Wells Fargo & Company, the fifth-largest US bank, reported record 9% increase in profit during the second quarter of 2006.
The San Francisco-based bank revealed a record net income for the period of April to June 2005 of $2.09 billion, up 9% from $1.91 billion the previous year, and up 14% from the previous quarter.
The group also gained a record amount of revenue, $8.79 billion, up 12% from the previous year. Earnings per share were up 10% to $1.23, compared to $1.12 on the previous year.
The lender’s revenue was slightly reduced after the bank sold off some adjustable rate mortgages and debt securities at a $250 million loss during the quarter, compared with negligible gains on the sale of debt securities during the same quarter in 2005, the Associated Press has reported.
As good as these results are, it’s important to step back and view them as part of a long track record of consistent success through many different economic and interest rate environments, said Dick Kovacevich, chairman and CEO at Wells Fargo.