- Northern Trust Corp (NASDAQ:NTRS) shares are falling nearly 10% after its first-quarter 2023 results missed Street view.
- NTRS reported Q1 revenues of $1.74 billion missing the consensus of $1.78 billion.
- Net interest income (fully-taxable equivalent) rose 40% Y/Y to $544.4 million, led by higher net interest margin (+57 basis points, 1.62%).
- Non-interest expense rose 7% Y/Y to $1.29 billion, mainly on higher compensation and equipment & software expenses.
- Loans and leases rose 8% Y/Y to $42.4 billion and interest-bearing deposits declined 12% Y/Y to $90.3 billion.
- EPS of $1.51 missed the consensus of $1.52.
- Provision of credit losses stood at $15 million in Q1 vs $2 million a year ago, due to an increase in the reserve (evaluated on a collective basis).
- Asset under management came in at $1.33 billion, down 11% Y/Y, at the end of Q1.
- Common equity Tier 1 capital stood at 11.3% vs 11.4% a year ago.
- NTRS repurchased shares worth $100.9 million and declared dividend worth $158.6 million in Q1.
- “Our results for the quarter reflect year-over-year revenue growth of 2% and a return on common equity of 12.4%. Expense growth moderated compared to the previous quarter as we balanced spending discipline against investments to drive future growth. As we look ahead, we remain well-positioned to support our clients’ needs while successfully navigating the ever-shifting macroeconomic environment,” stated Michael O’Grady, chairman and CEO.
- Price Action: NTRS are trading lower by 9.79% at $77.70 on the last check Tuesday.
George Soros’ Son Is Bullish On The S&P 500: 2 High Yielding Stocks Soros Capital Management Is Holding Through The Volatility
Robert Soros is the founder of Soros Capital Management and the eldest son of billionaire investor George Soros. Robert Soros began his career with Soros Fund Management in 1994 and stepped down as deputy chairman and president in June 2017.
When Robert Soros Stepped down, Soros Fund Management had assets under management of $26 billion.
