SunTrust Banks in Atlanta reported higher quarterly profit because of lower expenses and growth in most loan categories.
Net income at the $191 billion-asset company rose 24% from a year earlier, to $467 million, or 91 cents a share. The results included 3 cents per share tied to discrete tax benefits.
Total revenue rose 0.1%, to about $2 billion.
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At least five regional banks on Thursday discarded concerns about the global economy, stocks, interest rates and credit quality, forecasting loan growth for the rest of this year.
January 21 -
BB&T in Winston-Salem, N.C., posted lower quarterly results that largely reflected lower fee income and costs tied to recent acquisitions.
January 21 - Georgia
SunTrust Banks has promoted its Atlanta market leader to a new position in wholesale banking and has named its first woman executive to lead the Atlanta market.
October 23
Net interest, income after the loan-loss provision, increased 5%, to $1.2 billion. Total loans held for investment rose 3%, to $136 billion, while the net interest margin widened by 2 basis points, to 2.98%. The provision fell by 31%, to $51 million.
SunTrust's nonperforming loans rose 6%, to $672 million, after the company downgraded certain energy sector loans. Nonperforming loans comprised 0.49% of total loans, up slightly from a year earlier.
Fee income fell 4%, to $765 million, because of lower wealth-management revenue, mortgage-origination income and a decline in asset disposition gains.
Noninterest expense fell 9%, to $1.3 billion, though the fourth quarter of 2014 included a $145 million legal provision. The efficiency ratio improved by 604 basis points, to 62.96%.
