Northern Trust Q3 Profit Falls 19% Sequentially, Forecasts 6% to 7% Q4 Revenue Growth Year Over Year

Northern Trust’s net income fell 19% sequentially to $642.9 million in Q3 2026, while the financial services firm forecast 6% to 7% year-over-year revenue growth for Q4.

For the three months ended Sept. 30, diluted earnings per share were $3.40, down 20% from $4.23 in Q2. Net income was $792.2 million in the second quarter. GAAP total revenue came to $2.2944 billion, compared with $2.698 billion in Q2.

The Q2 total included a $525.4 million gain tied to Northern Trust’s participation in the second Visa Exchange Offer. Q3 revenue included $48.7 million in pretax favorable items: a $34 million gain from selling its guardianship services business and an incremental $14.7 million Visa-related gain.

Compared with Q3 2025, net income rose from $457.6 million and diluted EPS increased from $2.29. Revenue grew from $2.0254 billion. The company also reported fully taxable equivalent revenue of $2.3021 billion, a non-GAAP measure.

Northern Trust forecast Q4 2026 total revenue growth of 6% to 7% versus Q4 2025, and net interest income growth of 8% to 9% year over year. It also projected positive operating leverage in Q4 and more than 500 basis points of positive operating leverage for full-year 2026.

Chairman and CEO Michael O’Grady said, “Market conditions continued to evolve but remained constructive overall.” Excluding notable items, he said revenue grew 11% and earnings per share rose 40% from a year earlier.