How is the credit quality trending?

Credit quality remained stable. The provision for credit losses was $1.4 billion, down from $1.6 billion a year ago and flat versus Q1 2026. Net charge-offs were $1.4 billion, with the net charge-off ratio at 0.47%, down 8 bps YoY. The credit card charge-off rate improved to 3.55% from 3.82%, and nonperforming loans declined to $5.8 billion. Commercial criticized exposure also fell materially.

How strong is the bank's capital position?

The preliminary Standardized CET1 ratio was 11.2%, stable versus Q1 2026 and down from 11.5% a year earlier. The Advanced approaches CET1 ratio was 12.5%. The Corporation returned $8.0 billion to shareholders in the quarter, including $2.0 billion in dividends and $6.0 billion in buybacks. Common shares outstanding fell to 7.02 billion from 7.44 billion a year earlier.

Are there any risks or sensitivities investors should note?

The filing notes that NII is sensitive to interest rates. A parallel shift of +100 bps would add about $1.0 billion to 12-month NII, while a -100 bps shift would reduce it by about $2.2 billion. Net interest income also depends heavily on Global Markets activity. Forward-looking risks include litigation, regulatory actions, geopolitical developments, and cybersecurity, as detailed in the cautionary statements and Item 1A of the 2025 Form 10-K.

Are the financial results in this filing final and audited?

Not entirely. The Corporation states that current-period information is preliminary and based on data available at the time of the presentation. Regulatory capital ratios at June 30, 2026, are explicitly preliminary. The results are also unaudited. The Corporation disclaims any obligation to update the information. Exhibits 99.2 and 99.3 are furnished rather than filed, so they are not subject to Section 18 liability.

BAC 8-K: Earnings & Results & Regulation FD

Q: What drove the increase in Bank of America's second-quarter 2026 earnings?

Earnings growth was broad-based. Revenue rose 15% to $31.6 billion, driven by higher NII (up 9%), sales and trading revenue (up 33%), asset management fees (up 19%), and investment banking fees (up 50%). Expense growth of 8% was well below revenue growth, producing 6.6% operating leverage. Lower provisions also contributed.

01—Abstract

Summary

Summary of the 8-K filed July 14, 2026. Cited figures are marked; the original filing is the authoritative source.

Bank of America reported strong second-quarter 2026 results, with net income of $9.1 billion^a, up 27% year over year, and diluted EPS of $1.21, up 34%.

Revenue, net of interest expense, rose 15% to $31.6 billion^b, led by higher net interest income (up 9% to $16.0 billion), sales and trading revenue (up 33%), asset management fees (up 19%), and investment banking fees (up 50% excluding self-led deals). Every business segment grew net income by double digits. Operating leverage was 6.6% and the efficiency ratio improved about 360 basis points to 59%, while noninterest expense rose 8% to $18.6 billion.

Credit quality remained stable. The provision for credit losses was $1.4 billion^c, down from $1.6 billion a year earlier and flat sequentially. Net charge-offs were $1.4 billion, and the net charge-off ratio was 0.47%.

Nonperforming loans fell to $5.8 billion^d. Average deposits grew more than 2% to $2.02 trillion, and average loans rose 8% to $1.22 trillion. Capital remained strong, with a CET1 ratio of 11.2% (Standardized, preliminary) and $8.0 billion returned to shareholders, including $6.0 billion of buybacks.

Book value per share rose 7% to $39.34. The filing is an 8-K furnishing the earnings press release (Exhibit 99.1, filed), along with presentation materials and supplemental information (Exhibits 99.2 and 99.3, furnished).

Management highlighted strong near-term pipelines and rising commercial borrowing. Interest rate sensitivity shows NII of +$1.0 billion for a +100 bps parallel shift and -$2.2 billion for a -100 bps shift over 12 months.

02—Key points

Key Highlights

Net income of $9.1 billion (+27% YoY) and diluted EPS of $1.21 (+34% YoY); ROTCE of 17.0% and ROE of 12.7%.
Revenue of $31.6 billion (+15% YoY) with NII up 9% to $16.0 billion and noninterest income up 22% to $15.6 billion.
Global Markets revenue rose 34% to $8.0 billion, with equities up 70% to $3.6 billion and FICC up 9% to $3.5 billion. Global Banking investment banking fees (excluding self-led) rose 50% to $2.1 billion.
Operating leverage of 6.6% and efficiency ratio improved 359 bps to 59%, though noninterest expense rose 8% to $18.6 billion.
Credit quality stable: provision of $1.4 billion (down from $1.6 billion YoY), net charge-off ratio of 0.47%, and nonperforming loans down to $5.8 billion.
Strong balance sheet: average loans up 8% to $1.22 trillion, average deposits up 2% to $2.02 trillion, CET1 ratio of 11.2%, and $8.0 billion returned to shareholders.
Book value per share up 7% to $39.34 and tangible book value per share up 7% to $29.37.

03—Questions

Frequently Asked Questions

What drove the increase in Bank of America's second-quarter 2026 earnings?
Earnings growth was broad-based. Revenue rose 15% to $31.6 billion, driven by higher NII (up 9%), sales and trading revenue (up 33%), asset management fees (up 19%), and investment banking fees (up 50%). Expense growth of 8% was well below revenue growth, producing 6.6% operating leverage. Lower provisions also contributed.
How is the credit quality trending?
Credit quality remained stable. The provision for credit losses was $1.4 billion, down from $1.6 billion a year ago and flat versus Q1 2026. Net charge-offs were $1.4 billion, with the net charge-off ratio at 0.47%, down 8 bps YoY. The credit card charge-off rate improved to 3.55% from 3.82%, and nonperforming loans declined to $5.8 billion. Commercial criticized exposure also fell materially.
How strong is the bank's capital position?
The preliminary Standardized CET1 ratio was 11.2%, stable versus Q1 2026 and down from 11.5% a year earlier. The Advanced approaches CET1 ratio was 12.5%. The Corporation returned $8.0 billion to shareholders in the quarter, including $2.0 billion in dividends and $6.0 billion in buybacks. Common shares outstanding fell to 7.02 billion from 7.44 billion a year earlier.
Are there any risks or sensitivities investors should note?
The filing notes that NII is sensitive to interest rates. A parallel shift of +100 bps would add about $1.0 billion to 12-month NII, while a -100 bps shift would reduce it by about $2.2 billion. Net interest income also depends heavily on Global Markets activity. Forward-looking risks include litigation, regulatory actions, geopolitical developments, and cybersecurity, as detailed in the cautionary statements and Item 1A of the 2025 Form 10-K.
Are the financial results in this filing final and audited?
Not entirely. The Corporation states that current-period information is preliminary and based on data available at the time of the presentation. Regulatory capital ratios at June 30, 2026, are explicitly preliminary. The results are also unaudited. The Corporation disclaims any obligation to update the information. Exhibits 99.2 and 99.3 are furnished rather than filed, so they are not subject to Section 18 liability.

04—Continue

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