The Q4 earnings season continues and Bank of America reported on Wednesday a 4.1 percent quarterly profit cut, as lower interest rates limited the chances for the second largest U.S. lender to earn more on loans.
Net income due to designed to holders of ordinary shares declined from the previous $7,04 billion or 70 cents per share to amount of $6.75 billion, or 74 cents per share, in the Q4, which ended on December 31, at annual rate. Zachs Investment analysts expected a drop to 68 cents per share. The expected revenue was also seen to fall to $22.01 billion.
According to the results, earnings per shares of 74 cents on revenue $22,3 billion, easing slightly and being almost in line with predictions. The rest of branches also weakened, including consumer banking revenue (-4 percent, to $9,51 billion), global investment revenue (-2 percent, to $4,91 billion), global banking revenue (-1 percent, to $5,14 billion).
As for the fixed income revenue reading, it climbed 25 percent, to touch $1.8 billion, whereas equity trading results sank by 4 percent, to $1 billion.
Bank of America shares went down by 2.17 percent at 1522 GMT.