BB&T 2Q Results: Postgame Scorecard
BB&T's (NYSE:BBT) net income rose in the second quarter.
Earnings and Revenue The company experienced stronger-than-expected EPS and revenues. The company reported EPS of 72 cents a share versus the 69 cents a share estimate and revenues of $2.47 billion versus the $2.41 billion estimate. The estimates of 26 analysts ranged from profit of 61 cents to profit of 76 cents.
The company's net income for the quarter was $510 million. This is 66.1% higher than the year-ago quarter. Revenue climbed 13.3% from $2.48 billion in the same period last year.
Company Fundamental Trends Last quarter marked the third in a row of rising net income.
History Against Expectations The company has now topped analyst estimates for at least the last four quarters. It beat by 4 cents in the first quarter, 3 cents in the fourth quarter of the last fiscal year and 3 cents in the third quarter of the last fiscal year.
Official Comment: "We are excited to report the strongest net income for any quarter in our history," said Chairman and Chief Executive Officer Kelly S. King. "This record performance reflects a 7% increase in net interest income, a 44% increase in noninterest income, lower credit costs and effective expense control. The net interest margin increased this quarter following the call of our outstanding trust preferred securities. "Loan growth improved during the quarter as average loans increased 7% on an annualized basis compared to the first quarter. This growth was led by a 33% increase in loans originated by our other lending subsidiaries, a 20% increase in residential mortgage loans, a 10% increase in direct retail loans and a 9% increase in sales finance loans."Net revenues totaled $2.5 billion for the second quarter, an annualized increase of 21% compared to last quarter," said King.
Estimates provided by Zacks Investment Research and company fundamentals from Xignite Financials.