XML 307 R27.htm IDEA: XBRL DOCUMENT v3.24.2.u1
Revenue from Contracts with Customers
 6 Months Ended
Jun. 30, 2024
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 179 to 182 in Note 25 to the consolidated financial statements included under Item 8, Financial Statements and Supplementary Data, in our 2023 Form 10-K.
Revenue by category
In the following tables, 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.
Three Months Ended June 30, 2024
Investment ServicingInvestment ManagementTotal
(Dollars in millions)Topic 606 revenueAll other revenueTotalTopic 606 revenueAll other revenueTotal2024
Servicing fees$1,239 $— $1,239 $— $— $— $1,239 
Management fees— — — 511 — 511 511 
Foreign exchange trading services 95 209 304 32 — 32 336 
Securities finance46 55 101 — 7 7 108 
Software and processing fees 162 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 ManagementTotal
(Dollars in millions)Topic 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 services 190 422 612 55 — 55 667 
Securities finance94 97 191 — 13 13 204 
Software and processing fees 318 103 421 — — — 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 
Three Months Ended June 30, 2023
Investment ServicingInvestment ManagementTotal
(Dollars in millions)Topic 606 revenueAll other revenueTotalTopic 606 revenueAll other revenueTotal2023
Servicing fees$1,259 $— $1,259 $— $— $— $1,259 
Management fees— — — 461 — 461 461 
Foreign exchange trading services86 190 276 27 — 27 303 
Securities finance61 48 109 — 8 8 117 
Software and processing fees174 47 221 — — — 221 
Other fee revenue— 55 55 — 3 3 58 
Total fee revenue1,580 340 1,920 488 11 499 2,419 
Net interest income— 687 687 — 4 4 691 
Total revenue$1,580 $1,027 $2,607 $488 $15 $503 $3,110 
Six Months Ended June 30, 2023
Investment ServicingInvestment ManagementTotal
(Dollars in millions)Topic 606 revenueAll other revenueTotalTopic 606 revenueAll other revenueTotal2023
Servicing fees$2,476 $— $2,476 $— $— $— $2,476 
Management fees— — — 918 — 918 918 
Foreign exchange trading services176 421 597 48 — 48 645 
Securities finance124 88 212 — 14 14 226 
Software and processing fees294 92 386 — — — 386 
Other fee revenue— 83 83 — 20 20 103 
Total fee revenue3,070 684 3,754 966 34 1,000 4,754 
Net interest income— 1,449 1,449 — 8 8 1,457 
Total revenue$3,070 $2,133 $5,203 $966 $42 $1,008 $6,211 
Contract balances and contract costs
As of June 30, 2024 and December 31, 2023, net receivables of $2.93 billion and $2.72 billion, respectively, are included in accrued interest and fees receivable, representing amounts billed or currently billable related to revenue from contracts with customers. As performance obligations are satisfied, we have an unconditional right to payment and billing is generally performed monthly or quarterly; therefore, we do not have significant contract assets.
We had $149 million and $133 million of deferred revenue as of June 30, 2024 and December 31, 2023, 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, 2024, we recognized revenue of $64 million relating to deferred revenue of $135 million as of March 31, 2024. In the six months ended June 30, 2024, we recognized revenue of $100 million relating to deferred revenue of $133 million as of December 31, 2023.
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-cancelable amounts that will be invoiced and recognized as revenue in future periods. As of June 30, 2024, total remaining non-cancelable performance obligations for services and products not yet delivered, primarily comprised of software license sales and SaaS, were approximately $1.71 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.