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- Wells Fargo (NYSE:WFC) stock jumps 1.9% in premarket trading as the bank's Q4 results reflect its efforts to reduce expenses while deposits and lending increased.
- "As the economy continued to recover we saw increased consumer spending, higher investment banking fees, higher asset-based fees in our Wealth and Investment Management business, and strong equity gains in our affiliated venture capital and private equity businesses," said CEO Charlie Scharf.
- Q4 EPS of $1.38 includes $0.18 net gain on the sales of its Corporate Trust Services business and Wells Fargo Asset Management; compares with EPS of $1.17 in Q3 and $0.66 in Q4 2020.
- Noninterest expense of $13.2B fell from $13.3B in Q3 and $14.8B in Q4 2020.
- Loans of $875.0B increased from $854.0B in Q3 and fell from $899.7B a year ago; deposits of $1.47T increased from $1.45T at Q3-end.
- Net interest margin on a taxable equivalent basis of 2.11% rose from 2.03% in Q3 slipped from 2.16% in the year-ago quarter.
- Provision for credit losses was a benefit of $875M vs. a benefit of $1.65B in Q3 and $763M in Q4 2020.
- Conference call at 10:00 AM ET.
- Earlier, Wells Fargo GAAP EPS of $1.38 beats by $0.25