Bank of New York Mellon Corporation (BK) shares surged 6.13% in pre-market trading on Wednesday, following the release of its impressive fourth-quarter 2024 earnings results. The financial services giant reported better-than-expected earnings, fueled by robust growth in fee revenue and net interest income.

The company's key financial highlights for the quarter included:

Fee revenue grew 9% year-over-year to $3.51 billion, driven by higher market values, increased client activity, and new business wins.

Net interest income rose 8% to $1.19 billion, benefiting from higher investment portfolio yields and balance sheet growth, offsetting the negative impact of deposit mix changes.

Non-interest expenses declined 16% year-over-year, primarily driven by adjustments to a special FDIC assessment, cost savings initiatives, and lower severance costs.

Assets under custody and administration reached $52.1 trillion, a 9% increase from the prior year, reflecting the company's strong market position.

Looking ahead, BNY Mellon expects continued growth in fee revenue and a mid-single-digit percentage increase in net interest income for 2025. The bank also highlighted its efforts to capitalize on emerging opportunities, such as providing custody services for crypto-based exchange-traded products, as it aims to bridge the gap between traditional and digital asset markets.