Earnings down at Bank of America
11 April 2012
Bank of America today posted a lower quarterly profit, as core results were hurt by a surge in troubled loans as more credit card and mortgage customers fell behind on payments.
Second-quarter net income applicable to common shareholders fell 25% to $2.42 billion (£1.5 billion), or 33 cents per share, from $3.22 billion, or 72 cents, a year earlier.
Excluding the impact of preferred stock dividends in both periods, profit fell 7% to $3.22 billion. Net revenue rose 61% to $32.77 billion, helped by the Merrill Lynch & Co acquisition.
Analysts on average expected profit of 29 cents per share on revenue of $33.26 billion.
