Brian Moynihan, CEO of Bank of America, talking on CNBC’s Squawk Box on the World Economic Forum in Davos, Switzerland on Jan. twentieth, 2026.
Oscar Molina | CNBC
Bank of America, the nation’s second-largest lender, beat on the highest and backside traces in the course of the first quarter, bolstered by equities gross sales and buying and selling.
Here’s what the agency reported:
- Earnings per share: $1.11 per share vs. $1.01 LSEG estimate
- Revenue: $30.43 billion vs. $29.93 billion estimate
The financial institution said Wednesday that web revenue rose 17% to $8.6 billion, or $1.11 per share, Bank of America’s highest EPS in virtually twenty years.
Revenue rose 7.2% to $30.43 billion on rising web curiosity revenue, larger buying and selling income, and charges from funding banking and asset administration.
Equities buying and selling contributed to the beat, because the geopolitical surroundings roiled inventory markets. Revenue in that enterprise jumped 30% to $2.83 billion, driving the financial institution’s buying and selling operations to its greatest quarter in 15 years. Investment banking additionally beat and was up 21% to $1.8 billion.
Net curiosity revenue, the profitability metric for loan-making, elevated by 9% to $15.9 billion and beat as properly. That was as a consequence of larger mortgage and deposit balances, fixed-rate asset repricing and markets exercise.
“We remain watchful of evolving risks. However, we saw healthy client activity, including solid consumer spending and stable asset quality, indicating a resilient American economy,” Bank of America CEO Brian Moynihan stated within the launch.
The net-charge-off ratio, exhibiting what quantity of whole loans have been deemed unable to be collected, improved 6 foundation factors in the course of the quarter to 0.48%. The agency’s shopper banking and world wealth divisions every gained greater than 20% in income.
Return on tangible widespread fairness, a measure of profitability, was 16%, a greater than 200 foundation level enchancment.
Correction: Bank of America beforehand guided to web curiosity revenue development of between 5% and seven% this yr. A earlier model of this text misstated the vary.
