Northern Trust reports Q2 EPS $4.34, consensus $1.90

Reports Q2 revenue $2.72B, consensus $2.06B. Q2 results included the following: $878.4M net gain related to the Visa transaction, $196.3M of restructuring charges and other notable items, including severance-related charges of $85.2M and a $70M charitable commitment to the Northern Trust Foundation. Reports Q2 CET1 capital ratio 12.6%. Reports Q2 book value per share $58.38. “Northern Trust executed well against our strategic priorities in the second quarter. Trust fees grew 6% over the prior year, deposit levels proved resilient, and core expenses were well-managed. Reported results included approximately $200 million in restructuring charges and other notable items, reflecting, in part, continued steps we are taking to optimize our cost base and drive efficiencies. In the quarter, we participated in Visa’s Class B common stock exchange offer, leading to a nearly $900 million gain and helping to drive our CET1 ratio to 12.6%. With the proceeds, we are contributing $70 million to our foundation and making important investments in our client franchise and enterprise resiliency, all while returning $405 million to shareholders. We enter the second half of the year on solid footing, focused on accelerating growth and improving our productivity.”