Brian Moynihan, CEO of Bank of America, speaking on CNBC’s Squawk Box during the WEF annual meeting in Davos, Switzerland, January 16, 2024.
Adam Galicia | CNBC
Bank of America reported better-than-expected earnings and revenue results on Thursday, driven by better-than-expected investment banking and interest income.
Here’s what the company reported:
- Profit: 82 cents versus 77 cents expected, LSEG estimate
- Revenue: $25.5 billion versus $25.19 billion expected
The company said its profit jumped 47% to $6.67 billion, or 82 cents per share, from a year earlier, when the bank had a $2.1 billion valuation from the FDIC related to 2023 regional bank failures and a $1.6 billion charge related to interest rate swaps.
Revenue jumped 15% to $25.5 billion on higher investment banking and asset management fees and better trading results.
Perhaps more than other megabanks, the company’s fortunes appear to depend on rates and their impact on net interest income.
Last month, CEO Brian Moynihan told investors his company would meet its NII guidance of about $14.3 billion.
Investors will be eager to know the company’s 2025 target, especially as expectations for rate cuts have been contained.
Moynihan said investment banking fees could rise 25% in the quarter, while wealth management revenue could climb 20%.
Wednesday, JPMorgan Chase And Goldman Sachs exceeded estimates on better-than-expected results from Wall Street units. Morgan Stanley is also expected to report results on Thursday.
This story is developing. Please check again for updates.
