BB&T Corporation reported earnings for 2016 that set a record year for the bank, and increased significantly in the fourth quarter.
Net income increased 17.9% in the fourth quarter to $592 million, up from the fourth quarter of 2015’s $502 million. However, it is down from the third quarter’s $599 million.
Diluted earnings per common share increased to $0.72 per share, up from last year’s $0.64 but down slightly from the third quarter’s $0.73 per share.
Net interest income also increased from last year’s $1.015 billion to $1.162 billion in the fourth quarter. This is down slightly from the third quarter’s $1.164 billion.
However, the annual growth was not due to residential mortgage loans, which decreased 4.1% from 2015.
The company’s CEO explained the recent increase in interest rates actually worked against the bank’s earnings.
“We are pleased to report strong earnings for the fourth quarter,” BB&T Chairman and CEO Kelly King said. “While higher interest rates created $34 million in pre-tax charges, revenue growth was strong, expense control was solid and we are well-positioned for future interest rate increases.”