CHARLOTTE, N.C.--(BUSINESS WIRE)--Bank of America Company (the "Corporation") informed its securities holders that it has filed a Current Report on Form 8-K with the U.S. Securities and Exchange Commission ("SEC") on July 18, 2017, announcing financial results for the second quarter ended June 30, 2017, reporting second quarter net income of $5.3 billion, or $0.46 per diluted share.
Q2-17 Financial Highlights (compare to the year-ago quarter unless noted)
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Net income increased 10% to $5.3 billion, and EPS increased 12% to
$0.46, compared to $4.8 billion and $0.41, respectively
- Sale of the non-U.S. consumer credit card business resulted in a $103 million after-tax gain
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Revenue, net of interest expense, increased 7% to $22.8 billion from
$21.3 billion
- Net interest income (NII) increased 9% to $11.0 billion, reflecting benefits from higher interest rates, as well as loan growth
- Noninterest income increased 6% to $11.8 billion, driven primarily by the sale of the non-U.S. consumer credit card business and higher investment banking fees, partially offset by lower gains from the sale of debt securities and lower equity investment income
- Provision for credit losses declined 26% to $726 million from $976 million. Net charge-offs declined 8% to $908 million from $985 million; the net charge-off ratio declined to 0.40% from 0.44%
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Noninterest expense rose 2% to $13.7 billion
- Q2-17 included $0.4 billion of expense for the combined impact of impairment charges related to certain data centers in process of being sold and increased severance in the quarter
- Efficiency ratio improved to 60%
- Average loan balances in business segments rose $39 billion, or 5%, to $827 billion. Total average deposit balances increased $44 billion, or 4%, to $1.26 trillion
- Return on average assets 0.93%; return on average common equity 8.0%; return on average tangible common equity of 11.2%
- Book value per share rose 5% to $24.88; tangible book value per share rose 6% to $17.78
- More than doubled YTD capital returns from prior-year period through net share repurchases and common dividends
Q2-17 Business Segment Highlights (compare to the year-ago quarter unless noted)
Consumer Banking
- Net income of $2 billion
- Loans up $18.6 billion; deposits up $56.3 billion
- Merrill Edge brokerage assets up 21%
- Mobile banking active users increased 13% to 22.9 million
Global Wealth and Investment Management
- Record net income of $804 million
- Total client balances increased $198 billion to a record $2.6 trillion
- Loans up $9.6 billion
- Assets under management (AUM) flows of $28 billion in Q2-17
Global Banking
- Record revenue of $5 billion
- Loans increased $10.7 billion
- Firmwide investment banking fees up 9% to $1.5 billion; record advisory fees
- No. 3 in YTD IB fees
Global Markets
- Sales and trading revenue of $3.2 billion, including negative net debit valuation adjustment (DVA) of $159 million
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Excluding net DVA, sales and trading revenue down 9% vs. strong Q2-16
- Fixed income down 14%
- Equities up 3%
Bank of America Corporation makes available all of its SEC filings on its website: http://investor.bankofamerica.com/phoenix.zhtml?c=71595&p=irol-irhome.
The SEC maintains a website that contains reports, proxy statements and other information regarding issuers that file electronically with the SEC. These materials may be obtained electronically by accessing the SEC’s website at http://www.sec.gov. A copy of the document will also be available on the National Storage Mechanism's website at: http://www.morningstar.co.uk/uk/NSM.