Northern Trust Corporation (NASDAQ:NTRS) Q3 2023 Results Conference Call October 18, 2023 9:30 AM ET

Company Participants

Jennifer Childe - Director, IR

Michael O’Grady - Chairman, CEO

Jason Tyler - CFO

Conference Call Participants

Glenn Schorr - Evercore

Michael Brown - KBW

Alex Blostein - Goldman Sachs

Brennan Hawken - UBS

Ryan Kenny - Morgan Stanley

Brian Bedell - Deutsche Bank

Mike Mayo - Wells Fargo

Gerard Cassidy - RBC

Operator

Good day, and welcome to the Northern Trust Corporation Third Quarter 2023 Earnings Conference Call. Today's conference is being recorded.

At this time, I would like to turn the conference over to Jennifer Childe, Director of Investor Relations. Please go ahead, ma'am.

Jennifer Childe

Thank you, Melissa, and good morning, everyone, and welcome to Northern Trust Corporation's Third Quarter 2023 Earnings Conference Call. Joining me on our call this morning is Mike O’Grady, our Chairman and CEO; Jason Tyler, our Chief Financial Officer; Lauren Allnutt, our Controller; and Grace Higgins from our Investor Relations team.

Our third quarter earnings press release and financial trends report are both available on our website at northerntrust.com. Also on our website, you will find our quarterly earnings review presentation, which we will use to guide today's conference call. This October 18 call is being webcast live on northerntrust.com. The only authorized rebroadcast of this call is the replay that will be made available on our website through November 18. Northern Trust disclaims any continuing accuracy of the information provided in this call after today.

Please refer to our safe harbor statement regarding forward-looking statements on Page 12 of the accompanying presentation, which will apply to our commentary on this call. During today's question-and-answer session, please limit your initial query to one question and one related follow-up. This will allow us to move through the queue and enable as many people as possible the opportunity to ask questions as time permits.

Thank you again for joining us today. Let me turn the call over to Mike O’Grady.

Michael O’Grady

Thank you, Jennifer. Let me join in welcoming you to our third quarter 2023 earnings call. Our results for the third quarter reflect solid execution against the challenging phase of this interest rate cycle, particularly as rates appear close to be peaking. Third quarter deposit levels were generally in line with seasonal expectations, but funding costs were significantly higher, putting pressure on net interest income. We're focusing primarily on those areas of the business that are most under our control. Namely trust fees and expenses.