Bank of America (BAC) has announced second quarter earnings that beat Wall Street expectations on both the top and bottom lines due to higher interest rate income.
The lender reported earnings per share (EPS) of $0.88 U.S. versus $0.84 U.S. that was expected by analysts who cover the company, according to Refinitiv data.
Revenue for the quarter ended June 30 came in at $25.33 billion U.S. compared to $25.05 billion U.S. that had been forecast.
Bank of America’s strong print follows Q2 earnings from JPMorgan Chase (JPM), Citigroup (C), and Wells Fargo (WFC), each of which also topped analysts’ consensus expectations amid higher interest rates charged on commercial and consumer loans.
However, despite the latest earnings beat, Bank of America warned that its loan and deposit growth has slowed in recent months as the U.S. economy cools.
Earlier in July, the Consumer Financial Protection Bureau fined Bank of America for customer abuses that included fake accounts and unnecessary fees.
Bank of America’s stock has declined 9% over the past 12 months to trade at $29.40 U.S. per share. The pullback has come largely after several regional lenders collapsed in the U.S. this spring.
