Bank Of America’s Profits Suffer Steep Fall

by Darren

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It is no surprise that Bank of America is suffering a bit from credit losses. They would be in a class by themselves if they weren’t. They suffered both a fall in net income, and a 32 percent decline in revenue.

Net income at the Charlotte-based bank declined to $268 million, or 5 cents per share, in the three months ended Dec. 31 from $5.26 billion, or $1.16 per share, a year ago.

The bank’s revenue fell 32 percent to $12.67 billion from $18.49 billion last year.

The quarter included results from LaSalle Bank, which Bank of America purchased on Oct. 1.

Analysts expected earnings of 18 cents per share on revenue of $13.24 billion, according to a poll by Thomson Financial. The earnings estimates typically exclude one-time items.

Undoubtedly we may see a decline in shares based on the news.

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