SunTrust reports Q1 2015 solid earnings growth.
BANKING AND CREDIT NEWS-April 23, 2015-SunTrust reports Q1 2015 solid earnings growth
(C)2015 M2 COMMUNICATIONS http://www.m2.com
SunTrust Banks, Inc. (NYSE: STI) today reported a 7.0 percent per share increase in net income available to common shareholders over the first quarter 2014. Net income in the first quarter of 2015 was USD411 million, or USD0.78 per average common diluted share.
Earnings in the prior quarter were USD378 million, or USD0.72 per average common diluted share, and included a USD145 million legal provision expense related to legacy mortgage matters. Excluding the impact of this expense, adjusted earnings per share for the prior quarter were USD0.88.
Total revenues declined 2.0 percent compared to the prior quarter and the first quarter of 2014 due to a decline in net interest income.
Noninterest income increased 3.0 percent, both sequentially and compared to the first quarter of 2014, based largely on higher mortgage production-related income, as well as a gain realized upon the sale of legacy affordable housing properties during the current quarter.
Noninterest expense decreased USD130 million compared to the prior quarter, primarily driven by the impact of the USD145 million legal provision expense related to legacy mortgage matters in the prior quarter. Excluding this impact, noninterest expense increased USD15 million, as seasonally higher compensation and benefits expenses were partially offset by declines in other expense categories.
((Comments on this story may be sent to email@example.com))