10-QPeriod: Q2 FY2025

BANK OF AMERICA CORP /DE/ Quarterly Report for Q2 Ended Jun 30, 2025

Filed July 31, 2025For Securities:BACBAC-PBBAC-PKBAC-PLBAC-PMBAC-PNBAC-PSBML-PJBAC-PEBAC-PPBAC-PQBACRPBML-PGBML-PHBML-PLBAC-POMER-PK

Summary

Bank of America Corporation (BAC) reported solid financial results for the second quarter of 2025, with net income increasing year-over-year driven by higher net interest income and noninterest income across its key business segments. The company's total assets grew to $3.4 trillion, supported by increased securities and loan balances. Profitability metrics such as Return on Average Tangible Common Shareholders' Equity remained robust, reflecting effective operational management. Capital management remains a focus, with the company maintaining strong capital ratios that exceed regulatory minimums. The bank also continues to return capital to shareholders through dividends and share repurchases, demonstrating confidence in its financial health and future prospects. Investors should note the slight increase in provision for credit losses, primarily linked to the credit card portfolio amidst a dampened macroeconomic outlook, though overall asset quality appears stable.

Financial Highlights

34 data points
Beta

Revenue

$26.46B

Net Income

$7.12B

26.9% Net Margin

EPS (Diluted)

$0.89

Total Assets

$3.44T

Cash & Equivalents

$266.01B

Free Cash Flow

-$9.13B

Financial Statements
Beta
Revenue$26.46B
Net Income$7.12B
EPS (Basic)$0.90
EPS (Diluted)$0.89
Shares Outstanding (Basic)7.58B
Shares Outstanding (Diluted)7.65B

Key Highlights

  • 1Net income of $7.1 billion, an increase from $6.9 billion in the prior year's second quarter.
  • 2Diluted earnings per share of $0.89, up from $0.83 in the prior year's second quarter.
  • 3Total revenue, net of interest expense, increased to $26.5 billion from $25.4 billion.
  • 4Net interest income rose to $14.7 billion, benefiting from higher deposit and loan growth.
  • 5Strong capital position with Common Equity Tier 1 (CET1) ratio of 11.5% under the Standardized approach.
  • 6Quarterly common stock dividend increased by eight percent to $0.28 per share.
  • 7Total assets grew to $3.4 trillion, up from $3.3 trillion at the end of 2024.

Frequently Asked Questions

Net interest income increased by $968 million to $14.7 billion for the three months ended June 30, 2025, compared to the same period in 2024. This increase was primarily driven by fixed-asset repricing, higher net interest income related to Global Markets activity, and deposit and loan growth, partially offset by the impact of lower interest rates.

Noninterest income increased by $118 million to $11.8 billion. Significant drivers included higher investment and brokerage services revenue, largely due to increased asset management fees and higher brokerage transactional volume, and increased service charges, primarily from higher treasury service charges.

Bank of America maintained a strong capital position. As of June 30, 2025, its Common Equity Tier 1 (CET1) capital ratio was 11.5% under the Standardized approach, exceeding its minimum requirement of 10.7%. The company's Stress Capital Buffer (SCB) is expected to be 2.5%, resulting in a CET1 minimum requirement of 10.0% effective October 1, 2025.

The provision for credit losses increased to $1.6 billion for the quarter, driven primarily by the credit card portfolio amidst a dampened macroeconomic outlook. However, this was partially offset by improved asset quality in other areas.