State Street Corporation reported strong financial results for the fourth quarter of 2024, with earnings per share (EPS) of $2.46 ($2.60 excluding notable items). Total revenue increased 12% year-over-year, driven by a 13% rise in fee revenue and a 10% increase in net interest income. The company also achieved positive fee and operating leverage, with a return on equity (ROE) of 12.7% (13.5% excluding notable items).

Key highlights included record-breaking achievements in several areas:
- Assets under custody and administration (AUC/A) grew 11% year-over-year to $46.6 trillion.
- Assets under management (AUM) rose 15% to $4.7 trillion, supported by $64 billion in net inflows during the quarter.
- Management fees increased 20%, and servicing fees grew by 6%.

State Street also secured $1.1 trillion in new AUC/A wins and $154 million in new servicing fee revenue during the quarter, reflecting strong business momentum. Notably, the company continued to expand its State Street Alpha® platform and front-office software and data services, achieving a 19% increase in annual recurring revenue (ARR) in this segment.

Expenses decreased 14% compared to the prior year, primarily due to notable items such as an FDIC special assessment in 2023. Excluding these items, expenses increased by 8%, reflecting higher performance-based incentives, employee benefits, and continued investments in technology.

Capital and liquidity levels remained strong, with a Common Equity Tier 1 (CET1) ratio of 10.9% under the standardized approach. State Street returned $770 million to shareholders during the quarter, including $550 million in share repurchases and $220 million in dividends.

CEO Ron O'Hanley emphasized the company's successful execution of its strategy in 2024, highlighting achievements in revenue growth, business transformation, and client support. Looking forward, State Street aims to sustain growth, manage expenses, and return capital to shareholders.