Compelo Banking - Latest industry news and analysis is using cookies

We use them to give you the best experience. If you continue using our website, we'll assume that you are happy to receive all cookies on this website.

ContinueLearn More

BofA Q3 net income declines by 95% to $340m

Bank of America has reported that its net income decreased by 95% to $340m, or $0.00 per diluted share, for the third quarter of 2012, against $6.2bn, or $0.56 per diluted share, during the same period, earlier year.

The decrease was mainly attributed to $1.9bn of debit valuation adjustments (DVA) and fair value option (FVO) adjustments related to the improvement in the company’s credit spreads, $1.6bn for total litigation expense.

Total revenue, net of interest expense, FTE basis were $20.6bn, down by 28% from $28.7bn, during the corresponding period last fiscal.

Tier 1 common capital ratio was 11.41% and an estimated Basel 3 Tier 1 common capital ratio of 8.97%, up from 7.95% as of the second quarter of 2012.

Its consumer and business banking segment net income stood at $1.28bn, down 23%, from $1.66bn, while revenues declined by 13% to $7bn, from $8.12bn, during the same period, a year ago.

Global wealth and investment management net income was $542m, up by 50%, from $362m, while its revenues $4.27bn, compared to $4.23bn during the same period in 2011.

Global banking segment posted net income of $1.29bn, with an increase of 7% from $1.2bn, while its revenues were $4.14bn, up by 5%, from $3.95bn during the comparable period, last year.