Bank of America and Citi Report Higher NII, Reiterate Outlook

Bank of America and Citi Report Higher NII, Reiterate Outlook

Citi and Bank of America posted first-quarter net interest income of $14 billion and $14.4 billion, respectively. (Bank of America’s NII on a fully taxable equivalent basis was $14.6 billion.) Each reflected an increase from the prior year. Both firms left their outlooks unchanged in an encouraging sign for investors as the economic outlook weakens.

NII is closely watched in the banking sector because it’s a significant revenue driver. It refers to the difference between what banks make from important interest-bearing assets, like mortgages and loans, and what they pay out to customers.

Wall Street expected $14.49 billion of NII for the quarter at BofA, according to data compiled by FactSet, and $13.56 billion at Citi.