Bank of America reported an increase of 40% in net income to $4.9 billion in the first quarter, up from $3.5 billion last year.

Earnings per share came in at $0.41, an increase of 46% from last year’s $0.28 per share. Revenue also increased 7% to $22.2 billion, up from last year’s $20.8 billion, while net interest income increased 5% annually to $11.1 billion. This increase was driven by rising interest rates and growth in loans and deposits.

However, noninterest income decreased slightly in the consumer banking sector due primarily to lower mortgage banking income and the lack of divestiture increases. Noninterest income for consumer banking slipped to $2.5 million, down from $2.6 million last quarter and $2.53 million last year.

The bank also saw a decline in non-core mortgage servicing costs, bringing down noninterest expense to $2.2 million, down from $2.4 million last year but still up from $954,000 last quarter.

“We saw good client activity in our balanced portfolio of businesses: consumer spending was up, our wealth management business had strong asset management flows, investment banking fees rebounded nicely, and we continued to provide credit and capital to our corporate and institutional clients to help them drive the economy forward,” Bank of America CEO Brian Moynihan said. “The U.S. economy continues to show consumer and business optimism, and our results reflect that.”

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