Strong Revenue Growth
Revenue grew 10.5% year-over-year from $1.21B to $1.34B in Q1 FY2026, reflecting broad-based strength across Northern Trust's wealth management and asset servicing businesses.
Source: 10-Q Financial Data, Income Statement
Computed from published fixed rules, not a model's judgement — though one input, the count of high-severity risks, comes from the AI analysis below.
Not investment advice and not a price target: it scores the quarter's fundamentals, not the stock. Full methodology →
AI Takeaway
Northern Trust (NTRS) delivered strong Q1 FY2026 results with revenue up 10.5% YoY to $1.34B and net income surging 34.1% to $525.5M, though operating cash flow turned sharply negative at -$320M.
Revenue
$1.34B
+10.51% YoY
EPS (Diluted)
$2.71
+42.63% YoY
Source: SEC XBRL
Northern Trust (NTRS) reported Q1 FY2026 revenue of $1.34B, up 10.5% year over year. Operating cash flow was negative $320M. NTRS's fiscal Q1 FY2026 corresponds to calendar Q1 2026.
Last 4 quarters: 3 beats
| Quarter | Actual EPS (USD) | Consensus (USD) | Result |
|---|---|---|---|
| Jun 2026 | 2.97 | 2.76 | Beat +7.5% |
| Mar 2026This filing | 2.71 | 2.37 | Beat +14.3% |
| Dec 2025 | 2.69 | 2.41 | Beat +11.5% |
| Sep 2025 | 2.29 | 2.29 | Miss -0.0% |
Reported EPS of $2.71 versus the $2.37 analyst consensus — a +14.3% beat for Mar 2026.
Compiled by AI from this SEC filing
Revenue grew 10.5% year-over-year from $1.21B to $1.34B in Q1 FY2026, reflecting broad-based strength across Northern Trust's wealth management and asset servicing businesses.
Source: 10-Q Financial Data, Income Statement
Net income jumped 34.1% YoY to $525.5M, with net margin expanding to approximately 39.2%, indicating meaningful operating leverage and improved profitability relative to revenue growth.
Source: 10-Q Financial Data, Income Statement
Basic EPS rose 42.4% YoY to $2.72 (diluted: $2.71), outpacing net income growth and suggesting share buybacks contributed to per-share earnings improvement alongside organic profit growth.
Source: 10-Q Financial Data, Income Statement
Total assets grew 5.8% YoY to $174.6B, while stockholders' equity increased modestly by 0.8% to $13.0B, reflecting the company's continued growth in its custodial and banking operations.
Source: 10-Q Financial Data, Balance Sheet
Operating cash flow turned sharply negative at -$320M in Q1 FY2026 compared to +$2.75B in the prior year period, a swing of over $3B that warrants attention and may reflect timing differences in working capital or securities settlements typical for custodial banks.
Source: 10-Q Financial Data, Cash Flow Statement
Compiled by AI from this SEC filing · 2 high, 3 medium, 0 low
Operating cash flow swung from +$2.75B to -$320M YoY, a decline of over 111%. While this may reflect timing differences in custodial bank operations, sustained negative operating cash flow could pressure liquidity and capital allocation flexibility.
Source: 10-Q Financial Data, Cash Flow Statement
The debt-to-equity ratio stands at approximately 12.4x, which is characteristic of large custodial banks but leaves the company sensitive to interest rate changes, credit market disruptions, and regulatory capital requirements. Any deterioration in asset quality could disproportionately impact equity.
Source: 10-Q Financial Data, Balance Sheet
ROA of approximately 0.30% reflects the asset-heavy nature of Northern Trust's custodial banking model, where $174.6B in assets generate relatively thin returns. This limits the margin of safety if revenues decline or credit losses emerge.
Source: 10-Q Financial Data, Key Ratios
Total assets grew 5.8% YoY while stockholders' equity grew only 0.8%, meaning the balance sheet is expanding faster than the equity cushion. This increases leverage and could attract regulatory scrutiny around capital adequacy.
Source: 10-Q Financial Data, Balance Sheet
Northern Trust repurchased $358.9M in shares (up 25% YoY) even as operating cash flow turned negative, funded partly by investing and financing activities. Continuing buybacks under cash flow pressure could constrain future capital flexibility.
Source: 10-Q Financial Data, Cash Flow Statement
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue $B | 1.34 $B | 1.21 $B | +10.51% |
Net Income $M | 525.50 $M | 392.00 $M | +34.06% |
EPS (Basic) $ | 2.72 $ | 1.91 $ | +42.41% |
EPS (Diluted) $ | 2.71 $ | 1.90 $ | +42.63% |
Answers draw on this SEC filing and the data on this page
Northern Trust Corporation reported Q2 FY2026 revenue of $1.35B (up 9.6% YoY) and net income of $792.20M (up 88.0% YoY), offset by a contraction in year-to-date operating cash flow to -$384.90M.
Northern Trust (NTRS) reported a challenging FY2025 with revenue declining 2.5% to $8.09B and net income falling 14.5% to $1.74B, though operating cash flow surged dramatically to $5.53B from negative territory in the prior year.
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