The Bank of New York Mellon, stung by a hefty tax-related charge, posted a $266 million first-quarter loss Wednesday.
The bank's loss applicable to common shareholders amounted to 23 cents per share and compared with a profit of $619 million, or 52 cents per share, in the same quarter last year.
Mellon this year had to book an $854 million charge from the disallowance of some of its foreign tax credits. Excluding that charge, the company posted an adjusted profit of 50 cents per share, which was still 2 cents shy of Wall Street estimates, according to a poll by FactSet.
Revenue slipped 1 percent to $3.61 billion from $3.65 billion, edging out analyst estimates.
Bank of New York Mellon Corp., a trust bank, provides financial services like investment management for institutions, corporations and wealthy individuals.
The bank's assets under custody rose 2 percent to $26.3 trillion, as of March 31, while its assets under management increased 9 percent from a year ago, to $1.4 trillion. Both increases mainly stemmed from new business and better market values.
Investment management and performance fees rose 10 percent to $1.7 billion, helped by an acquisition, higher market values, new business and lower money market fee waivers.
Shares fell nearly 3 percent, or 76 cents, to $27 before the opening bell.
© Copyright 2022 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.