Industry News

BofA’s second-quarter earnings jump

Increase reflects Fleet merger

Don't miss the real estate event of the summer
Join 4,000 real estate pros at Connect SF, Aug 7‑11, 2017

Bank of America today reported second quarter earnings of $3.85 billion, or $1.86 per share (diluted), compared with earnings of $2.74 billion, or $1.80 per share, a year ago. Current results reflect the addition of FleetBoston Financial Corp., which the company acquired April 1, 2004. Under purchase accounting rules, year-ago and first-quarter 2004 results do not include the impact of Fleet. Second-quarter earnings included pre-tax merger-related expenses of $125 million, which reduced earnings per share four cents. Estimated cost savings from the merger were $206 million in the quarter. Company officials attributed the bank's strong performance to the merger's impact as well as results in its consumer banking and commercial banking sectors. Non-interest income was $5.44 billion compared with $4.26 billion a year earlier. The increase was driven primarily by the impact of the Fleet merger. Other factors included record investment banking income and higher card income, which was ...