Wells Fargo Reports $4.6B in Income for Q3/2019

Wells Fargo reported its financial results for the third quarter of 2019. Net income for the quarter was $4.6 billion, compared with $6.0 billion in third quarter 2018.

Other highlights from the quarter included:

• Diluted earnings per share (EPS) of $0.92, compared with $1.13

_x000D_

• Third quarter 2019 included a $1.6 billion, or $(0.35) per share, discrete litigation accrual (not tax-deductible) for previously disclosed retail sales practices matters, and a $1.1 billion, or $0.20 per share, gain from the previously announced sale of the Institutional Retirement and Trust (IRT) business

_x000D_

• Revenue of $22.0 billion, up from $21.9 billion

_x000D_

• Net interest income of $11.6 billion, down $947 million

_x000D_

• Non-interest income of $10.4 billion, up $1.0 billion

_x000D_

• Non-interest expense of $15.2 billion, up $1.4 billion

_x000D_

• Average deposits of $1.3 trillion, up $25.0 billion

_x000D_

• Average loans of $949.8 billion, up $10.3 billion

_x000D_

• Provision expense of $695 million, up $115 million from third quarter 2018

_x000D_

• Net charge-offs of $645 million, down $35 million

_x000D_

• Net charge-offs of 0.27% of average loans (annualized), down from 0.29%

_x000D_

• Reserve build of $50 million, compared with a $100 million reserve release in third quarter 2018

_x000D_

• Non-accrual loans of $5.5 billion, down $1.2 billion, or 17%

_x000D_

• Strong capital position while returning more capital to shareholders:

_x000D_

• Common equity tier 1 ratio (fully phased-in) of 11.6%2

_x000D_

• Returned $9.0 billion to shareholders through common stock dividends and net share repurchases, up 2% from $8.9 billion in third quarter 2018

_x000D_

• Quarterly common stock dividend of $0.51 per share, up 19% from $0.43 per share

_x000D_

• Period-end common shares outstanding down 442.4 million shares, or 9%

_x000D_