Bank of America Corp. (BAC) reported Thursday that net income for the third quarter surged 58 percent to $7.69 billion from last year's $4.88 billion, with earnings per share increasing to $0.85 from $0.51 in the prior year.
On average, 22 analysts polled by Thomson Reuters expected the company to report earnings of $0.71 per share for the quarter. Analysts' estimates typically exclude special items.
The provision for credit losses was a benefit of $624 million, compare to expense of $1.4 billion in the prior year, driven by asset quality improvements during the quarter.
Total revenue, net of interest expense, increased 12 percent to $22.77 billion from $20.34 billion in the prior-year quarter. Wall Street expected revenues of $21.78 billion for the quarter.
Net interest income was $11.09 billion, up 10 percent from last year, driven by strong deposit growth and related investment of liquidity, and Paycheck Protection Program (PPP) activities.
Non-interest income also grew 14 percent to $11.67 billion from last year, primarily reflecting record asset management fees, strong investment banking revenue and higher sales and trading revenues.
Noninterest expense edged up to $14.44 billion, reflecting higher revenue-related expenses were largely offset by lower litigation expense and lower COVID-related costs.
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May 15, 2026 15:25 ET Apart from the confirmation of Kevin Warsh as the next Fed chair, the main news on the economics front this week included key price data from the U.S. and the first quarter economic growth figures from major economies. Both consumer prices and producer costs have started to reflect the effect of supply shocks due to the Middle East conflict. In Europe, GDP data was in focus, while inflation data from China dominated the news flow in Asia.