v3.25.2
Revenue from Contracts with Customers
 6 Months Ended
Jun. 30, 2025
Revenue from Contract with Customer [Abstract]  
Revenue from Contracts with Customers Revenue from Contracts with Customers
For additional information on the nature of services and our revenue from contracts with customers, including revenues associated with both our Investment Servicing and Investment Management lines of business, refer to pages 173 to 176 in Note 25 to the consolidated financial statements included under Item 8, Financial Statements and Supplementary Data, in our 2024 Form 10-K.
Revenue by category
In the following table, revenue is disaggregated by our two lines of business and by revenue stream for which the nature, amount, timing and uncertainty of revenue and cash flows are affected by economic factors. The amounts in the “Other” columns were not allocated to our business lines.
Three Months Ended June 30, 2025
Investment ServicingInvestment ManagementOtherTotal
(Dollars in millions)Topic 606 revenueAll other revenueTotalTopic 606 revenueAll other revenueTotalTopic 606 revenueAll other revenueTotal2025
Servicing fees$1,304 $— $1,304 $— $— $— $— $— $— $1,304 
Management fees— — — 562 — 562 — — — 562 
Foreign exchange trading services 109 281 390 38 — 38 — 3 3 431 
Securities finance52 67 119 — 7 7 — — — 126 
Software and processing fees 208 46 254 — — — (24)— (24)230 
Other fee revenue— 51 51 — 15 15 — — — 66 
Total fee revenue1,673 445 2,118 600 22 622 (24)3 (21)2,719 
Net interest income— 726 726 — 3 3 — — — 729 
Total revenue$1,673 $1,171 $2,844 $600 $25 $625 $(24)$3 $(21)$3,448 
Six Months Ended June 30, 2025
Investment ServicingInvestment ManagementOtherTotal
(Dollars in millions)Topic 606 revenueAll other revenueTotalTopic 606 revenueAll other revenueTotalTopic 606 revenueAll other revenueTotal2025
Servicing fees$2,579 $— $2,579 $— $— $— $— $— $— $2,579 
Management fees— — — 1,124 — 1,124 — — — 1,124 
Foreign exchange trading services 209 518 727 63 — 63 — 3 3 793 
Securities finance98 129 227 — 13 13 — — — 240 
Software and processing fees 377 102 479 — — — (24)— (24)455 
Other fee revenue— 85 85 — 13 13 — — — 98 
Total fee revenue3,263 834 4,097 1,187 26 1,213 (24)3 (21)5,289 
Net interest income— 1,435 1,435 — 8 8 — — — 1,443 
Total revenue$3,263 $2,269 $5,532 $1,187 $34 $1,221 $(24)$3 $(21)$6,732 
Three Months Ended June 30, 2024
Investment ServicingInvestment ManagementOtherTotal
(Dollars in millions)Topic 606 revenueAll other revenueTotalTopic 606 revenueAll other revenueTotalTopic 606 revenueAll other revenueTotal2024
Servicing fees$1,239 $— $1,239 $— $— $— $— $— $— $1,239 
Management fees— — — 511 — 511 — — — 511 
Foreign exchange trading services95 209 304 32 — 32 — — — 336 
Securities finance46 55 101 — 7 7 — — — 108 
Software and processing fees162 52 214 — — — — — — 214 
Other fee revenue— 36 36 — 12 12 — — — 48 
Total fee revenue1,542 352 1,894 543 19 562 — — — 2,456 
Net interest income— 730 730 — 5 5 — — — 735 
Total revenue$1,542 $1,082 $2,624 $543 $24 $567 $— $— $— $3,191 
Six Months Ended June 30, 2024
Investment ServicingInvestment ManagementOtherTotal
(Dollars in millions)Topic 606 revenueAll other revenueTotalTopic 606 revenueAll other revenueTotalTopic 606 revenueAll other revenueTotal2024
Servicing fees$2,467 $— $2,467 $— $— $— $— $— $— $2,467 
Management fees— — — 1,021 — 1,021 — — — 1,021 
Foreign exchange trading services190 422 612 55 — 55 — — — 667 
Securities finance94 97 191 — 13 13 — — — 204 
Software and processing fees318 103 421 — — — — — — 421 
Other fee revenue— 79 79 — 19 19 — — — 98 
Total fee revenue3,069 701 3,770 1,076 32 1,108 — — — 4,878 
Net interest income— 1,441 1,441 — 10 10 — — — 1,451 
Total revenue$3,069 $2,142 $5,211 $1,076 $42 $1,118 $— $— $— $6,329 
Contract balances and contract costs
As of June 30, 2025 and December 31, 2024, net receivables of $3.56 billion and $3.08 billion, respectively, are included in accrued interest and fees receivable and other assets, representing amounts billed or currently billable related to revenue from contracts with customers. As performance obligations are satisfied, generally, we have an unconditional right to payment and billing is performed monthly or quarterly; therefore, we do not have significant contract assets.
We had $163 million and $144 million of deferred revenue as of June 30, 2025 and December 31, 2024, respectively. Deferred revenue is a contract liability which represents payments received and accounts receivable recorded in advance of providing services and is included in accrued expenses and other liabilities in the consolidated statement of condition. In the three months ended June 30, 2025, we recognized revenue of $61 million relating to deferred revenue of $136 million as of March 31, 2025. In the six months ended June 30, 2025, we recognized revenue of $102 million relating to deferred revenue of $144 million as of December 31, 2024.
Transaction price allocated to the remaining performance obligations represents future, non-cancelable contracted revenue that has not yet been recognized, inclusive of deferred revenue that has been invoiced and non-cancellable amounts that will be invoiced and recognized as revenue in future periods. As of June 30, 2025, total remaining non-cancellable performance obligations for services and products not yet delivered, primarily comprised of software license sales and SaaS, were approximately $2.19 billion. We expect to recognize approximately half of this amount in revenue over the next three years, with the remainder to be recognized thereafter.
No adjustments are made to the promised amount of consideration for the effects of a significant financing component as the period between when we transfer a promised service to a customer and when the customer pays for that service is expected to be one year or less.