Wells Fargo on Friday reported first-quarter earnings and income that beat Wall Road expectations, regardless of a decline in web curiosity revenue.

This is how the corporate carried out in contrast with what Wall Road was anticipating, based mostly on a survey of analysts by LSEG, previously often known as Refinitiv:

• Earnings per share: $1.26 cents adjusted vs. $1.11 cents anticipated
• Income: $20.86 billion vs. $20.20 billion anticipated

Shares of Wells traded flat Friday following the earnings report.

Wells mentioned its web curiosity revenue, a key measure of what a financial institution makes on lending, decreased 8% within the quarter, because of the affect of upper rates of interest on funding prices and a shift by prospects to higher-yielding deposit merchandise.

Internet curiosity revenue for 2024 is anticipated to submit a decline within the 7% to 9% vary, unchanged from its prior steering.

The San Francisco-based financial institution noticed web revenue decline to $4.62 billion, or $1.20 per share, from $4.99 billion, or $1.23 per share, a 12 months earlier. Excluding a Federal Deposit Insurance coverage Corp. cost of $284 million, or 6 cents per share, tied to the financial institution failures in 2023, Wells mentioned it earned $1.26 per share, topping analyst estimates of $1.11 per share.

Income of $20.86 billion got here in above the $20.20 billion estimate.

“Our strong first quarter outcomes show the progress we proceed to make to enhance and diversify our monetary efficiency,” Wells CEO Charlie Scharf mentioned in a press release.

“The investments we’re making throughout the franchise contributed to increased income versus the fourth quarter as a rise in noninterest revenue greater than offset an anticipated decline in web curiosity revenue,” Scharf added.

For the newest interval, the financial institution put aside $938 million as provision for credit score losses. The financial institution mentioned the supply included a lower within the allowance for credit score losses, pushed by industrial actual property and auto loans.

Wells’ inventory is up greater than 15% 12 months to this point, beating the S&P 500’s 9% return.

The financial institution repurchased 112.5 million shares, or $6.1 billion, of widespread inventory in first quarter.