MW Bank of America is profiting from U.S. consumer resilience, tariff jitters
By Steve Gelsi
Megabank's stock rises in premarket trading after it delivers an earnings beat, as customers work through tariff noise and pay their loans back on time
Bank of America Corp. delivered an upside earnings surprise and stuck to its financial outlook for the year as it reinforced the theme of the resilient American consumer and benefited from a flurry of trading around tariff jitters.
Bank of America's stock $(BAC.SI)$ rose 1.3% in premarket trading after the results were released.
Bank of America's second-quarter profit rose 3% to $7.1 billion, or 89 cents a share, from $6.9 billion, or 83 cents a share, in the year-ago quarter.
The bank's earnings per share of 89 cents beat the FactSet consensus EPS estimate of 86 cents, in what the bank described as a "solid" performance.
Second-quarter revenue at the megabank rose 4% to $26.5 billion, below the analyst estimate of $26.7 billion.
Net interest income - the money the bank makes on loans after it makes interest payments on its deposits - rose 7% to $14.7 billion, ahead of the analyst estimate of $14.6 billion.
"Consumers remained resilient, with healthy spending and asset quality, and commercial borrower utilization rates rose," Chief Executive Brian Moynihan said. "In addition, we saw good momentum in our markets businesses."
The bank kept its outlook for fourth-quarter net interest income at $15.5 billion to $15.7 billion.
This is a developing news story, with updates in progress.
-Steve Gelsi
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July 16, 2025 07:26 ET (11:26 GMT)
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