Bank Of America Q1 2025 Earnings Beat Estimates: CEO Brian Moynihan Says Bank’s Business Clients Have Been Performing Well

Shares of Bank of America Corp. (BAC) rose over 2% on Tuesday morning after the lender’s first quarter earnings surpassed Wall Street estimates.

Revenue rose 6% year-over-year (YoY) to $27.4 billion during the quarter, compared to a Wall Street estimate of $26.91 billion. This was driven by non-interest income growth across all segments and higher net interest income (NII).

Earnings per share (EPS) stood at $0.90 versus an analyst estimate of $0.81. The bank reported a 10% rise in net income to $7.4 billion.

NII, the difference between interest earned and expended, grew 3% to $14.4 billion during the first quarter (Q1), reflecting the benefits of lower deposit costs, higher NII related to Global Markets activity, and fixed-rate asset repricing. This was partially offset by the impacts of lower interest rates and one less day of interest accrual.

However, provision for credit losses rose to $1.5 billion from $1.3 billion in the same quarter last year.

CEO Brian Moynihan said the bank’s business clients have been performing well, and consumers have shown resilience, continuing to spend and maintaining healthy credit quality.

“Though we potentially face a changing economy in the future, we believe the disciplined investments we have made for high-quality growth, our diverse set of businesses, and the team’s relentless focus on responsible growth will remain a source of strength,” he said.

The bank’s consumer banking division saw revenue increase 3% YoY to $10.5 billion in Q1, driven by higher NII, service charges, and card income.

Global Wealth and Investment Management revenue rose 8% YoY to $6 billion, led by a 15% increase in asset management fees from strong assets under management (AUM) flows and higher market levels.

Global banking revenue was flat at $6 billion as lower NII offset gains related to leveraged finance positions and higher treasury service charges. Investment banking fees decreased 3% YoY to $1.5 billion.

Global Markets revenue rose 12% YoY to $6.6 billion, driven primarily by higher sales and trading revenue and gains related to leveraged finance positions.

The bank reported a record Equities revenue of $2.2 billion, up 17% YoY, driven by improved trading performance and increased client activity.

Shares of Bank of America declined 17% in 2025 but are up 2% in the past 12 months.

Also See: Pinnacle Financial Partners Gains After Mixed Q1 Results, Retail’s Extremely Bearish

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