Bank of America’s reported net income increased 40% to $4.9 billion before preferred stock dividends. Total revenue net of interest expense was $22.25 billion, up $1.46 billion from $20.79 billion a year earlier. EPS of $0.41 exceeded estimates by analysts of $0.35.

The following highlights were excerpted from the news release:

• Provision for credit losses $835 million in Q1/17 were down 16.2% from $997 million a year earlier. The bank noted the decrease was driven by improvements in the commercial portfolio, particularly energy.
• Noninterest income increased 9% to $11.2 billion from $10.3 billion, driven by higher sales and trading results and record Q1 investment banking fees.
• Average loan balances in business segments rose $44 billion, or 6%, to $819 billion.

Brian Moynihan, chief executive officer, said, “Our approach to responsible growth delivered strong results again this quarter. Revenue was up 7% and EPS grew 46%. We saw good client activity in our balanced portfolio of businesses: consumer spending was up, our wealth management business had strong asset management flows, investment banking fees rebounded nicely and we continued to provide credit and capital to our corporate and institutional clients. The U.S. economy continues to show consumer and business optimism, and our results reflect that.”