Wells Fargo Q1 Profit Up 16%, Results Beat Estimates
(RTTNews) - Wells Fargo & Co. (WFC) on Friday reported net income applicable to common stock of $5.51 billion or $1.20 per share for the first quarter of 2019, up from $4.73 billion or $0.96 per share in the year-ago period.
However, revenue for the quarter declined to $21.61 billion from $21.93 billion in the prior-year quarter.
On average, analysts polled by Thomson Reuters expected the company to report earnings of $1.09 per share for the quarter on revenues of $21.01 billion. Analysts' estimates typically exclude special items.
Net interest income in the first quarter was $12.31 billion, up 1 percent from $12.24 billion in the same period last year. Non-interest income was $9.30 billion, down 4 percent from $9.70 billion a year ago.
Average deposits for the quarter were $1.26 trillion, down 3 percent from $1.30 trillion in the prior year. Average loans were $950.1 billion, down from $951.0 billion last year.
"Wells Fargo reported $5.9 billion of net income in the first quarter. Our financial results included continued strong credit performance and high levels of liquidity. In addition, our continued de-risking of the balance sheet and consistent level of profitability have resulted in capital levels well above our regulatory minimum," Chief Financial Officer John Shrewsberry said.
Looking ahead, the company noted that while its first-quarter expenses included typically higher personnel expense, it is on track to achieving its 2019 expense target.