Northern Trust Corp. reported that its earnings sank 22% in the fourth quarter.
Net income declined to $157.1 million, or 64 cents a share, from $200.3 million, or 82 cents a share, a year earlier. It missed analyst estimates by seven cents. The Chicago-based company said that it was hampered as lower interest rates reduced lending and money-market revenue.
“Our results for the fourth quarter and the full year have been constrained by the persistent low interest rate environment, which has negatively impacted net interest income and trust fee levels,” Chief Executive Officer Frederick H. Waddell said in today’s statement.
Northern Trust is the third-largest independent custody bank nationally, trailing only BNY Mellon and State Street. BNY Mellon and State Street reported mixed earnings results on Wednesday as BNY Mellon’s earnings rose and State Street sank.