Bank of America this week reported first quarter earnings of $2.7 billion up from $2.4 billion, an 11 percent increase, despite a decline in mortgage banking income.

 

Per share (diluted), the increase was $1.83, a 15 percent increase from $1.59 per share earned a year ago.

 

Higher earnings were driven by an increase in net interest income, as loan balances and average deposits grew. Also driving the results were increases in card income, investment and brokerage services income and consumer and corporate services charges, reflecting the growing volume of business.

 

Mortgage banking income, however, declined 48 percent, driven by a slowdown in refinance activity. A $275 million writedown in mortgage banking assets, a result of faster prepayment speeds due primarily to the low interest rate environment, significantly reduced trading account profits.

 

Revenue on a fully taxable-equivalent basis grew 7 percent from the previous year to $9.69 billion.

***

Send a Letter to the Editor for publication.
Send a comment or news tip to our
newsroom.
Please include the headline of the story.

Show Comments Hide Comments

Comments

Sign up for Inman’s Morning Headlines
What you need to know to start your day with all the latest industry developments
Success!
Thank you for subscribing to Morning Headlines.
Back to top
Refer friends to Select and get $200 in credit.Register Here×
Connect Now is less than two weeks away. Prices go up May 30.Reserve your seat today.×