Truist Sees Solid Earnings in First Quarter
In its first full quarter since it was formed in the merger of SunTrust and BB&T, Truist Financial (NYSE: TFC) reported $986 million of net income, a 31% increase compared to what the two banks reported individually in the first quarter of 2019. Revenue was $5.6 billion, up from $2.9 billion.
Truist's diluted earnings per share (EPS) was $0.73, a 24.7% decrease. The figure was dragged down by merger-related expenses and a spike in the provision for credit losses.
The bank's provision of credit loss in the first quarter was $893 million, up from $171 million for the prior year's quarter. The provision of credit losses is due to the recognition of an economic downturn and an increase in loans due to the COVID-19 pandemic.
Source Fool.com
