(New York) The activity of the American bank Bank of America, the second largest bank in the United States by the size of its assets, once again benefited from the successive interest rate hikes carried out by the Fed.
Like the other major American banks, the establishment recorded a jump in its turnover in the second quarter driven by the ten key rate hikes made since March 2022. It swelled by 11% to 25.2 billion of dollars.
Net profit was $7.4 billion, up 19%. Adjusted per share, it stands at $0.88.
Performances that exceed the consensus of analysts prepared by FactSet.
“We achieved one of the strongest quarterly and half-year results in the history of the company,” said Brian Moynihan, head of Bank of America, in a press release.
“Continued organic customer growth and customer activity across all lines of business accompanied the beneficial effects of higher interest rates,” he said.
As a result, net interest income (the difference between interest earned on loans made to customers and interest paid to savers and creditors) grew by 14% to $14.2 billion.
Without providing a forecast for the next few months, Moynihan said the group continues “to see a healthy US economy growing at a slower pace, with a resilient labor market.”
Alastair Borthwick, Chief Financial Officer, agreed: “Asset quality and general US consumer well-being remain strong.”
Confidence in the “strength” of its capital which enabled the bank to announce on Friday the payment in the third quarter of a dividend to preferred shares. In the second quarter, it returned $2.3 billion to shareholders in dividends and share buybacks.