State Street Q4 Earnings Call Highlights MarketBeat Fri, January 16, 2026 at 11:21 PM GMT+5:30 9 min read STT STT-PG State Street logo Key Points Record results: State Street closed 2025 with record total revenue of about $14 billion, ex‑notable Q4 EPS up 14% YoY and full‑year EPS of $10.30 (+19% ex‑notable), with pre‑tax margin around 31% and ROTCE of 20%; assets under custody/administration were $53.8 trillion and AUM hit an all‑time high of $5.7 trillion. 2026 guidance and operating leverage: Management expects fee revenue to rise 4–6%, NII to be up low single digits, expenses to increase ~3–4%, and positive operating leverage in excess of 100 basis points (implying a ~30% pre‑tax margin) while maintaining a roughly 80% payout ratio; the firm achieved $500 million of productivity savings in 2025 and plans similar savings as it reinvests in technology and AI. Business trends: private markets grew double digits and now represent about 10% of servicing fees, investment management and markets businesses delivered strong results, but on‑premises software and processing fees declined 15% even as cloud SaaS ARR rose ~11%; digital asset/tokenization initiatives are positioned as a medium‑term opportunity rather than a near‑term earnings driver.
