SunTrust’s reported that its earnings increased to $47 million, or 84 cents a share, up from $429 million or 78 cents a share from the first quarter of 2015, and it’s revenue rose 5.4% to $2.1 billion.
Analysts projected 75 cents per share profit on $2.03 billion in revenue, according to Thomson Reuters for an article by Austen Hufford for the Wall Street Journal.
From the article:
SunTrust, which operates about 1,400 branches across southern and mid-Atlantic states, has had a more cautious outlook in recent quarters than many of its peers and has predicted lower-for-longer interest rates.
Noninterest expenses grew 3% in the first quarter, to $1.28 billion due to due to higher marketing and outside processing costs.
The company set aside $101 million in the first quarter, an increase from $50 million of the fourth quarter of 2015 and $46 million from the prior year, according to the article.
The bank also rode higher revenue from mortgage servicing, which runs in contrast to some of the nation's largest nonbank mortgage servicers.
According to SunTrust's earnings statement, its mortgage production income for the current quarter was
Mortgage servicing income was