Bank of America Q2 2026 Earnings Call Transcript

Bank of America (NYSE: BAC ) released second-quarter financial results and hosted an earnings call on Tuesday. Read the complete transcript below. APIs provide real-time access to earnings call transcripts and financial data. Visit to learn more.

1 billion. 6% and its efficiency ratio was 59%, with return on tangible common equity at 17%. Broad-based revenue growth was driven by net interest income, investment banking, wealth management fees, and sales and trading revenue. 2%.

Boeing highlighted ongoing AI investments, with over 300 AI use cases approved, enhancing productivity and client service. 2% for 2026 and continued strong consumer spending. Operating expenses increased due to investments in technology and market activity, but the company maintained strong operating leverage. Boeing reiterated its full-year NII growth guidance at the upper end of the 6 to 8% range, supported by loan and deposit growth.

Credit quality remains stable, with consistent underwriting discipline and a decrease in criticized commercial exposures. Full Transcript OPERATOR Hello and welcome everyone joining today's Bank of America earnings announcement. At this time all participants are in a listen-only mode. Later, you will have the opportunity to ask questions during the question and answer session.

To register to ask a question at any time, please press star 1 on your telephone keypad. Please note this call is being recorded. We are standing by if you should need any assistance. It is now my pleasure to turn the meeting over to Lee McIntyre, Bank of America.

Please go ahead. Lee McIntyre Thank you. Good morning everyone and thank you for joining us to talk through our second quarter results in what is a busy bank earnings day. com and we'll reference those materials during the call.

Before we begin, a quick reminder that during the call we may make forward-looking statements and refer to non-GAAP financial measures. These measures reflect management's current views and are subject to risks and uncertainties which are outlined along with the relevant GAAP reconciliations in our earnings materials and our SEC filings on our website. With that, I'll turn the call over to Brian Moynihan, our CEO. Brian Moynihan (Chief Executive Officer) Good morning and thank you for joining us.

Once again our team delivered strong second quarter results, extending our momentum of the past several quarters. 6 billion. 1 billion, up 27% from last year. 21 a share.

Our results show organic growth, operating leverage and efficiency ratio improvement in every business segment. Along the bottom of slide 2 you can see the progress against several of our key financial metrics for the firm. 6% operating leverage and our efficiency ratio improved to 59%. We generated return on tangible common equity of 17%.

In short, organic growth was broad based and coupled with operating leverage which translated into stronger returns on both equity and assets. Slide 3 shows the contributions and growth of each business segment. Every business segment contributed to our year over year growth. Average deposits and loan balances continue to grow supported by healthy client engagement.

Revenue and net income increased in every business segment. Each segment generated operating leverage, each segment improved its efficiency ratio and each segment demonstrated the benefits of its scale. Together, those results drive stronger returns across the company. Let me touch on a few earnings highlights from slide four, starting with revenue.

Revenue growth was broad based led by NII investment banking, wealth management fees and sales and trading revenue. First, net interest income. It continued to perform well on an FTE basis. 2 billion up 9% over last year's second quarter.

This is driven by the strength of our core lending and deposit gathering franchises. It also includes our lending and our global markets business and the impact thereof. We also have added the benefit of ongoing repricing with lower yielding assets and a repayment of higher cost funding. Second, our fee based businesses delivered exceptional results translating into 22% non interest income growth.

Wealth management, investment banking and markets all benefited from healthy client activity and favorable capital markets conditions. Merrill and private bank advisors drove the 18% growth in investment brokerage fees. 2 billion in revenue up 33%. Third, we manage costs while we continue to invest in a franchise, our brand, our people, our technology and our AI enabled productivity.

Asset quality also remains stable and consistent with a strong underwriting discipline has characterized our company for many years. Finally, capital generation and capital returns to investors remain strong. We returned $8 billion to you through dividends and share repurchases this quarter. 2%.

The economic backdrop remains very constructive as slide 5 illustrates. Last week our res