Wells Fargo & Co. (WFC) reported a rise in fourth-quarter 2012 net income to $5.1 billion, or $0.91 per share, from last year's $4.1 billion, or $0.73 per share. Quarterly net income applicable to common stock was $4.86 billion, higher than $3.89 billion a year before. On average, 24 analysts polled by Thomson Reuters expected earnings per share of $0.89 for the quarter. Analysts' estimates typically exclude one-time items.
Revenue for the period totaled $21.95 billion, up 7 percent from $20.605 billion for 2011 fourth quarter. On a linked-quarter basis, revenue growth accelerated 14 percent (annualized), up $735 million. Analysts estimated revenues of $21.29 billion for the quarter.
However, net interest income for the quarter declined 2% to $10.64 billion, from $10.89 billion in the comparable period in 2011. On a linked-quarter basis, the company's net interest margin was down 10 basis points to 3.56 percent. The primary driver of the decline, approximately 8 basis points, was strong deposit growth of $30 billion in the quarter (12 percent annualized).
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