Bank of America Corp. (BAC) announced on Thursday that its net income attributable to common shareholders for the fourth quarter skyrocketed to $6.40 billion, or $0.82 per share, compared with $2.84 billion, or $0.35 per share, in the same quarter of the previous year.
According to an average projection by 16 analysts surveyed by Thomson Reuters, the company was anticipated to report earnings of $0.77 per share. It's important to note that analyst forecasts generally omit special items.
The allowance for credit losses rose to $1.45 billion, up from $1.10 billion in the previous year.
Total revenue, after accounting for interest expenses, ascended by 15% to $25.35 billion, contrasted with $21.96 billion in the prior year's quarter. This surpassed Wall Street's expectations, which predicted revenues of $25.13 billion for the quarter.
Net interest income increased by 3% to $14.36 billion, from $13.95 billion in the prior year. This growth was mainly fueled by activities in Global Markets, repricing of fixed-rate assets, and loan expansion, although it faced some counterbalance from the effects of reduced interest rates.
Non-interest income surged to $10.99 billion from $8.01 billion last year. Meanwhile, noninterest expenses decreased by 5% to $16.79 billion compared to the previous year.
