Bank of America reported total loan balances of $1.12 trillion for the fourth quarter, up 4.1% year-over-year. Commercial lending led the increase, rising 6.3% to $650 billion, as mid-market and large-corporate clients drew on credit facilities to support M&A activity and capital expenditures. By contrast, consumer loans grew a modest 1.2% to $470 billion, reflecting ongoing delinquency pressures in credit cards and auto loans. Net interest income for the quarter reached $14.8 billion, a 9% increase from Q4 a year ago, driven primarily by wider loan spreads in the commercial book.

EPS for the quarter came in at $1.10, beating consensus estimates by 15% and marking the eighth consecutive quarter of earnings upside. Revenue rose 8% year-over-year to $29.1 billion, supported by strength in the Global Banking and Markets division, which saw advisory fees climb 12% on the back of syndicated loan mandates and bond issuance. The net interest margin expanded by 12 basis points sequentially to 2.45%, reflecting both higher short-term rates and improved deposit pricing, although deposit betas remained elevated at 35%.

Management reinforced its plan to open 200 new retail branches in under-penetrated markets over the next 12 months, part of a broader local-presence strategy designed to boost cross-sell ratios and digital adoption. Wealth and investment management assets under control grew 7% to $1.05 trillion, underpinning fee revenues that now represent 18% of total noninterest income. The board approved a 5% dividend increase to $0.2625 per share and authorized an additional $5 billion share repurchase program, bringing total capital return capacity to $22 billion for fiscal year 2026.