How did Bank of America's first-quarter 2026 earnings compare with a year earlier?

Net income rose 17% to $8.6 billion from $7.4 billion, and diluted EPS rose 25% to $1.11 from $0.89. The growth reflected revenue up 7% to $30.3 billion and a lower provision for credit losses, partly offset by 4% higher noninterest expense.

What drove the revenue growth?

Net interest income increased 9% to $15.7 billion, aided by higher Global Markets-related NII, deposit and loan growth, and fixed-rate asset repricing, partly offset by lower rates. Sales and trading revenue rose 13%, asset management fees rose 15%, and investment banking fees (excluding self-led deals) rose 21%.

Is the credit outlook deteriorating?

The data show stable credit. The provision fell year over year to $1.3 billion, and NPLs declined to $5.8 billion. The net charge-off ratio of 0.48% is up sequentially from 0.44% in 4Q25, largely because of seasonal credit card losses, but it is 6 bps better than a year ago. Credit card charge-off rates also improved year over year.

What are the main risks or watch items highlighted in the filing?

The filing's forward-looking statements cite interest rate and macroeconomic uncertainty, trade policy and tariffs, geopolitical events, litigation and regulatory actions, cybersecurity, and private credit market stress. The presentation also notes that a 100 bps parallel decline in rates would reduce net interest income by about $2.0 billion over 12 months, and that shrinking CET1 capital from buybacks is a factor to monitor.

BAC 8-K: Earnings & Results & Regulation FD

Q: How strong is the capital position, and what is the capital return?

The preliminary standardized CET1 ratio was 11.2%, down from 11.8% a year earlier and 11.4% in 4Q25, and it remains well above the regulatory minimum. The company returned $9.3 billion to shareholders in the quarter, including about $2.0 billion in common dividends and $7.2 billion in share repurchases. Tangible book value per share rose 7% to $28.84.

01—Abstract

Summary

Summary of the 8-K filed April 15, 2026. Cited figures are marked; the original filing is the authoritative source.

Bank of America reported first-quarter 2026 net income of $8.6 billion^a, or $1.11 per diluted share, up 17% in net income and 25% in diluted EPS year over year (1Q25: $7.4 billion, $0.89).

Total revenue, net of interest expense, rose 7% to $30.3 billion^b, led by net interest income of $15.7 billion (up 9%), sales and trading revenue (up 13%), asset management fees (up 15%) and investment banking fees (up 21% excluding self-led deals). Noninterest expense grew 4% to $18.5 billion, producing 2.9% operating leverage and an efficiency ratio of 61%, roughly 170 bps better than a year ago. Returns improved, with ROE of 12.0%, ROTCE of 16.0% and ROA of 0.99%.

Credit quality remained stable. The provision for credit losses fell to $1.3 billion^c from $1.5 billion, and net charge-offs were $1.4 billion, or a 0.48% ratio, which is 6 bps better than a year ago but up sequentially on seasonal credit card losses. Nonperforming loans were $5.8 billion, and the allowance for loan and lease losses covered 1.09% of loans.

Balance sheet growth was broad: average deposits reached $2.02 trillion^d (up 3%, the 11th straight quarter of sequential growth) and average loans rose 9% to $1.19 trillion. Capital remained strong, with a standardized CET1 ratio of 11.2% (down from 11.8% a year earlier and 11.4% in 4Q25, preliminary). The company returned $9.3 billion to shareholders, including $7.2 billion in buybacks, and book value per share rose 7% to $38.66.

For investors, the key takeaways are solid earnings momentum driven by revenue growth outpacing expense growth, strong client activity in markets and wealth management, and a stable credit outlook. The main watch items are the gradual decline in the CET1 ratio as buybacks continue, and the sensitivity of net interest income to rate cuts. Management described the economy as resilient, while noting that it remains watchful of evolving risks.

02—Key points

Key Highlights

Net income of $8.6 billion (up 17% YoY) and diluted EPS of $1.11 (up 25% YoY), with ROTCE of 16.0% and ROE of 12.0%.
Revenue of $30.3 billion (up 7% YoY) with net interest income of $15.7 billion (up 9%) and 2.9% operating leverage; efficiency ratio improved about 170 bps to 61%.
Global Markets sales and trading revenue of $6.4 billion (up 13%), with equities up 30% to $2.8 billion and FICC up 2% to $3.5 billion.
Global Wealth & Investment Management revenue of $6.7 billion (up 12%), driven by asset management fees up 15% to $4.2 billion; client balances reached $4.6 trillion.
Credit quality stable: provision for credit losses of $1.3 billion (down from $1.5 billion), net charge-off ratio of 0.48% (down 6 bps YoY), and NPLs of $5.8 billion (down $252 million YoY).
Average deposits of $2.02 trillion (up 3%) and average loans of $1.19 trillion (up 9%), with growth across every business segment.
Capital returned of $9.3 billion in the quarter, including about $7.2 billion in buybacks; CET1 ratio of 11.2% (preliminary) remains well above regulatory minimums but declined from 11.4% in 4Q25.

03—Questions

Frequently Asked Questions

How did Bank of America's first-quarter 2026 earnings compare with a year earlier?
Net income rose 17% to $8.6 billion from $7.4 billion, and diluted EPS rose 25% to $1.11 from $0.89. The growth reflected revenue up 7% to $30.3 billion and a lower provision for credit losses, partly offset by 4% higher noninterest expense.
What drove the revenue growth?
Net interest income increased 9% to $15.7 billion, aided by higher Global Markets-related NII, deposit and loan growth, and fixed-rate asset repricing, partly offset by lower rates. Sales and trading revenue rose 13%, asset management fees rose 15%, and investment banking fees (excluding self-led deals) rose 21%.
Is the credit outlook deteriorating?
The data show stable credit. The provision fell year over year to $1.3 billion, and NPLs declined to $5.8 billion. The net charge-off ratio of 0.48% is up sequentially from 0.44% in 4Q25, largely because of seasonal credit card losses, but it is 6 bps better than a year ago. Credit card charge-off rates also improved year over year.
How strong is the capital position, and what is the capital return?
The preliminary standardized CET1 ratio was 11.2%, down from 11.8% a year earlier and 11.4% in 4Q25, and it remains well above the regulatory minimum. The company returned $9.3 billion to shareholders in the quarter, including about $2.0 billion in common dividends and $7.2 billion in share repurchases. Tangible book value per share rose 7% to $28.84.
What are the main risks or watch items highlighted in the filing?
The filing's forward-looking statements cite interest rate and macroeconomic uncertainty, trade policy and tariffs, geopolitical events, litigation and regulatory actions, cybersecurity, and private credit market stress. The presentation also notes that a 100 bps parallel decline in rates would reduce net interest income by about $2.0 billion over 12 months, and that shrinking CET1 capital from buybacks is a factor to monitor.

04—Continue

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