In the first quarter, Wells Fargo recorded adjusted earnings of $1.56 per share, compared to $1.27 a year earlier. Analysts had estimated earnings of $1.58 per share.
The firm generated first-quarter revenue of $21.45 billion, up from $20.15 billion a year ago, but below the analyst estimate of $21.77 billion.
Net interest income for the quarter increased by 5 percent, driven by higher deposit balances and lower deposit costs.
Noninterest income rose by 8 percent, with the previous year’s first quarter including a $263 million gain from the sale of the commercial mortgage servicing business and $149 million in net losses from repositioning the investment securities portfolio.
Chairman and Chief Executive Officer Charlie Scharf commented, “We saw continued positive impacts from the investments we have been making with diluted earnings per share increasing 15 percent, revenue increasing 6 percent, loans increasing 11 percent, and deposits increasing 7 percent compared to a year ago.”
