Wells Fargo (WFC) said Tuesday that its second-quarter net income declined slightly from last year and from the prior quarter to $5.72 billion. Earnings per share were $1.03, meeting estimates. Sales were $21.3 billion vs. $21.1 billion a year ago.
“Wells Fargo’s second quarter results reflected continued strength in the fundamental drivers of long term growth,” said Chairman and CEO John Stumpf, in a statement. “Compared with a year ago, we grew loans, deposits and capital, and our balance sheet remained strong.”
According to CFO John Shrewsberry, the bank’s Q2 results “reflected the benefit of our balanced business model.”
Compared with the first quarter, revenue “increased on net interest income growth and expenses declined. Our balance sheet remained strong, as evidenced by solid asset quality, liquidity and capital, and we were within our targeted ranges for ROA, ROE and efficiency,” Shrewsberry said in a press release.
The company’s Wealth, Brokerage and Retirement (WBR) reported net income of $602 million, up 11% from $544 million last year and an increase of 7% from $561 million in the earlier period. These results were mainly driven by higher asset-based fees, which were partially offset “by lower gains on deferred compensation plan investments (offset in compensation expense) and lower brokerage transaction revenue,” according to the company.