State Street Corporation · NYSE:STT
State Street — Investor Presentation (February 2018)
14 slides from State Street's investor presentation, Feb 13, 2018
Slide 1: Transition of the non-GAAP Presentation
Exhibit 99.1 Transition of the non-GAAP Presentation February 13, 2018 1
Slide 2: Preface and forward-looking statements
Preface and forward-looking statements This presentation contains forward-looking statements as defined by United States securities laws. These statements are not guarantees of future performance, are inherently uncertain, are based on assumptions that are difficult to predict and have a number of r
Slide 3: We have a strong global franchise
We have a strong global franchise • Assets under custody and administration of approximately $33.1 trillion as of December 31, 2017 Providing customized servicing • One of the world’s leading investment service providers solutions across traditional and • Fund accounting and administration, custody,
Slide 4: Achieved FY 2017 financial goals across the organization
Achieved FY 2017 financial goals across the organization Operating-Basis (Non-GAAP); All comparisons are to 2016 excluding 4Q16 notable adjustments A Fee Revenue Growth Fee Operating Leverage Expense Management Outlook Range* Outlook Range Beacon Savings ($M) 8% +2.0% +2.1% 140 150 6% 4% 7% ex +1.0%
Slide 5: FY 2018 Outlook
FY 2018 Outlook 2018 Historical 2018 GAAP Category Operating-basis OutlookA (2018 vs 2017 OutlookA Including TCJA1 & Assumptions Excluding TCJA1, Revenue Revenue Recognition where applicable) Recognition, Gain on Sales, Excluding Gain on Sales & & Restructuring Charges Restructuring Charges Fee reve
Slide 6: Summary of reporting changes going from operating-basis to GAAP presentation
Summary of reporting changes going from operating-basis to GAAP presentation and estimated impact of certain new standards in 2018 A Illustration of select P&L line item reconciliations from operating-basis to GAAP Operating- Operating to GAAP adjustments 2018 GAAP Outlook2 (Dollars in millions, exc
Slide 7: Full Year Summary and 2018 Opportunities
Full Year Summary and 2018 Opportunities Operating-Basis (Non-GAAP); All comparisons are to prior year periods excluding 4Q16 notable adjustments A Strong 2017 operating results demonstrate franchise-wide momentum • Revenue growth and positive operating leverage – Strong client activity across the f
Slide 8: Appendix
Appendix FY 2018 Outlook 9 Slide endnotes 10 Non-GAAP measures and reconciliations of 11 – 12 operating-basis (non-GAAP) financial information Forward looking statements 13 Definitions 14 8
Slide 9: FY 2018 outlook; Streamlined reporting – Moving from operating-basis to GAAP
FY 2018 outlook; Streamlined reporting – Moving from operating- basis to GAAP 2018 Historical Adjustments 2018 GAAP Category Operating-basis 2018 GAAP GAAP Outlook2 (2018 vs 2017 Outlook2 1 Revenue Outlook2 Adjustments Excluding TCJA , Revenue where applicable ) 7 1 Excluding TCJA , Revenue A TCJA1
Slide 10: Slide Endnotes
Slide Endnotes 1 The effects of the TCJA described in this presentation are estimates. Actual effects of the TCJA may differ from these estimates, among other things, due to additional tax and regulatory guidance and changes in State Street assumptions and interpretations. 2 Fee revenue and fee oper
Slide 11: Non-GAAP measures
Non-GAAP measures In addition to presenting State Street’s financial results in conformity with U.S. generally accepted accounting principles, or GAAP, management has also historically (and in this presentation) presented results on a non-GAAP, or "operating," basis. Management believed this present
Slide 12: Reconciliations of operating-basis (non-GAAP) financial information
Reconciliations of operating-basis (non-GAAP) financial information YTD 2017 YTD 2016 Operating-Basis GAAP- Non-Operating Operating- GAAP- Non-Operating Operating- 2016 Notable ex. 2016 Notable Basis Adjustments (1) Basis Basis Adjustments (1) Basis Items (2) Items Revenue: Servicing fees $ 5,365 $
Slide 13: Forward-looking statements
Forward-looking statements This presentation (and the conference call referenced herein) contains forward-looking statements within the meaning of United States securities laws, including statements about our goals and expectations regarding our business, financial and capital condition, results of
Slide 14: Definitions
Definitions AUCA Assets under custody and administration AUM Assets under management Bps Basis points Core Tax Rate Our core tax rate is intended to reflect our structural tax rate, based on Federal, State and foreign statutory tax rates, and is free of items, such as tax credits, which may vary yea