The lender posted net income of $9.1 billion, up 27% from a year earlier, while diluted earnings per share rose 34% to $1.21, ahead of Wall Street expectations. Revenue increased 15% to $31.7 billion, supported by broad-based growth across its businesses.
“We continue to see strong consumer spending,” Bank of America Chairman and CEO Brian Moynihan said, adding that the US economy has proved “more durable than expected”, supported by resilient consumers, continued AI-related investment and easing energy costs.
Net interest income — the difference between what the bank earns on loans and pays on deposits — rose 9% to $16.2 billion, helped by higher loan and deposit balances and stronger Global Markets activity.
The standout performer was the Global Markets business. Sales and trading revenue climbed 33% to $7.1 billion, led by a 70% surge in equities trading revenue to $3.6 billion, driven by higher client activity and strong performance in Asia and the US. Fixed-income, currencies and commodities (FICC) revenue increased 9% to $3.5 billion.
Investment banking also rebounded sharply, with fees rising 50% as advisory, debt underwriting and equity capital markets activity improved. The bank said commercial borrowing has also picked up, with loan growth broad-based across business banking, commercial banking and corporate banking.
Consumer banking remained a key earnings driver. Revenue rose 5% to $11.3 billion, while combined credit and debit card spending increased 9% to $266 billion, reflecting continued strength in consumer activity. The bank also added nearly 2 million new members to its BofA Rewards programme during the quarter.
Wealth management also delivered strong growth, with client balances reaching $4.9 trillion, while revenue increased 16% on higher asset management fees and net interest income.
Credit quality continued to improve. The provision for credit losses fell to $1.37 billion from $1.59 billion a year earlier, while the net charge-off ratio remained at 0.47%, lower than last year’s 0.55%.
Looking ahead, management said it expects full-year net interest income to come in at the upper end of its earlier guidance range, although Chief Financial Officer Alastair Borthwick cautioned that comparisons will become tougher in the second half of the year as last year’s base strengthens.
