State Street plans to cut 630 jobs, or about 2 percent of its worldwide workforce, as the custody bank reported that net income for the fourth quarter rose 26 percent to $468 million, or $1 per share.
Shares of Boston-based State Street, which calls mutual funds, pension funds and investment pools its clients, ticked higher in early trading.
For the full year, State Street reported $9.65 billion in revenue, up 0.6 percent from 2011. Earnings per share for the year climbed 10.8 percent to $4.20.
"The fourth-quarter and full-year 2012 reflect continued resilience across our asset servicing and asset management businesses," Hooley said in a statement. "We achieved these results in a restrained revenue environment, generating positive operating leverage and continuing to invest in key markets that position use for further growth."
Fourth-quarter earnings per share were $1, up from 76 cents for the same quarter a year ago.
In a regulatory filing, State Street said that it is making "targeted staff reductions" that will reduce its corporate head count in order to "better align State Street's expenses to its business outlook for 2013."
The job cuts announced Friday will be spread around the globe. The company has 29,660 employees worldwide.
State Street shares rose $2.73, or 5.4 percent, to $53.11 in morning trading after rising as high as $53.56 earlier in the session. FactSet says that was its highest level since August 2009.
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