Categories Earnings, Finance

Bank of America beats Q1 earnings estimates, misses revenue targets

Bank of America (BAC) reported Q1 earnings of $0.70 per share, beating the Street’s estimates of $0.65 a share. However, revenue for the first quarter came in at $23 billion, missing the consenus target of $23.3 billion. Bank of America stock was down about 2% during the pre-market trading hours.

Bank of America (BAC) Q1 2019 earnings infograph
Bank of America Q1 2019 earnings infograph

The banking giant’s earnings stood at $0.70 per share compared to $0.65 in the prior year quarter. Revenue, net of interest expense, of $23.0 billion was below the previous year revenue of $23.1 billion.

The 5% increase in the net interest income was driven by the interest rate hikes in 2018 and growth in loans and deposits. Average loan and lease balances in business segments rose 4% and average deposit balances rose 5%. Provision for credit losses increased $179 million to $1 billion.

“Economic growth and consumer activity in the U.S. continue to be solid, businesses of every size are borrowing and driving the economy, and asset quality is strong,” said CEO Brian Moynihan. He added, “We reduced expenses by four percent from the first quarter of 2018, contributing to the seventeenth consecutive quarter of positive operating leverage.”

Last Friday, peers JPMorgan Chase (JPM) and Wells Fargo (WFC) reported their quarterly results. On Monday, Citigroup (C) and Goldman Sachs (GS) reported their Q1 results. Except JPMorgan, other banking firms’ revenue declined year-over-year for the recently ended quarter. Today, BlackRock (BLK) also reported a decline in Q1 revenue.

Shares of BoFA, which closed down 1.09% at $29.84 on Monday, have gained 21% since the beginning of 2019.

We’re on Apple News! Follow us to receive the latest stock market, earnings, and financial news at your fingertips

 

Most Popular

Citigroup (C) reports higher revenue and profit for Q2 2024; earnings beat

Banking behemoth Citigroup Inc. (NYSE: C) Friday reported an increase in revenue and net income for the second quarter of 2024. Earnings came in above analysts’ estimates. Net profit for

Wells Fargo (WFC) Q2 2024 Earnings: Key financials and quarterly highlights

Wells Fargo & Company (NYSE: WFC) reported its second quarter 2024 earnings results today. Total revenue rose 1% year-over-year to $20.7 billion. Net income dropped 1% to $4.9 billion while

JPM Earnings: All you need to know about JPMorgan’s Q2 2024 earnings results

JPMorgan Chase & Co. (NYSE: JPM) reported second quarter 2024 earnings results today. Reported revenue increased 22% year-over-year to $50.2 billion. Managed revenue rose 20% to $51 billion. Net income

Add Comment
Loading...
Cancel
Viewing Highlight
Loading...
Highlight
Close
Top