Analysis
The five reports point in different directions: a large bank whose quarter was reduced by a one-time regulatory charge, a securities firm and two asset managers helped by higher markets and client assets, and an insurer whose profit slipped on lower investment gains. Bank of America's underlying lending figures, including loan losses, were close to a year earlier, so the drop in profit is mostly explained by the charge the bank itself quantifies.
What the five companies reported
Bank of America, Morgan Stanley, BlackRock and State Street each released results for the quarter ended September 30, 2026 on October 14. Progressive released its September 2026 monthly results the same day, which include its third-quarter totals. The figures below are as reported by the companies; year-over-year changes are the ones the companies state or show in their tables, and company-adjusted measures are labeled as such.
Bank of America reported net income of $6.9 billion, or $0.91 a share, on revenue of $30.0 billion, compared with $8.3 billion and $1.04 a share a year earlier [1]. Morgan Stanley reported net income applicable to the firm of $4.9 billion, or $3.03 a share, on net revenues of $20.3 billion, compared with $4.6 billion and $2.80 [2]. BlackRock reported net income attributable to the firm of $1.66 billion, or $10.57 a share, on revenue of $7.75 billion, compared with $1.32 billion and $8.43 [3]. State Street reported net income of $1.09 billion, or $3.69 a share, on total revenue of $4.00 billion, compared with $861 million and $2.78 [4]. Progressive reported third-quarter net income of $2.54 billion, or $4.37 a share, on net premiums earned of $21.9 billion, compared with $2.62 billion and $4.45 [5].
| Company | Net income | Diluted EPS | Revenue | Credit items |
|---|---|---|---|---|
| Bank of America | $6.9 billion (3Q25: $8.3 billion) | $0.91 (3Q25: $1.04) | $30.0 billion (3Q25: $29.0 billion) | Provision $1.3 billion (3Q25: $1.3 billion); $1.35 billion (3Q25: $1.37 billion) [1] |
| Morgan Stanley | $4.9 billion (3Q25: $4.6 billion) | $3.03 (3Q25: $2.80) | $20.3 billion net revenues (3Q25: $18.2 billion) | Provision $148 million (3Q25: $0) [2] |
| BlackRock | $1.66 billion GAAP; $2.62 billion as adjusted (3Q25: $1.32 billion; $1.91 billion) | $10.57 GAAP; $15.93 as adjusted (3Q25: $8.43; $11.55) | $7.75 billion (3Q25: $6.51 billion) | Not a lender; assets under management $15.5 trillion [3] |
| State Street | $1.09 billion (3Q25: $861 million) | $3.69 (3Q25: $2.78) | $4.00 billion (3Q25: $3.55 billion) | $4 million provision release (3Q25: $9 million provision) [4] |
| Progressive | $2.54 billion (3Q25: $2.62 billion) | $4.37 (3Q25: $4.45) | $21.9 billion net premiums earned (3Q25: $20.8 billion) | Insurer; combined ratio 88.7 (3Q25: 89.5) [5] |
Largest and most consequential result: Bank of America
Bank of America's third-quarter profit fell 17% from a year earlier, from $8.3 billion to $6.9 billion, and earnings per share fell from $1.04 to $0.91. The bank attributed the drop to a $1.2 billion regulatory settlement charge, equal to $0.17 a share, which it recorded as noninterest expense and said is not tax-deductible. The charge accrues civil money penalties under with the Office of the Comptroller of the Currency (OCC) and the Financial Crimes Enforcement Network (FinCEN) concerning the bank's , anti-money-laundering and economic sanctions compliance programs, which the bank agreed to on October 13 [1].
The orders are the subject of a separate report on this site. On October 13 the U.S. Treasury Department announced more than $1.21 billion in penalties: a $1.2 billion FinCEN penalty that credits a separate $750 million OCC penalty, plus an $11.6 million settlement with the Office of Foreign Assets Control. In the FinCEN order the bank admitted willfully violating the , as that term is used in civil enforcement [6][7]. The bank's earnings release quantifies only the accrued charge, not the individual agency amounts.
Excluding the charge, Bank of America reported adjusted net income of $8.1 billion and adjusted earnings of $1.08 a share, and adjusted noninterest expense of $18.5 billion; these are company-adjusted, non-GAAP measures [1]. Reported noninterest expense was $19.7 billion, up from $17.3 billion a year earlier [1].
The rest of the quarter was steadier. , the gap between what the bank earns on loans and investments and what it pays on deposits, rose 8% to $16.4 billion. The was $1.27 billion, compared with $1.30 billion a year earlier, and , the loans written off as uncollectible, were $1.35 billion, or 0.44% of loans, compared with $1.37 billion and 0.47%. The credit card rate was 3.22%, compared with 3.46% a year earlier [1]. The bank's Standardized capital ratio was 10.9%, down from 11.2% in the second quarter and 11.6% a year earlier, and it returned $8.3 billion to shareholders through $2.2 billion of dividends and $6.0 billion of share repurchases. The bank said its capital ratios are preliminary [1]. The release gives no numerical guidance [1].
Morgan Stanley
Morgan Stanley reported net revenues of $20.3 billion, compared with $18.2 billion a year earlier. Institutional Securities revenues were $10.0 billion, compared with $8.5 billion, with equity revenues of $5.8 billion, up 41% from $4.1 billion; fixed income revenues of $2.0 billion, down 7% from $2.2 billion; and investment banking revenues of $2.2 billion, up 2% from $2.1 billion [2].
Wealth Management net revenues were $9.07 billion, which the firm called a record, compared with $8.23 billion, at a 30.4% pre-tax margin. Net new assets in the unit were $232.4 billion, compared with $81.0 billion a year earlier; the release says just over half were associated with flows related to . Investment Management revenues fell to $1.46 billion from $1.65 billion, which the firm tied to a reversal of accrued carried interest [2].
The was $148 million, compared with none a year earlier, primarily in Institutional Securities and driven by growth in corporate and secured lending; the quarter also included $105 million of on certain corporate and commercial real estate loans, largely provisioned in earlier quarters. Return on tangible common equity, a non-GAAP measure, was 22.6%, compared with 23.5%. Its Standardized ratio was an estimated 14.9%, compared with 15.1%, and it repurchased $1.54 billion of shares. The release states no numerical guidance [2].
BlackRock
BlackRock reported GAAP revenue of $7.75 billion, up 19%, and GAAP operating income of $2.33 billion, up 19%. Net income attributable to the firm was $1.66 billion, up 25%, or $10.57 a share. On the company's as-adjusted basis, which is non-GAAP, operating income was $3.33 billion, up 27%, net income was $2.62 billion, up 37%, and earnings were $15.93 a share, up 38% from $11.55 [3].
Assets under management were about $15.5 trillion at September 30, up 15% from a year earlier. Total net inflows were $205 billion, of which $175 billion were long-term, compared with $205 billion of total net inflows in the third quarter of 2025. Organic base fee growth was 11% annualized for the quarter and 10% over the last twelve months [3]. The release gives no numerical guidance; chief executive Laurence Fink said the firm is "entering our seasonally strongest fourth quarter with accelerating momentum" [3].
State Street
State Street reported total revenue of $4.00 billion, up 13%, with fee revenue of $3.14 billion, up 11%, and of $864 million, up 21%. Total expenses were $2.62 billion, up 8%. Net income was $1.09 billion, up 27%, and diluted earnings per share were $3.69, up 33%. The release shows no notable items in the quarter or in the year-earlier quarter [4].
Assets under custody and/or administration were $59.2 trillion at quarter end, up 15%, and assets under management were $6.3 trillion, up 16%. The bank recorded a $4 million release, compared with a $9 million provision a year earlier. The release gives no numerical guidance; chief executive Ron O'Hanley cited "confidence in our ability to deliver against our medium-term targets" without restating them [4].
Progressive
Progressive's release covers September and the third quarter. For the quarter, net premiums written, the insurance sold, were $22.3 billion, up 4%, and net premiums earned were $21.9 billion, up 5%. Net income was $2.54 billion, down 3%, and earnings per share were $4.37, down 2%. The company's combined ratio, which compares claims and expenses with premiums so that a figure below 100 indicates an underwriting profit, was 88.7, compared with 89.5. Pretax net realized losses on securities were $170 million, compared with $295 million of gains a year earlier [5].
For September alone, net income was $630 million, compared with $305 million, and the combined ratio was 90.0, compared with 100.4. Policies in force were 40.49 million, up 6%. The company said it has no additional commentary on September's results and gave no guidance; its quarterly conference call is scheduled for November 3, 2026 [5].
What the reports do not show
These are preliminary results from earnings releases, and the companies describe some figures, such as capital ratios, as estimates or subject to change in their quarterly filings [1][2]. The five firms are different kinds of businesses, so revenue and profit comparisons across them are not like for like.
What remains uncertain
Figures come from each company's earnings release and may change when the companies file their quarterly reports. Company-adjusted measures (Bank of America excluding its regulatory settlement charge; BlackRock as adjusted; Morgan Stanley's return on tangible common equity) are labeled as such and are not GAAP results. Revenue definitions differ by company, and none of the releases gives numerical guidance. Progressive's quarterly figures come from the quarter columns of its monthly release.
Sources
- Bank of America · 3Q26 earnings release (Form 8-K Exhibit 99.1) ↗Filing / report
- Morgan Stanley · Third quarter 2026 earnings release (Form 8-K Exhibit 99.1) ↗Filing / report
- BlackRock · Third quarter 2026 earnings release (Form 8-K Exhibit 99.1) ↗Filing / report
- State Street · Third quarter 2026 earnings release (Form 8-K) ↗Filing / report
- Progressive · Progressive Reports September 2026 Results (GlobeNewswire) ↗Source
- U.S. Department of the Treasury · U.S. Treasury Announces Record Enforcement Actions Against Bank of America · October 13, 2026 ↗Official release
- OCC · News Release 2026-89: OCC Imposes $750 Million Assessment Against Bank of America for Deficient BSA/AML Compliance · October 13, 2026 ↗Official release