Wells Fargo reports strong Q4 earnings, beats analyst estimates
BUSINESS RECORD STAFF Jan 14, 2022 | 4:33 pm
1 min read time188 wordsAll Latest News, Banking & Finance
Wells Fargo & Co. today posted quarterly revenue that exceeded analysts’ expectations and reported a significant jump in profit, CNBC reported. Shares of the bank climbed about 2% following the earnings announcement. Net income for the fourth quarter was $5.75 billion, an 86% increase from $3.09 billion a year ago. Results were helped by an $875 million reserve release that the bank had set aside during the pandemic to safeguard against widespread loan losses. Full-year 2021 earnings were $21.5 billion, compared with $3.4 billion for calendar year 2020. “As the economy continued to recover we saw increased consumer spending, higher investment banking fees, higher asset-based fees in our Wealth and Investment Management business, and strong equity gains in our affiliated venture capital and private equity businesses,” Wells Fargo CEO Charlie Scharf said in a statement. Scharf also noted that after starting the year weak, lending began to pick up in the second half of 2021 with 5% growth in loans from its consumer and commercial portfolios in the final six months. Wells Fargo is the fourth-largest U.S. bank by assets and one of Greater Des Moines’ largest employers.