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Spencer Platt | Getty Images
People walk into a Wells Fargo bank branch on October 13, 2017 in New York City.
Net profit was $ 6 billion for the quarter, up 33% from the same quarter last year.
Wells Fargo is working on cost reduction. In September, he announced his intention to reduce his workforce by 5% to 10% over the next three years as part of an ongoing recovery plan. Wells employs 265,000 people. He added that the change in consumer behavior, including a preference for digital self-service options, is the reason for these cuts.
In a statement released on Friday, John Shrewsberry, Wells Fargo's CFO, said, "We have seen positive commercial trends in the third quarter, including a growth in the number of customers conducting first-level controls, increased use of credit cards and debit, and an increase in credits contracted each year, small businesses, home equity and loans and personal lines. "
Major chequing account customers increased 1.7% over the previous year. But mortgage activity has declined, as loan applications and creations have both declined compared to the second quarter. Car loans grew 10% over the third quarter of last year and small business loans by 28%.
Wells said its net interest margin was 2.94%, down from 2.93% in the second quarter. With rising interest rates, banks could expect to earn more money through loans. Net interest income in the quarter increased 9% over the previous year.
A regulatory enforcement action means that it will not be able to grow significantly until it has regained its place after multiple scandals involving business practices. Wells did not meet Wall Street's expectations for the second quarter, as the business and net income of the three business segments of the bank declined compared to the same period the year before. 39, last year.
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