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Dec 31, 2023

State Street Q4 2023 Earnings Report

State Street reported Q4 2023 earnings with an EPS of $0.55, or $2.04 excluding notable items, and total revenue of $3.043 billion, a decrease of 4% year-over-year. The company saw strong growth in new servicing mandates and record net inflows in Global Advisors.

Key Takeaways

State Street's Q4 2023 results showed a decrease in total revenue and EPS compared to the previous year, but the company experienced strong business momentum with new investment servicing mandates and record net inflows in Global Advisors. Strategic actions to transform the operating model and enhance productivity are underway.

New investment servicing mandates reached $501 billion in AUC/A.

Global Advisors achieved record total net inflows of $103 billion.

Servicing fees, management fees, and front office software and data revenues saw increases of 1%, 5%, and 13%, respectively.

A new authorization to repurchase up to $5 billion of common shares was announced.

Total Revenue
$3.04B
Previous year: $3.16B
-3.5%
EPS
$2.04
Previous year: $2.07
-1.4%
Equity AUM
$2.51T
Fixed Income AUM
$609B
Cash AUM
$467B
Gross Profit
$2.92B
Previous year: $5.72B
-49.0%
Cash and Equivalents
$4.05B
Previous year: $3.97B
+1.9%
Free Cash Flow
$3.85B
Previous year: $6.83B
-43.6%
Total Assets
$297B
Previous year: $301B
-1.4%

State Street

State Street

State Street Revenue by Segment

Forward Guidance

As State Street enters 2024, the company will progress against its strategic priorities, with an intense focus on execution and accountability for growth. They continue to operate from a position of scale and balance sheet strength.

Positive Outlook

  • Focus on strategic priorities.
  • Intense focus on execution.
  • Accountability for growth.
  • Operate from a position of scale.
  • Strong balance sheet.

Revenue & Expenses

Visualization of income flow from segment revenue to net income