Northern Trust Corporation announced consolidated earnings results for the fourth quarter and full year ended December 31, 2014. For the quarter, the company reported net income per diluted common share of $0.98, up from $0.70 in the fourth quarter of 2013 and $0.84 in the third quarter of 2014. Net income was $244.0 million, compared to $169.7 million in the prior year quarter and $204.5 million in the prior quarter. Return on average common equity was 11.5%, compared to 8.7% in the prior year quarter and 10.1% in the prior quarter. Net interest income was $263.9 million against $249.9 million a year ago. Total revenue was $1,130.1 million against $1,045.2 million a year ago. Income before income taxes was $345.8 million against $245.7 million a year ago. Return on average assets was 0.90% against 0.68% a year ago. Excluding the current quarter income tax benefit, net income per diluted common share and net income were $0.94 and $234.5 million. Excluding the prior year quarter legal settlement charge, net income per diluted common share and net income in the prior year quarter were $0.75 and $181.6 million, respectively. Equipment and software expense totaled $103.5 million, up 5% from $98.6 million in the prior year quarter. Excluding the income tax benefit, net income per diluted common share, net income and return on average common equity in the current quarter were $0.94, $234.5 million and 11.0%.

For the full year, the company reported net income per diluted common share for the full year was $3.32, compared to $2.99 in 2013. Net income for 2014 totaled $811.8 million, up $80.5 million, or 11%, from the prior year's $731.3 million. Net interest income was $1,005.5 million against $933.1 million a year ago. Total revenue was $4,331.2 million against $4,089.3 million a year ago. Income before income taxes was $1,190.2 million against $1,075.5 million a year ago. Return on average assets was 0.78% against 0.77% a year ago. Return on average common equity was 10.02% against 9.54% a year ago. Net interest income on an FTE basis in 2014 totaled $1.03 billion, an increase of $69.3 million, or 7%, from $965.6 million in 2013, due to higher levels of average earning assets, partially offset by a decline in the net interest margin to 1.08% in 2014 from 1.13% in 2013. Book value per share was $34.54.

The company announced net charge-offs of $5.4 million for the fourth quarter ended December 31, 2014.