Wells Fargo (NYSE:WFC) posted higher net income for the second quarter even as sales fell.
Earnings and Revenue The company's EPS outpaced analyst estimates while the company's revenues came in line with predictions. The company reported EPS of 82 cents a share versus the 81 cents a share estimate and revenues of $21.29 billion versus the $21.36 billion estimate. The estimates of 23 analysts ranged from profit of 77 cents to profit of 86 cents.
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The company's net income for the quarter rose 17.1% to $4.62 billion. Revenue fell 3.6% from $22.09 billion in the same period last year.
Company Fundamental Trends Last quarter marked the third in a row of rising net income. The company saw falling revenues last quarter after rising 3.9% to $23 billion the quarter before.
History Against Expectations The company has now topped analyst estimates for the last three quarters.
Official Comment: "Wells Fargo's strong financial results this quarter again reflect the benefit of our diversified business model." said Chairman and CEO John Stumpf. "While the economic recovery remains uneven, we continued to meet our customers' financial needs and benefited from signs of stabilization in the housing market. Our accomplishments reflect our continued focus on key Wells Fargo fundamentals: the way our team members work together to serve customers, and the way we manage risk. The foundation of our business is putting the customer at the center of all we do. Because of that focus, our customers entrusted more of their business with us-we had record quarterly mortgage applications, increases in lending to consumers and businesses, and continued growth in deposits and cross-sell."
Estimates provided by Zacks Investment Research and company fundamentals from Xignite Financials.