The Bank of New York Mellon Corporation (BNY) has priced a public offering of 1,250,000 depositary shares at $1,000 each, raising $1.25 billion. Each share represents a 1/100th interest in its Series O Noncumulative Perpetual Preferred Stock. Dividends will accrue at 7.125% a year until December 20, 2031. After that, the rate will reset to the five-year treasury rate plus 2.192%. BNY may redeem the stock from December 20, 2031, at $1,000 per depositary share plus any declared and unpaid dividends. It plans to use the proceeds for general corporate purposes. Barclays, BofA Securities, Deutsche Bank Securities, Goldman Sachs, Morgan Stanley and BNY Mellon Capital Markets are joint book-running managers. The offering is expected to close on October 28, 2026.

BNY, which says it is embedding artificial intelligence (AI) across its business, declined to say how much it spends on the technology. Chief executive officer Robin Vince told analysts on its third-quarter earnings call that the bank is not breaking out the figure, and that doing so could be "counterproductive." Vince said AI is generating returns. About $4 billion of BNY's $13 billion annual expense base goes to technology. The bank now has "400-plus" AI solutions in production, up from 117 a year ago. BNY reported revenue of $5.7 billion, up 12%, and net income of $1.7 billion, up 16%. Earnings per share were $2.34, against a consensus estimate of $2.27. It raised its 2026 revenue growth outlook to 12%-13%.

BNY beat third-quarter estimates, though its shares slipped 1.58% in pre-market trading on Thursday. The Bank of New York Mellon Corporation reported adjusted earnings per share of $2.37, against the analyst consensus of $2.26. Revenue rose 12% to $5.68 billion from $5.08 billion a year earlier, beating estimates of $5.55 billion. Fee revenue rose 12% to $4.08 billion, and net interest income climbed 15% to $1.42 billion. Noninterest expense increased 8% to $3.49 billion. Pre-tax margin was 39%. Assets under custody and administration rose 10% to $63.4 trillion. Assets under management grew 2% to $2.2 trillion. BNY returned $1.4 billion to shareholders through $436 million in dividends and $937 million in share repurchases.