reflects the impact of balance sheet netting under enforceable netting agreements of approximately $232 billion, $253 billion, $251 billion and $234 billion in the first, second, third and fourth quarters of 2025, respectively, and approximately $228 billion and $216 billion in the first and second quarters of 2026, respectively. Excluding the impact of netting, the average interest rates would be approximately 0.28%, 0.27%, 0.26% and 0.26% in the first, second, third and fourth quarters of 2025, respectively, and approximately 0.26% and 0.27% in the first and second quarters of 2026, respectively.
(3) Average loans are presented on a gross basis. Average loans net of expected credit losses were approximately $43,562 million, $45,113 million, $46,321 million and $47,411 million in the first, second, third and fourth quarters of 2025, respectively and approximately $48,421 million and $49,916 million in the first and second quarters of 2026, respectively.
(4) Average rates includes the impact of FX swap expense of approximately ($83) million, ($42) million, ($31) million and ($39) million in the first, second, third and fourth quarters of 2025, respectively, and approximately ($29) million and ($4) million in the first and second quarters of 2026, respectively. Average rates for total interest-bearing deposits excluding the impact of FX swap expense were approximately 3.07%, 2.94%, 2.91%, and 2.62% in the first, second, third and fourth quarters of 2025, respectively, and approximately 2.45% and 2.46% in the first and second quarters of 2026, respectively.
(5) Average non-interest-bearing deposits are primarily composed of deposit balances denominated in U.S. dollars.
6
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
AVERAGE STATEMENT OF CONDITION - RATES EARNED AND PAID - FULLY TAXABLE-EQUIVALENT BASIS - YEAR TO DATE(1)
The following table presents consolidated average interest-earning assets, average interest-bearing liabilities and related average rates earned and paid, respectively, for the years indicated, on a fully taxable-equivalent basis, which is a non-GAAP measure. Tax-equivalent adjustments were calculated using a federal income tax rate of 21% for periods ending in 2025 and 2026, adjusted for applicable state income taxes, net of related federal benefit.
Year-to-Date
% Change
2025
2026
YTD2026 vs YTD2025
(Dollars in millions; fully-taxable equivalent basis)
Average balance
Average rates
Average balance
Average rates
Average balance
Assets:
Interest-bearing deposits with banks, net
$
95,565
3.29
%
$
102,032
2.85
%
6.8
%
Securities purchased under resale agreements(2)
8,447
8.21
8,091
7.54
(4.2)
Trading account assets
773
0.11
841
0.76
8.8
Investment securities:
Investment securities available-for-sale, net
65,585
4.50
71,344
4.05
8.8
Investment securities held-to-maturity, net
45,497
2.09
36,553
2.23
(19.7)
Total investment securities
111,082
3.52
107,897
3.43
(2.9)
Loans(3)
44,508
5.12
49,339
4.59
10.9
Other interest-earning assets
36,748
5.43
31,094
5.00
(15.4)
Total interest-earning assets
297,123
4.06
299,294
3.70
0.7
Cash and due from banks
4,286
3,948
(7.9)
Other non-interest-earning assets
44,171
56,067
26.9
Total assets
$
345,580
$
359,309
4.0
Liabilities:
Interest-bearing deposits:
U.S.
$
157,130
3.52
$
158,207
2.91
0.7
Non-U.S.
70,278
1.48
76,547
1.43
8.9
Total interest-bearing deposits(4)
227,408
2.89
234,754
2.43
3.2
Securities sold under repurchase agreements
3,841
4.49
264
2.54
(93.1)
Other short-term borrowings
11,009
4.58
4,019
3.91
(63.5)
Long-term debt
24,809
4.99
25,586
4.55
3.1
Other interest-bearing liabilities
4,503
14.37
4,849
12.86
7.7
Total interest-bearing liabilities
271,570
3.37
269,472
2.84
(0.8)
Non-interest-bearing deposits(5)
24,530
29,493
20.2
Other non-interest-bearing liabilities
22,894
32,216
40.7
Preferred shareholders' equity
3,411
3,560
4.4
Common shareholders' equity
23,175
24,568
6.0
Total liabilities and shareholders' equity
$
345,580
$
359,309
4.0
Total deposits
$
251,938
$
264,247
4.9
Excess of rate earned over rate paid
0.69
%
0.86
%
Net interest margin
0.98
%
1.14
%
Net interest income, fully taxable-equivalent basis
$
1,443
$
1,695
Tax-equivalent adjustment
—
—
Net interest income, GAAP-basis(4)
$
1,443
$
1,695
(1) Average rates earned and paid on interest-earning assets and interest-bearing liabilities include the impact of hedge activities associated with our asset and liability management activities where applicable.
(2) Reflects the impact of balance sheet netting under enforceable netting agreements of approximately $243 billion and $222 billion as of June 30, 2025 and 2026, respectively. Excluding the impact of netting, the average interest rates would be approximately 0.28% and 0.27% for the six months ended June 30, 2025 and 2026, respectively.
(3) Average loans are presented on a gross basis. Average loans net of expected credit losses as of June 30, 2025 and 2026 was approximately $44,342 million and $49,173 million, respectively
(4) Average rates include the impact of FX swap cost of approximately ($125) million and ($33) million for the six months ended June 30, 2025 and 2026, respectively. Average rates for total interest-bearing deposits excluding the impact of FX swap cost were 3.00% and 2.46% for the six months ended June 30, 2025 and 2026, respectively.
(5) Average non-interest-bearing deposits are primarily composed of deposit balances denominated in U.S. dollars.
7
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
SELECTED AVERAGE BALANCES BY CURRENCY - RATES EARNED AND PAID(1)
2Q26
USD
EUR
GBP
Other
Total
(Dollars in millions, except where otherwise noted)
Average Balance
Average Rates
Average Balance
Average Rates
Average Balance
Average Rates
Average Balance
Average Rates
Average Balance
Average Rates
Interest-bearing deposits with banks
$
51,295
3.76
%
$
30,113
1.99
%
$
6,529
3.66
%
$
15,746
1.44
%
$
103,683
2.89
%
Total investment securities
84,248
3.57
9,950
1.73
7,427
4.24
7,005
3.75
108,630
3.46
Loans
41,315
4.78
6,735
3.63
1,353
4.66
678
6.33
50,081
4.64
Total other interest-earning assets(2)
39,788
5.46
92
(2.26)
36
(2.86)
3,096
4.66
43,012
5.38
Total interest-earning assets
$
216,646
4.20
$
46,890
2.16
$
15,345
4.02
$
26,525
2.56
$
305,406
3.73
Total interest-bearing deposits(3)(4)
$
159,900
3.11
$
40,799
1.12
$
11,886
1.71
$
28,259
0.98
$
240,844
2.45
Central Bank Rate(5)
3.75
2.05
3.75
1Q26
USD
EUR
GBP
Other
Total
(Dollars in millions, except where otherwise noted)
Average Balance
Average Rates
Average Balance
Average Rates
Average Balance
Average Rates
Average Balance
Average Rates
Average Balance
Average Rates
Interest-bearing deposits with banks
$
48,444
3.74
%
$
27,712
1.99
%
$
6,188
3.77
%
$
18,019
1.25
%
$
100,363
2.81
%
Total investment securities
84,397
3.42
9,285
2.41
6,673
4.13
6,802
3.88
107,157
3.41
Loans
39,988
5.01
6,824
1.63
1,221
4.98
555
4.76
48,588
4.53
Total other interest-earning assets(2)
33,825
5.61
163
1.14
94
2.23
2,924
4.36
37,006
5.48
Total interest-earning assets
$
206,654
4.18
$
43,984
2.03
$
14,176
4.06
$
28,300
2.29
$
293,114
3.67
Total interest-bearing deposits(3)(4)
$
153,794
3.10
$
37,805
1.12
$
11,536
1.74
$
25,461
0.39
$
228,596
2.40
Central Bank Rate(5)
3.75
2.00
3.75
2Q25
USD
EUR
GBP
Other
Total
(Dollars in millions, except where otherwise noted)
Average Balance
Average Rates
Average Balance
Average Rates
Average Balance
Average Rates
Average Balance
Average Rates
Average Balance
Average Rates
Interest-bearing deposits with banks
$
43,978
4.53
%
$
30,178
2.19
%
$
6,417
4.32
%
$
17,748
1.39
%
$
98,321
3.23
%
Total investment securities
91,562
3.50
8,427
2.54
6,289
4.50
5,805
4.24
112,083
3.52
Loans
36,459
5.19
6,873
4.31
1,309
6.22
636
5.02
45,277
5.08
Total other interest-earning assets(2)
44,091
5.99
999
1.55
329
3.42
3,548
4.21
48,967
5.76
Total interest-earning assets
$
216,090
4.51
$
46,477
2.55
$
14,344
4.56
$
27,737
2.43
$
304,648
4.02
Total interest-bearing deposits(3)(4)
$
157,056
3.75
$
41,656
1.32
$
12,465
1.95
$
25,400
0.43
$
236,577
2.87
Central Bank Rate(5)
4.50
2.22
4.35
(1) Average rates earned and paid on interest-earning assets and interest-bearing liabilities include the impact of hedge activities associated with our asset and liability management activities where applicable.
(2) Average total other interest-earning assets include securities purchased under resale agreements, trading account assets and other interest-earning assets. Refer to average statement of condition - rates earned and paid - full taxable-equivalent basis for details.
(3) Average rates for interest-bearing deposit balances denominated in U.S. dollars include both client and wholesale deposits.
(4) FX swap costs for interest-bearing deposits are included in other currencies.
(5) Central Bank Rate represents the quarterly average Federal Funds Target Rate for USD, European Central Bank Deposit Facility Rate for EUR, and the Bank of England's Bank Rate for GBP.
8
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
INVESTMENT PORTFOLIO HOLDINGS BY ASSET CLASS
Quarters
1Q25
2Q25
3Q25
4Q25
1Q26
2Q26
(Dollars in billions, except where otherwise noted)
Average Balance
Average Rate
Average Balance
Average Rate
Average Balance
Average Rate
Average Balance
Average Rate
Average Balance
Average Rate
Average Balance
Average Rate
Available-for-sale investment securities:
Government & agency securities
$
41.3
4.29
%
$
42.6
4.15
%
$
42.8
4.08
%
$
42.1
3.96
%
$
42.7
3.70
%
$
45.0
3.73
%
U.S. Treasury direct obligations
26.5
4.48
26.4
4.43
25.5
4.37
24.4
4.19
24.0
3.91
25.2
3.92
Non-U.S. sovereign, supranational and non-U.S. agency
14.8
3.96
16.2
3.70
17.3
3.66
17.7
3.65
18.7
3.44
19.8
3.49
Asset-backed securities
7.8
5.09
8.5
4.75
8.7
4.58
8.2
4.47
8.0
3.99
8.3
4.08
Mortgage-backed securities
7.0
5.06
9.2
5.09
11.3
5.33
12.2
5.16
13.6
4.85
14.2
4.88
CMBS
4.3
4.86
4.2
4.74
3.9
4.80
3.3
4.73
2.7
4.21
2.4
4.08
Other
3.0
5.16
3.2
5.14
3.2
5.12
3.1
5.02
2.9
5.15
2.9
5.19
Total available-for-sale portfolio
$
63.4
4.57
$
67.7
4.45
$
69.9
4.43
$
68.9
4.32
$
69.9
4.04
$
72.8
4.06
Quarters
1Q25
2Q25
3Q25
4Q25
1Q26
2Q26
(Dollars in billions, except where otherwise noted)
Average Balance
Average Rate
Average Balance
Average Rate
Average Balance
Average Rate
Average Balance
Average Rate
Average Balance
Average Rate
Average Balance
Average Rate
Held-to-maturity investment securities:
Government & agency securities
$
8.6
0.75
%
$
7.2
0.78
%
$
5.6
0.83
%
$
4.4
0.88
%
$
2.7
1.02
%
$
2.1
1.11
%
U.S. Treasury direct obligations
5.0
0.66
3.9
0.67
2.4
0.67
1.6
0.69
0.4
0.70
0.3
0.79
Non-U.S. sovereign, supranational and non-U.S. agency
3.6
0.89
3.3
0.92
3.2
0.95
2.8
0.99
2.3
1.08
1.8
1.16
Asset-backed securities
2.4
5.32
2.4
5.17
2.4
5.21
2.3
5.17
2.2
4.55
2.1
4.65
Mortgage-backed securities
30.5
2.22
29.7
2.21
28.8
2.20
27.8
2.22
27.3
2.22
26.6
2.21
CMBS
5.2
1.88
5.1
1.89
5.1
1.89
5.0
1.88
5.1
1.85
5.0
1.85
Total held-to-maturity portfolio
$
46.7
2.07
$
44.4
2.11
$
41.9
2.15
$
39.5
2.19
$
37.3
2.22
$
35.8
2.24
Total investment securities
$
110.1
3.51
$
112.1
3.52
$
111.8
3.58
$
108.4
3.55
$
107.2
3.41
$
108.6
3.46
9
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
INVESTMENT PORTFOLIO HOLDINGS BY ASSET CLASS (continued)
Ratings
(Dollars in billions, or where otherwise noted)
UST/AGY
AAA
AA
A
BBB
<BBB
NR
Fair Value
% Total
Net Unrealized Pre-tax MTM Gain/(Loss)
(In millions)(1)
Fixed Rate/
Floating Rate(2)
Available-for-sale investment securities:
Government & agency securities
56
%
25
%
13
%
4
%
—
%
—
%
2
%
$
44.1
61.0
%
$
13
94% / 6%
U.S. Treasury direct obligations
100
—
—
—
—
—
24.5
55.6
29
100% / 0%
Non-U.S. sovereign, supranational and non-U.S. agency
—
56
29
10
1
1
3
19.6
44.4
(16)
85% / 15%
Asset-backed securities
—
95
5
—
—
—
—
8.5
11.7
7
0% / 100%
Mortgage-backed securities
100
—
—
—
—
—
—
14.6
20.2
27
45% / 55%
CMBS
100
—
—
—
—
—
—
2.3
3.2
(12)
9% / 91%
Other
—
5
25
64
6
—
—
2.8
3.9
21
63% / 37%
Total available-for-sale portfolio
57
%
27
%
10
%
5
%
—
%
—
%
1
%
$
72.3
100.0
%
$
56
69% / 31%
Fair Value
$
41.4
$
19.2
$
6.9
$
3.7
$
0.3
$
0.2
$
0.6
Ratings
UST/AGY
AAA
AA
A
BBB
<BBB
NR
Amortized Cost
% Total
Net Unrealized Pre-tax MTM Gain/(Loss)
(In millions)(1)
Fixed Rate/
Floating Rate(2)
Held-to-maturity investment securities:
Government & agency securities
15
%
26
%
49
%
10
%
—
%
—
%
—
%
$
1.9
5.4
%
$
(27)
100% / 0%
U.S. Treasury direct obligations
100
—
—
—
—
—
—
0.3
15.8
(2)
98% / 2%
Non-U.S. sovereign, supranational and non-U.S. agency
—
30
58
12
—
—
—
1.6
84.2
(25)
100% / 0%
Asset-backed securities
—
—
93
5
—
2
—
2.0
5.7
(17)
5% / 95%
Mortgage-backed securities
100
—
—
—
—
—
—
26.4
74.7
(3,687)
100% / 0%
CMBS
100
—
—
—
—
—
—
5.0
14.2
(455)
98% / 2%
Total held-to-maturity portfolio
90
%
1
%
8
%
1
%
—
%
—
%
—
%
$
35.3
100.0
%
$
(4,186)
94% / 6%
Amortized Cost
$
31.7
$
0.5
$
2.8
$
0.3
$
—
$
—
$
—
Total Investment Securities(3)
$
107.6
77% / 23%
(1) At June 30, 2026, the after-tax unrealized MTM gain/(loss) includes after-tax unrealized gain on securities available-for-sale of $40 million, after-tax unrealized loss on securities held-to-maturity of $2,962 million and after-tax unrealized loss primarily related to securities previously transferred from available-for-sale to held-to-maturity of $228 million.
(2) At June 30, 2026, fixed-to-floating rate securities, which excludes the impact of hedges, had a book value of approximately $1.18 billion or 1.10% of the total portfolio.
(3) State Street has a highly liquid balance sheet, with more than half of total assets deemed HQLA. Based upon fair value as of June 30, 2026, approximately 86% of our investment portfolio was held in HQLA.
10
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
ALLOWANCE FOR CREDIT LOSSES
Quarters
% Change
(Dollars in millions)
1Q25
2Q25
3Q25
4Q25
1Q26
2Q26
2Q26
vs.
2Q25
2Q26
vs.
1Q26
Allowance for credit losses:
Beginning balance
$
183
$
186
$
192
$
201
$
203
$
179
(3.8)
%
(11.8)
%
Provision for credit losses (funded commitments)
11
27
11
9
15
(3)
nm
nm
Provision for credit losses (unfunded commitments)
1
2
(1)
(3)
1
3
50.0
nm
Provision for credit losses (all other)
—
1
(1)
2
—
—
nm
nm
Total provision
12
30
9
8
16
—
nm
nm
Charge-offs
(9)
(24)
—
(6)
(40)
(4)
nm
nm
Ending balance(1)
$
186
$
192
$
201
$
203
$
179
$
175
(8.9)
(2.2)
Allowance for credit losses:
Loans
$
176
$
179
$
190
$
193
$
168
$
161
(10.1)
(4.2)
Unfunded (off-balance sheet) commitments
9
11
10
8
10
13
18.2
30.0
All other
1
2
1
2
1
1
(50.0)
—
Ending balance(1)
$
186
$
192
$
201
$
203
$
179
$
175
(8.9)
(2.2)
(1) The allowance for credit losses on unfunded commitments is included within Other liabilities in the Consolidated Statement of Condition.
nm Denotes not meaningful
11
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
ASSETS UNDER CUSTODY AND/OR ADMINISTRATION
Quarters
% Change
(Dollars in billions)
1Q25
2Q25
3Q25
4Q25
1Q26
2Q26
2Q26
vs.
2Q25
2Q26
vs.
1Q26
Assets Under Custody and/or Administration(1)
By Product Classification:
Collective funds, including ETFs
$
15,430
$
16,728
$
17,795
$
17,997
$
18,338
$
20,055
19.9
%
9.4
%
Mutual funds
12,143
12,641
13,209
13,518
13,309
14,353
13.5
7.8
Pension products
9,377
9,679
10,321
10,452
10,912
11,219
15.9
2.8
Insurance and other products
9,783
9,952
10,339
11,833
11,956
12,231
22.9
2.3
Total Assets Under Custody and/or Administration
$
46,733
$
49,000
$
51,664
$
53,800
$
54,515
$
57,858
18.1
6.1
By Asset Class:
Equities
$
27,508
$
29,311
$
31,124
$
31,879
$
32,243
$
34,670
18.3
7.5
Fixed-Income
11,900
12,122
12,874
13,830
14,030
14,160
16.8
0.9
Short-term and other investments(2)
7,325
7,567
7,666
8,091
8,242
9,028
19.3
9.5
Total Assets Under Custody and/or Administration
$
46,733
$
49,000
$
51,664
$
53,800
$
54,515
$
57,858
18.1
6.1
By Geographic Location(3):
Americas
$
33,340
$
35,028
$
36,698
$
37,422
$
37,265
$
40,040
14.3
7.4
Europe/Middle East/Africa
10,303
10,803
11,570
12,918
13,563
14,002
29.6
3.2
Asia-Pacific
3,090
3,169
3,396
3,460
3,687
3,816
20.4
3.5
Total Assets Under Custody and/or Administration
$
46,733
$
49,000
$
51,664
$
53,800
$
54,515
$
57,858
18.1
6.1
Assets Under Custody(4)
By Product Classification:
Collective funds, including ETFs
$
13,335
$
14,487
$
15,478
$
15,619
$
15,874
$
17,424
20.3
9.8
Mutual funds
9,725
10,060
10,506
10,762
10,598
11,351
12.8
7.1
Pension products
7,731
7,975
8,371
8,487
8,875
9,137
14.6
3.0
Insurance and other products
3,046
3,026
3,144
3,484
3,537
3,661
21.0
3.5
Total Assets Under Custody
$
33,837
$
35,548
$
37,499
$
38,352
$
38,884
$
41,573
16.9
6.9
By Geographic Location(3):
Americas
$
25,407
$
26,705
$
28,058
$
28,462
$
28,398
$
30,667
14.8
8.0
Europe/Middle East/Africa
5,861
6,215
6,606
6,968
7,360
7,629
22.8
3.7
Asia-Pacific
2,569
2,628
2,835
2,922
3,126
3,277
24.7
4.8
Total Assets Under Custody
$
33,837
$
35,548
$
37,499
$
38,352
$
38,884
$
41,573
16.9
6.9
(1) Consistent with past practice, AUC/A values for certain asset classes are based on a lag, typically one-month.
(2) Short-term and other investments includes derivatives, cash and cash equivalents and other instruments.
(3) Geographic mix is generally based on the domicile of the entity servicing the funds and is not necessarily representative of the underlying asset mix.
(4) Assets under custody are a component of assets under custody and/or administration presented above.
12
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
ASSETS UNDER MANAGEMENT
Quarters
% Change
(Dollars in billions)
1Q25
2Q25
3Q25
4Q25
1Q26
2Q26
2Q26
vs.
2Q25
2Q26
vs.
1Q26
Assets Under Management by Category(1)
By Asset Class:
Equity
$
2,901
$
3,218
$
3,465
$
3,589
$
3,496
$
4,051
25.9
%
15.9
%
Fixed-income
633
700
720
734
756
776
10.9
2.6
Cash(2)
518
525
540
570
581
621
18.3
6.9
Multi-asset
390
449
477
501
503
567
26.3
12.7
Alternative investments(3)
223
225
244
271
284
263
16.9
(7.4)
Total
$
4,665
$
5,117
$
5,446
$
5,665
$
5,620
$
6,278
22.7
11.7
By Geography(4):
Americas
$
3,431
$
3,713
$
3,982
$
4,155
$
4,108
$
4,573
23.2
11.3
Europe/Middle East/Africa
690
771
806
841
845
956
24.0
13.1
Asia-Pacific
544
633
658
669
667
749
18.3
12.3
Total
$
4,665
$
5,117
$
5,446
$
5,665
$
5,620
$
6,278
22.7
11.7
By Vehicle:
ETF
$
1,554
$
1,690
$
1,848
$
1,951
$
1,940
$
2,204
30.4
13.6
Separately managed accounts
1,776
1,985
2,074
2,127
2,120
2,340
17.9
10.4
Other commingled funds
1,335
1,442
1,524
1,587
1,560
1,734
20.2
11.2
Total
$
4,665
$
5,117
$
5,446
$
5,665
$
5,620
$
6,278
22.7
11.7
By Strategy:
Index strategies and solutions:
ETFs
$
1,541
$
1,677
$
1,834
$
1,936
$
1,926
$
2,188
30.5
13.6
Other index
2,424
2,737
2,896
2,986
2,938
3,279
19.8
11.6
Total index strategies and solutions
3,965
4,414
4,730
4,922
4,864
5,467
23.9
12.4
Active, alternatives and other
182
178
176
173
175
190
6.7
8.6
Cash(2)
518
525
540
570
581
621
18.3
6.9
Total
$
4,665
$
5,117
$
5,446
$
5,665
$
5,620
$
6,278
22.7
11.7
(1) Our AUM disclosures have been updated to more closely reflect the investment strategies and capabilities within the Investment Management business. AUM disclosures are now organized around Index; Active, Alternatives and Other Strategies; and Cash. We have retained the supplemental views of AUM, including, but not limited to, views by asset class and by geography.
(2) Includes both floating- and constant-net-asset-value portfolios held in commingled structures or separate accounts.
(3) Includes real estate investment trusts, currency and commodities, including SPDR® Gold Shares and SPDR® Gold MiniSharesSM Trust. We are not the investment manager for the SPDR® Gold Shares and SPDR®Gold MiniSharesSM Trust, but act as the marketing agent.
(4) Geographic mix is based on client location or fund management location.
13
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
ASSETS UNDER MANAGEMENT (Continued)
Quarters
(Dollars in billions)
1Q25
2Q25
3Q25
4Q25
1Q26
2Q26
Net asset flows by category(1)
By Asset Class:
Equity
$
(37)
$
14
$
5
$
28
$
2
$
60
Fixed-income
2
51
13
11
28
12
Cash(2)
1
(1)
10
24
8
35
Multi-asset
13
25
6
12
12
13
Alternative investments(3)
8
(7)
(8)
10
(1)
(6)
Total flows, net
$
(13)
$
82
$
26
$
85
$
49
$
114
By Geography(4):
Americas
$
4
$
29
$
36
$
75
$
10
$
75
Europe/Middle East/Africa
(29)
18
—
10
29
18
Asia-Pacific
12
35
(10)
—
10
21
Total flows, net
$
(13)
$
82
$
26
$
85
$
49
$
114
By Vehicle:
ETF
$
1
$
15
$
37
$
51
$
25
$
68
Separately managed accounts
(7)
50
(20)
4
30
9
Other commingled funds
(7)
17
9
30
(6)
37
Total flows, net
$
(13)
$
82
$
26
$
85
$
49
$
114
By Strategy:
Index strategies and solutions:
ETFs
$
—
$
15
$
38
$
51
$
25
$
66
Other index
(12)
81
(7)
14
13
15
Total index strategies and solutions
(12)
96
31
65
38
81
Active, alternatives and other
(2)
(13)
(15)
(4)
3
(2)
Cash(2)
1
(1)
10
24
8
35
Total flows, net
$
(13)
$
82
$
26
$
85
$
49
$
114
(1) Our AUM disclosures have been updated to more closely reflect the investment strategies and capabilities within the Investment Management business. AUM disclosures are now organized around Index; Active, Alternatives and Other Strategies; and Cash. We have retained the supplemental views of AUM, including, but not limited to, views by asset class and by geography.
(2) Includes both floating- and constant-net-asset-value portfolios held in commingled structures or separate accounts.
(3) Includes real estate investment trusts, currency and commodities, including SPDR® Gold Shares and SPDR® Gold MiniSharesSM Trust. We are not the investment manager for the SPDR® Gold Shares and SPDR®Gold MiniSharesSM Trust, but act as the marketing agent.
(4) Geographic mix is based on client location or fund management location.
14
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
LINE OF BUSINESS INFORMATION
Investment Servicing
% Change
Investment Management
% Change
Other(1)
% Change
Total
% Change
(Dollars in millions)
2Q25
1Q26
2Q26
2Q26
vs.
2Q25
2Q26
vs.
1Q26
2Q25
1Q26
2Q26
2Q26
vs.
2Q25
2Q26
vs.
1Q26
2Q25
1Q26
2Q26
2Q26
vs.
2Q25
2Q26
vs.
1Q26
2Q25
1Q26
2Q26
2Q26
vs.
2Q25
2Q26
vs.
1Q26
Servicing fees
$
1,304
$
1,409
$
1,468
12.6
%
4.2
%
$
—
$
—
$
—
—
%
—
%
$
—
$
—
$
—
—
%
—
%
$
1,304
$
1,409
$
1,468
12.6
%
4.2
%
Management fees(2)
—
—
—
—
—
600
724
772
28.7
6.6
—
—
—
—
—
600
724
772
28.7
6.6
Foreign exchange trading services(2)
390
432
491
25.9
13.7
—
3
3
—
—
3
—
—
nm
—
393
435
494
25.7
13.6
Securities finance
119
110
140
17.6
27.3
7
6
10
42.9
66.7
—
—
—
—
—
126
116
150
19.0
29.3
Software services(2)
193
169
166
(14.0)
(1.8)
—
—
—
—
—
(24)
—
—
nm
—
169
169
166
(1.8)
(1.8)
Other fee revenue(2)
112
102
117
4.5
14.7
15
5
21
40.0
nm
—
—
—
—
—
127
107
138
8.7
29.0
Total fee revenue
2,118
2,222
2,382
12.5
7.2
622
738
806
29.6
9.2
(21)
—
—
nm
—
2,719
2,960
3,188
17.2
7.7
Net interest income
726
832
860
18.5
3.4
3
3
—
nm
nm
—
—
—
—
—
729
835
860
18.0
3.0
Total other income
—
1
—
nm
nm
—
—
—
—
—
—
—
—
—
—
—
1
—
nm
nm
Total revenue
2,844
3,055
3,242
14.0
6.1
625
741
806
29.0
8.8
(21)
—
—
nm
—
3,448
3,796
4,048
17.4
6.6
Provision for credit losses
30
16
—
nm
nm
—
—
—
—
—
—
—
—
—
—
30
16
—
nm
nm
Total expenses
1,995
2,189
2,162
8.4
(1.2)
417
492
497
19.2
1.0
117
130
—
nm
nm
2,529
2,811
2,659
5.1
(5.4)
Income before income tax expense
$
819
$
850
$
1,080
31.9
27.1
$
208
$
249
$
309
48.6
24.1
$
(138)
$
(130)
$
—
nm
nm
$
889
$
969
$
1,389
56.2
43.3
Pre-tax margin
28.8
%
27.8
%
33.3
%
4.5
%
5.5
%
pts
33.3
%
33.6
%
38.3
%
5.0
%
4.7
%
pts
25.8
%
25.5
%
34.3
%
8.5
%
8.8
%
pts
Six Months Ended June 30,
Investment Servicing
% Change
Investment Management
% Change
Other(1)
% Change
Total
% Change
(Dollars in millions)
2025
2026
YTD2026
vs.
YTD2025
2025
2026
YTD2026
vs.
YTD2025
2025
2026
YTD2026
vs.
YTD2025
2025
2026
YTD2026
vs.
YTD2025
Servicing fees
$
2,579
$
2,877
11.6
%
$
—
$
—
—
%
$
—
$
—
—
%
$
2,579
$
2,877
11.6
%
Management fees(2)
—
—
—
1,187
1,496
26.0
—
—
—
1,187
1,496
26.0
Foreign exchange trading services(2)
727
923
27.0
—
6
—
3
—
nm
730
929
27.3
Securities finance
227
250
10.1
13
16
23.1
—
—
—
240
266
10.8
Software services(2)
351
335
(4.6)
—
—
—
(24)
—
nm
327
335
2.4
Other fee revenue(2)
213
219
2.8
13
26
nm
—
—
nm
226
245
8.4
Total fee revenue
4,097
4,604
12.4
1,213
1,544
27.3
(21)
—
nm
5,289
6,148
16.2
Net interest income
1,435
1,692
17.9
8
3
(62.5)
—
—
—
1,443
1,695
17.5
Total other income
—
1
nm
—
—
—
—
—
nm
—
1
nm
Total revenue
5,532
6,297
13.8
1,221
1,547
26.7
(21)
—
nm
6,732
7,844
16.5
Provision for credit losses
42
16
(61.9)
—
—
—
—
—
—
42
16
(61.9)
Total expenses
4,014
4,351
8.4
848
989
16.6
117
130
11.1
4,979
5,470
9.9
Income before income tax expense
$
1,476
$
1,930
30.8
$
373
$
558
49.6
$
(138)
$
(130)
(5.8)
$
1,711
$
2,358
37.8
Pre-tax margin
26.7
%
30.6
%
3.9
%
pts
30.5
%
36.1
%
5.6
%
pts
25.4
%
30.1
%
4.7
%
pts
(1) Represents amounts that are not allocated to a specific line of business, including repositioning charges, employee costs, acquisition costs, revenue-related recoveries and certain legal accruals.
(2) In the first quarter of 2026, revenue related to distribution and marketing activities was reclassified from foreign exchange trading services to management fees. Additionally, lending related and other fees, previously recognized within software and processing fees, was reclassified to other fee revenue, and the software and processing fees caption has been changed to software services. Prior-period amounts have been reclassified to conform to the current presentation. These reclassifications had no impact on total fee revenue, total revenue or net income, on either a consolidated or line of business basis.
nm Denotes not meaningful
15
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
REGULATORY CAPITAL
Basel III Advanced Approaches(1)
Basel III Standardized Approach(2)
(Dollars in millions)
1Q25
2Q25
3Q25
4Q25
1Q26
2Q26
1Q25
2Q25
3Q25
4Q25
1Q26
2Q26
Ratios and Supporting Calculations:
Common equity tier 1 capital
$
14,362
$
14,791
$
15,156
$
14,812
$
14,798
$
15,425
$
14,362
$
14,791
$
15,156
$
14,812
$
14,798
$
15,425
Total risk-weighted assets
114,274
118,652
115,731
114,357
118,311
116,501
130,208
137,677
134,168
127,263
139,811
143,353
Common equity tier 1 risk-based capital ratio
12.6
%
12.5
%
13.1
%
13.0
%
12.5
%
13.2
%
11.0
%
10.7
%
11.3
%
11.6
%
10.6
%
10.8
%
Tier 1 capital
$
17,921
$
18,350
$
18,715
$
18,371
$
18,357
$
18,984
$
17,921
$
18,350
$
18,715
$
18,371
$
18,357
$
18,984
Tier 1 risk-based capital ratio
15.7
%
15.5
%
16.2
%
16.1
%
15.5
%
16.3
%
13.8
%
13.3
%
13.9
%
14.4
%
13.1
%
13.2
%
Total capital
$
19,799
$
20,226
$
20,608
$
20,261
$
20,085
$
20,697
$
19,978
$
20,418
$
20,792
$
20,446
$
20,234
$
20,850
Total risk-based capital ratio
17.3
%
17.0
%
17.8
%
17.7
%
17.0
%
17.8
%
15.3
%
14.8
%
15.5
%
16.1
%
14.5
%
14.5
%
Tier 1 capital
$
17,921
$
18,350
$
18,715
$
18,371
$
18,357
$
18,984
$
17,921
$
18,350
$
18,715
$
18,371
$
18,357
$
18,984
Adjusted average assets (Tier 1)(3)
328,520
344,822
331,553
332,978
342,329
357,537
328,520
344,822
331,553
332,978
342,329
357,537
Tier 1 leverage ratio
5.5
%
5.3
%
5.6
%
5.5
%
5.4
%
5.3
%
5.5
%
5.3
%
5.6
%
5.5
%
5.4
%
5.3
%
On-and off-balance sheet leverage exposure
$
286,035
$
300,585
$
300,388
$
294,138
$
299,379
$
315,898
$
286,035
$
300,585
$
300,388
$
294,138
$
299,379
$
315,898
Less: regulatory deductions
(8,771)
(8,957)
(8,927)
(9,470)
(9,385)
(9,284)
(8,771)
(8,957)
(8,927)
(9,470)
(9,385)
(9,284)
Leverage exposure (SLR)
277,264
291,628
291,461
284,668
289,994
306,614
277,264
291,628
291,461
284,668
289,994
306,614
Supplementary leverage ratio(4)
6.5
%
6.3
%
6.4
%
6.5
%
6.3
%
6.2
%
6.5
%
6.3
%
6.4
%
6.5
%
6.3
%
6.2
%
(1) CET1, tier 1 capital, total capital and tier 1 leverage ratios for each period above were calculated in conformity with the advanced approaches provisions of the Basel III final rule. Capital ratios as of June 30, 2026 are estimates.
(2) CET1, tier 1 capital, total capital and tier 1 leverage ratios for each period above were calculated in conformity with the standardized approach provisions of the Basel III final rule. Capital ratios as of June 30, 2026 are estimates.
(3) Adjusted average assets (Tier 1) is equal to average consolidated total assets less applicable Tier 1 capital deductions.
(4) We are subject to a minimum Supplementary Leverage Ratio or SLR of 3%, and as a U.S. G-SIB, we must maintain a 0.5% SLR buffer in order to avoid any limitations on distributions to shareholders and discretionary bonus payments to certain executives.
16
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
RECONCILIATIONS OF TANGIBLE BOOK VALUE PER SHARE AND RETURN ON TANGIBLE COMMON EQUITY
The tangible book value per common share (TBVPS) and return on average tangible common equity (ROTCE) are ratios that management believes provide context about State Street's use of equity. The TBVPS ratio is calculated by dividing the period end tangible common equity by total common shares outstanding. The ROTCE ratio is calculated by dividing annualized net income available to common shareholders for the relevant period by average tangible common equity. Period end and average tangible common equity reflected in the TBVPS and ROTCE ratios are both non-GAAP measures which reduce period end and average common shareholders' equity, by period end and average goodwill and other intangible assets, net of related deferred taxes.
Since there is no authoritative requirement to calculate the TBVPS and ROTCE ratios, our TBVPS and ROTCE ratios are not necessarily comparable to similar measures disclosed or used by other companies in the financial services industry. TBVPS and ROTCE are non-GAAP financial measures and should be considered in addition to, not as a substitute for or superior to, financial measures determined in accordance with GAAP or other applicable requirements. Reconciliations with respect to the calculation of these ratios are presented below.
Quarters
(Dollars in millions, except per share amounts, or where otherwise noted)
1Q25
2Q25
3Q25
4Q25
1Q26
2Q26
Tangible common equity - period end:
Total shareholders' equity
$
26,692
$
27,307
$
27,642
$
27,841
$
27,742
$
28,268
Less:
Preferred stock
3,559
3,559
3,559
3,559
3,559
3,559
Common shareholders' equity
23,133
23,748
24,083
24,282
24,183
24,709
Less:
Goodwill
7,763
7,918
7,916
8,159
8,121
8,106
Other intangible assets
1,046
1,014
958
935
872
816
Plus:
Related deferred tax liabilities
465
479
473
478
480
484
Tangible common shareholders' equity - Non-GAAP
$
14,789
$
15,295
$
15,682
$
15,666
$
15,670
$
16,271
Total common shares outstanding - period end (in thousands)
288,676
285,562
282,218
279,078
276,925
274,703
Book value per common share
$
80.13
$
83.16
$
85.33
$
87.01
$
87.33
$
89.95
Tangible book value per common share - Non-GAAP
51.23
53.56
55.57
56.13
56.59
59.23
Quarters
Year-to-Date
(Dollars in millions, except where otherwise noted)
1Q25
2Q25
3Q25
4Q25
1Q26
2Q26
2025
2026
Tangible common equity - average:
Average common shareholders' equity
$
22,847
$
23,496
$
23,772
$
24,167
$
24,555
$
24,581
$
23,175
$
24,568
Less:
Average goodwill
7,717
7,854
7,906
7,971
8,154
8,143
7,786
8,148
Average other intangible assets
1,065
1,029
982
962
902
844
1,047
873
Plus:
Related deferred tax liabilities
462
472
476
475
479
482
467
480
Average tangible common shareholders' equity - Non-GAAP
$
14,527
$
15,085
$
15,360
$
15,709
$
15,978
$
16,076
$
14,809
$
16,027
Net income available to common shareholders
$
597
$
630
$
802
$
688
$
705
$
1,026
$
1,227
$
1,731
Net income available to common shareholders, excluding notable items(1)
597
733
802
845
803
1,026
1,330
1,829
Return on average tangible common equity - Non-GAAP(2)
16.4
%
16.7
%
20.9
%
17.5
%
17.6
%
25.5
%
16.6
%
21.6
%
Return on average tangible common equity, excluding notable items - Non-GAAP(2)
16.4
19.4
20.9
21.5
20.1
25.5
18.0
22.8
(1) Refer to Reconciliations of non-GAAP Financial Information pages for a reconciliation of net income available to common shareholders, excluding notable items.
(2) Return on average tangible common equity, excluding notable items - non-GAAP is calculated by dividing annualized net income available to common shareholders, excluding notable items for the relevant period by average tangible common equity.
17
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
RECONCILIATIONS OF NON-GAAP FINANCIAL INFORMATION
In addition to presenting State Street's financial results in conformity with U.S. generally accepted accounting principles, or GAAP, management also presents certain financial information on a basis that excludes or adjusts one or more items from GAAP. This latter basis is a non-GAAP presentation. In general, our non-GAAP financial results adjust selected GAAP-basis financial results to exclude the impact of revenue and expenses outside of State Street’s normal course of business or other notable items, such as acquisition and restructuring charges, repositioning charges, gains/losses on sales, as well as, for selected comparisons, seasonal items. For example, we sometimes present expenses on a basis we may refer to as "expenses ex-notable items", which exclude notable items and, to provide additional perspective on both prior year quarter and sequential quarter comparisons, also exclude seasonal items.
Management believes that this presentation of financial information facilitates an investor's further understanding and analysis of State Street's financial performance and trends with respect to State Street’s business operations from period-to-period, including providing additional insight into our underlying margin and profitability. In addition, Management may also provide additional non-GAAP measures. For example, we present capital ratios, calculated under regulatory standards scheduled to be effective in the future or other standards, that management uses in evaluating State Street’s business and activities and believes may similarly be useful to investors. Additionally, we may present revenue and expense measures on a constant currency basis to identify the significance of changes in foreign currency exchange rates (which often are variable) in period-to-period comparisons. This presentation represents the effects of applying prior period weighted average foreign currency exchange rates to current period results.
Non-GAAP financial measures should be considered in addition to, not as a substitute for or superior to, financial measures determined in conformity with GAAP.
Quarters
% Change
Year-to-Date
% Change
(Dollars in millions)
1Q25
2Q25
3Q25
4Q25
1Q26
2Q26
2Q26
vs.
2Q25
2Q26
vs.
1Q26
2025
2026
YTD2026
vs.
YTD2025
Fee Revenue:
Total fee revenue, GAAP-basis
$
2,570
$
2,719
$
2,829
$
2,862
$
2,960
$
3,188
17.2
%
7.7
%
$
5,289
$
6,148
16.2
%
Less: Notable items:
Foreign exchange trading services(1)
—
(3)
—
—
—
—
nm
—
(3)
—
nm
Client rescoping (revenue impact)(2)
—
24
—
—
—
—
nm
—
24
—
nm
Total fee revenue, excluding notable items
$
2,570
$
2,740
$
2,829
$
2,862
$
2,960
$
3,188
16.4
7.7
$
5,310
$
6,148
15.8
Total Revenue:
Total revenue, GAAP-basis
$
3,284
$
3,448
$
3,545
$
3,667
$
3,796
$
4,048
17.4
%
6.6
%
$
6,732
$
7,844
16.5
%
Less: Notable items:
Foreign exchange trading services(1)
—
(3)
—
—
—
—
nm
—
(3)
—
nm
Client rescoping (revenue impact)(2)
—
24
—
—
—
—
nm
—
24
—
nm
Total revenue, excluding notable items
$
3,284
$
3,469
$
3,545
$
3,667
$
3,796
$
4,048
16.7
6.6
$
6,753
$
7,844
16.2
Expenses:
Total expenses, GAAP-basis
$
2,450
$
2,529
$
2,434
$
2,741
$
2,811
$
2,659
5.1
%
(5.4)
%
$
4,979
$
5,470
9.9
%
Less: Notable items:
Repositioning charges(3)
—
(100)
—
(226)
(89)
—
nm
nm
(100)
(89)
(11.0)
Client rescoping (expense impact)(2)
—
(18)
—
—
(41)
—
nm
nm
(18)
(41)
nm
Other notable items(4)
—
1
—
20
—
—
nm
nm
1
—
nm
Total expenses, excluding notable items
2,450
2,412
2,434
2,535
2,681
2,659
10.2
(0.8)
4,862
5,340
9.8
Seasonal expenses
(155)
—
—
—
(169)
—
—
nm
(155)
(169)
9.0
Total expenses, excluding notable items and seasonal expenses
$
2,295
$
2,412
$
2,434
$
2,535
$
2,512
$
2,659
10.2
5.9
$
4,707
$
5,171
9.9
Fee Operating Leverage, GAAP-Basis:
Total fee revenue, GAAP-basis
$
2,570
$
2,719
$
2,829
$
2,862
$
2,960
$
3,188
17.25
%
7.70
%
$
5,289
$
6,148
16.24
%
Total expenses, GAAP-basis
2,450
2,529
2,434
2,741
2,811
2,659
5.14
(5.41)
4,979
5,470
9.86
Fee operating leverage, GAAP-basis(5)
1,211
bps
1,311
bps
638
bps
Fee Operating Leverage, excluding notable items:
Total fee revenue, excluding notable items (as reconciled above)
$
2,570
$
2,740
$
2,829
$
2,862
$
2,960
$
3,188
16.35
%
7.70
%
$
5,310
$
6,148
15.78
%
Total expenses, excluding notable items (as reconciled above)
2,450
2,412
2,434
2,535
2,681
2,659
10.24
(0.82)
4,862
5,340
9.83
Fee operating leverage, excluding notable items(6)
611
bps
852
bps
595
bps
Operating Leverage, GAAP-Basis:
Total revenue, GAAP-basis
$
3,284
$
3,448
$
3,545
$
3,667
$
3,796
$
4,048
17.40
%
6.64
%
$
6,732
$
7,844
16.52
%
Total expenses, GAAP-basis
2,450
2,529
2,434
2,741
2,811
2,659
5.14
(5.41)
4,979
5,470
9.86
Operating leverage, GAAP-basis(7)
1,226
bps
1,205
bps
666
bps
Operating Leverage, excluding notable items:
Total revenue, excluding notable items (as reconciled above)
$
3,284
$
3,469
$
3,545
$
3,667
$
3,796
$
4,048
16.69
%
6.64
%
$
6,753
$
7,844
16.16
%
Total expenses, excluding notable items (as reconciled above)
2,450
2,412
2,434
2,535
2,681
2,659
10.24
(0.82)
4,862
5,340
9.83
Operating leverage, excluding notable items(8)
645
bps
746
bps
633
bps
18
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
RECONCILIATIONS OF NON-GAAP FINANCIAL INFORMATION (Continued)
Quarters
% Change
Year-to-Date
% Change
(Dollars in millions, except earnings per share, or where otherwise noted)
1Q25
2Q25
3Q25
4Q25
1Q26
2Q26
2Q26
vs.
2Q25
2Q26
vs.
1Q26
2025
2026
YTD2026
vs.
YTD2025
Income Before Income Tax Expense:
Income before income tax expense GAAP-basis
$
822
$
889
$
1,102
$
918
$
969
$
1,389
56.2
%
43.3
%
$
1,711
$
2,358
37.8
%
Less: Notable items
Foreign exchange trading services(1)
—
(3)
—
—
—
—
(3)
—
Client rescoping (revenue impact)(2)
—
24
—
—
—
—
24
—
Repositioning charges(3)
—
100
—
226
89
—
100
89
Client rescoping (expense impact)(2)
—
18
—
—
41
—
18
41
Other notable items(4)
—
(1)
—
(20)
—
—
(1)
—
Income before income tax expense, excluding notable items
$
822
$
1,027
$
1,102
$
1,124
$
1,099
$
1,389
35.2
26.4
$
1,849
$
2,488
34.6
Net Income:
Net Income GAAP-basis
$
644
$
693
$
861
$
747
$
764
$
1,084
56.4
%
41.9
%
$
1,337
$
1,848
38.2
%
Less: Notable items
Foreign exchange trading services(1)
—
(3)
—
—
—
—
(3)
—
Client rescoping (revenue impact)(2)
—
24
—
—
—
—
24
—
Repositioning charges(3)
—
100
—
226
89
—
100
89
Client rescoping (expense impact)(2)
—
18
—
—
41
—
18
41
Other notable items(4)
—
(1)
—
(20)
—
—
(1)
—
Tax impact of notable items
—
(35)
—
(49)
(32)
—
(35)
(32)
Net Income, excluding notable items
$
644
$
796
$
861
$
904
$
862
$
1,084
36.2
25.8
$
1,440
$
1,946
35.1
Net Income Available to Common Shareholders:
Net Income Available to Common Shareholders, GAAP-basis
$
597
$
630
$
802
$
688
$
705
$
1,026
62.9
%
45.5
%
$
1,227
$
1,731
41.1
%
Less: Notable items
Foreign exchange trading services(1)
—
(3)
—
—
—
—
(3)
—
Client rescoping (revenue impact)(2)
—
24
—
—
—
—
24
—
Repositioning charges(3)
—
100
—
226
89
—
100
89
Client rescoping (expense impact)(2)
—
18
—
—
41
—
18
41
Other notable items(4)
—
(1)
—
(20)
—
—
(1)
—
Tax impact of notable items
—
(35)
—
(49)
(32)
—
(35)
(32)
Net Income Available to Common Shareholders, excluding notable items
$
597
$
733
$
802
$
845
$
803
$
1,026
40.0
27.8
$
1,330
$
1,829
37.5
Diluted Earnings per Share:
Diluted earnings per share, GAAP-basis
$
2.04
$
2.17
$
2.78
$
2.42
$
2.49
$
3.65
68.2
%
46.6
%
$
4.21
$
6.14
45.8
%
Less: Notable items
Foreign exchange trading services(1)
—
(0.01)
—
—
—
—
(0.01)
—
Client rescoping (revenue impact)(2)
—
0.06
—
—
—
—
0.06
—
Repositioning charges(3)
—
0.26
—
0.60
0.24
—
0.26
0.24
Client rescoping (expense impact)(2)
—
0.05
—
—
0.11
—
0.05
0.11
Other notable items(4)
—
—
—
(0.05)
—
—
—
—
Diluted earnings per share, excluding notable items
$
2.04
$
2.53
$
2.78
$
2.97
$
2.84
$
3.65
44.3
28.5
$
4.57
$
6.49
42.0
%
19
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
RECONCILIATIONS OF NON-GAAP FINANCIAL INFORMATION (Continued)
Quarters
% Change
Year-to-Date
% Change
(Dollars in millions, except earnings per share, or where otherwise noted)
1Q25
2Q25
3Q25
4Q25
1Q26
2Q26
2Q26
vs.
2Q25
2Q26
vs.
1Q26
2025
2026
YTD2026
vs.
YTD2025
Pre-tax Margin:
Pre-tax margin, GAAP-basis(9)
25.0
%
25.8
%
31.1
%
25.0
%
25.5
%
34.3
%
8.5
%
pts
8.8
%
pts
25.4
%
30.1
%
4.7
%
pts
Less: Notable items
Foreign exchange trading services(1)
—
(0.1)
—
—
—
—
—
—
Client rescoping (revenue impact)(2)
—
0.7
—
—
—
—
0.3
—
Repositioning charges(3)
—
2.7
—
6.3
2.4
—
1.4
1.1
Client rescoping (expense impact)(2)
—
0.5
—
—
1.1
—
0.3
0.5
Other notable items(4)
—
—
—
(0.6)
—
—
—
—
Pre-tax margin, excluding notable items
25.0
%
29.6
%
31.1
%
30.7
%
29.0
%
34.3
%
4.7
5.3
27.4
%
31.7
%
4.3
Return on Average Common Equity:
Return on average common equity, GAAP-basis
10.6
%
10.8
%
13.4
%
11.3
%
11.6
%
16.7
%
5.9
%
pts
5.1
%
pts
10.7
%
14.2
%
3.5
%
pts
Less: Notable items
Foreign exchange trading services(1)
—
(0.1)
—
—
—
—
—
—
Client rescoping (revenue impact)(2)
—
0.4
—
—
—
—
0.2
—
Repositioning charges(3)
—
1.7
—
3.7
1.5
—
0.8
0.8
Client rescoping (expense impact)(2)
—
0.3
—
—
0.7
—
0.2
0.3
Other notable items(4)
—
—
—
(0.3)
—
—
—
—
Tax impact of notable items
—
(0.6)
—
(0.8)
(0.5)
—
(0.3)
(0.3)
Return on average common equity, excluding notable items
10.6
%
12.5
%
13.4
%
13.9
%
13.3
%
16.7
%
4.2
3.4
11.6
%
15.0
%
3.4
Effective Tax Rate:
Effective tax rate, GAAP-basis
21.7
%
22.0
%
21.9
%
18.6
%
21.2
%
21.9
%
(0.1)
%
pts
0.7
%
pts
21.9
%
21.6
%
(0.3)
%
pts
Less: Notable items
Foreign exchange trading services(1)
—
—
—
—
—
—
—
—
Client rescoping (revenue impact)(2)
—
0.1
—
—
—
—
—
—
Repositioning charges(3)
—
0.4
—
1.1
0.3
—
0.2
0.1
Client rescoping (expense impact)(2)
—
—
—
—
0.1
—
—
0.1
Other notable items(4)
—
—
—
(0.1)
—
—
—
—
Effective tax rate, excluding notable items
21.7
%
22.5
%
21.9
%
19.6
%
21.6
%
21.9
%
(0.6)
0.3
22.1
%
21.8
%
(0.3)
(1) Amounts in 2025 consist of a revenue-related recovery associated with the proceeds from a 2018 foreign exchange benchmark litigation resolution, which is reflected in foreign exchange trading services revenue.
(2) Client rescoping of $41 million in the first quarter of 2026 reflected in information systems and communications. Amount in 2025 related to a client rescoping which decreased income before income taxes by $42 million, of which $24 million is reflected in front office software and data revenue and $18 million is reflected in information systems and communications expenses.
(3) T1Repositioning charges of $89 million in the first quarter of 2026 represents a $79 million charge reflected in compensation and employee benefits primarily from workforce rationalization and a $1 million charge reflected in occupancy costs associated with real estate footprint optimization. Additional repositioning charges include $9 million of operating model changes reflected in information systems and communications. Amounts in the fourth quarter of 2025 include a charge of $111 million, reflected in compensation and employee benefits primarily from workforce rationalization, a $69 million charge reflected in occupancy costs associated with real estate footprint optimization and additional repositioning charges (net) include operating model changes of $24 million and $22 million reflected in information systems and communications and other expenses, respectively. The amount in the second quarter of 2025 includes a charge of $100 million, reflected in compensation and employee benefits primarily from workforce rationalization.
(4) Amount in the fourth quarter of 2025 includes an FDIC special assessment release of $60 million and legal and related costs of $40 million reflected in other expenses and the amount in the second quarter of 2025 includes a subsequent true-up reflected in other expenses.
(5) Calculated as the period-over-period change in total fee revenue less the period-over-period change in total expenses.
(6) Calculated as the period-over-period change in total fee revenue, excluding notable items less the period-over-period change in total expenses, excluding notable items.
(7) Calculated as the period-over-period change in total revenue less the period-over-period change in total expenses.
(8) Calculated as the period-over-period change in total revenue, excluding notable items less the period-over-period change in total expenses, excluding notable items.
(9) GAAP- basis pre-tax margin for the first quarter of 2026 of 25.5% included seasonal incentive compensation and benefits expenses of $169 million as shown on page 18. Excluding seasonal expenses, pre-tax margin for the first quarter of 2026 was 30.0%.
20
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
RECONCILIATIONS OF PRE-TAX MARGIN AND RETURN ON TANGIBLE COMMON EQUITY EXCLUDING NOTABLE ITEMS
(Dollars in millions, except where otherwise noted)
2022
2023
2024
2025
Total revenue:
Total revenue, GAAP-basis
$
12,148
$
11,945
$
13,000
$
13,944
Less: Fees revenue
(23)
—
(15)
(3)
Less: Total other income
—
—
(66)
—
Add: Client rescoping (revenue impact)
—
—
—
24
Add: (Gains) losses related to investment securities, net
—
294
81
—
Total revenue, excluding notable items
12,125
12,239
13,000
13,965
Provision for credit losses
20
46
75
59
Total expenses:
Total expenses, GAAP-basis
8,801
9,583
9,530
10,154
Less: Notable expense items:
Acquisition and restructuring costs
(65)
15
—
—
Deferred compensation expense acceleration
—
—
(79)
—
Repositioning (charges) / release
(70)
(203)
2
(326)
Client rescoping (expense impact)
—
—
—
(18)
Other notable items
—
(432)
(111)
21
Total expenses, excluding notable items
8,666
8,963
9,342
9,831
Income before income tax expense, excluding notable items
$
3,439
$
3,230
$
3,583
$
4,075
Income before income tax expense, GAAP-basis
$
3,327
$
2,316
$
3,395
$
3,731
Pre-tax margin, excluding notable items
28.4
%
26.4
%
27.6
%
29.2
%
Pre-tax margin, GAAP-basis
27.4
19.4
26.1
26.8
Tangible common equity - average:
Average common shareholders' equity
$
23,910
$
22,201
$
22,339
$
23,575
Less:
Average goodwill
7,481
7,536
7,721
7,863
Average other intangible assets
1,658
1,460
1,206
1,009
Plus:
Related deferred tax liabilities
493
492
462
472
Average tangible common shareholders' equity - Non-GAAP
$
15,264
$
13,697
$
13,874
$
15,175
Net income available to common shareholders
$
2,660
$
1,821
$
2,483
$
2,717
Net income available to common shareholders, excluding notable items
2,743
2,500
2,623
2,977
Return on average tangible common equity - Non-GAAP
17.4
%
13.3
%
17.9
%
17.9
%
Return on average tangible common equity, excluding notable items - Non-GAAP
18.0
18.3
18.9
19.6
21
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
RECONCILIATIONS OF CONSTANT CURRENCY FX IMPACTS
GAAP-Basis QTD Comparison
Reported
Currency Translation Impact
Excluding Currency Impact
% Change Constant Currency
(Dollars in millions)
2Q25
1Q26
2Q26
2Q26 vs. 2Q25
2Q26 vs. 1Q26
2Q26 vs. 2Q25
2Q26 vs. 1Q26
2Q26 vs. 2Q25
2Q26 vs. 1Q26
GAAP-Basis Results:
Fee revenue:
Servicing fees
$
1,304
$
1,409
$
1,468
$
9
$
(2)
$
1,459
$
1,470
11.9
%
4.3
%
Management fees(1)
600
724
772
1
—
771
772
28.5
6.6
Foreign exchange trading services(1)
393
435
494
—
—
494
494
25.7
13.6
Securities finance
126
116
150
—
—
150
150
19.0
29.3
Software services(1)
169
169
166
—
—
166
166
(1.8)
(1.8)
Other fee revenue(1)
127
107
138
—
—
138
138
8.7
29.0
Total fee revenue
2,719
2,960
3,188
10
(2)
3,178
3,190
16.9
7.8
Net interest income
729
835
860
4
(1)
856
861
17.4
3.1
Total other income
—
1
—
—
—
—
—
nm
nm
Total revenue
$
3,448
$
3,796
$
4,048
$
14
$
(3)
$
4,034
$
4,051
17.0
6.7
Expenses:
Compensation and employee benefits
$
1,280
$
1,441
$
1,292
$
2
$
(4)
$
1,290
$
1,296
0.8
(10.1)
Information systems and communications
523
637
589
1
—
588
589
12.4
(7.5)
Transaction processing services
260
283
280
1
—
279
280
7.3
(1.1)
Occupancy
105
101
96
—
—
96
96
(8.6)
(5.0)
Other
361
349
402
1
(1)
401
403
11.1
15.5
Total expenses
$
2,529
$
2,811
$
2,659
$
5
$
(5)
$
2,654
$
2,664
4.9
(5.2)
Total expenses, excluding notable items - Non-GAAP
$
2,412
$
2,681
$
2,659
$
5
$
(5)
$
2,654
$
2,664
10.0
(0.6)
Total non-compensation expenses, excluding notable items - Non-GAAP(2)
1,232
1,319
1,367
3
(1)
1,364
1,368
10.7
3.7
GAAP-Basis YTD Comparison
Reported
Currency Translation Impact
Excluding Currency Impact
% Change Constant Currency
(Dollars in millions)
2025
2026
YTD2026 vs. YTD2025
2026
YTD2026 vs. YTD2025
GAAP-Basis Results:
Fee revenue:
Servicing fees
$
2,579
$
2,877
$
44
$
2,833
9.8
%
Management fees(1)
1,187
1,496
5
1,491
25.6
Foreign exchange trading services(1)
730
929
—
929
27.3
Securities finance
240
266
—
266
10.8
Software services(1)
327
335
2
333
1.8
Other fee revenue(1)
226
245
—
245
8.4
Total fee revenue
5,289
6,148
51
6,097
15.3
Net interest income
1,443
1,695
26
1,669
15.7
Total other income
—
1
—
1
nm
Total revenue
$
6,732
$
7,844
$
77
$
7,767
15.4
Expenses:
Compensation and employee benefits
$
2,542
$
2,733
$
35
$
2,698
6.1
Information systems and communications
1,020
1,226
4
1,222
19.8
Transaction processing services
518
563
4
559
7.9
Occupancy
208
197
2
195
(6.3)
Other
691
751
10
741
7.2
Total expenses
$
4,979
$
5,470
$
55
$
5,415
8.8
Total expenses, excluding notable items - Non-GAAP
$
4,862
$
5,340
$
55
$
5,285
8.7
Total non-compensation expenses, excluding notable items - Non-GAAP(2)
2,420
2,686
20
2,666
10.2
(1) In the first quarter of 2026, revenue related to distribution and marketing activities was reclassified from foreign exchange trading services to management fees. Additionally, lending related and other fees, previously recognized within software and processing fees, was reclassified to other fee revenue, and the software and processing fees caption has been changed to software services. Prior-period amounts have been reclassified to conform to the current presentation. These reclassifications had no impact on total fee revenue, total revenue or net income, on either a consolidated or line of business basis.
(2) Total non-compensation expenses, excluding notable items is comprised of total expenses, excluding notable items - Non-GAAP, less compensation and employee benefits, excluding notable items. Compensation and benefits, excluding notable items were $1,292 million in the second quarter of 2026, $1,362 million in the first quarter of 2026 and $1,180 million in the second quarter of 2025.
nm Denotes not meaningful
22
Mentions · how they’re counted
| Category | Underlined | Word counter | Model’s count |
|---|---|---|---|
| AI AI, artificial intelligence, generative AI, machine learning, large language model, LLM | 0 | 0 | 0 |
| Layoffs layoffs, RIF, headcount reduction, workforce optimization, restructuring | 3 | — | 3 |
| Recession recession, downturn, contraction, slowdown | 0 | 0 | 0 |
| Tariffs tariff, trade war, trade barriers, trade restrictions, trade policy | 0 | 0 | 0 |
| Buybacks share repurchase, buyback program | 0 | — | 0 |
Underlines use the same word lists the scores use. AI, recession and tariffs follow Palanor’s word counter, so those counts match it exactly on the same text. Layoffs and buybacks use the terms the model was given. The model’s count is an estimate by meaning, not by string, so it can differ from the underlines.
Not placed in the text
These quotes are stored with a score, but no passage here matches them closely enough to highlight. Rather than point at the wrong passage, they are listed as stored.
Theme · Revenue Growth
“Total revenue was $4,048 million, an increase of $600 million, or 17.4%, compared to the prior year.”
Theme · Net Income Expansion
“Net income available to common shareholders was $1,026 million, an increase of $396 million, or 62.9%, compared to the prior year.”
Theme · Fee Revenue Drivers
“Management fees increased 28.7% to $772 million and foreign exchange trading services increased 25.7% to $494 million.”
Theme · Asset Under Management Growth
“Assets under management increased 22.7% to $6,278 billion.”
Theme · Margin Improvement
“Pre-tax margin was 34.3%, an increase of 8.5 percentage points compared to the prior year.”
Source: SEC EDGAR · public domain · Highlights by Palanor