At Wells Fargo, profit takes off but so do bad loans

A surge in mortgage originations helped Wells Fargo (WFC) post second-quarter profit that was 81 percent higher than a year ago. At the same time, delinquencies in its massive portfolio of existing loans climbed rapidly, the company said [pdf].

Wells Fargo reported profit of $3.17 billion, or 57 cents a share, compared with $1.75 billion during the same period a year earlier. That outpaced analysts' projections for net income of 34 cents a share. But commercial real estate loans, residential mortgages and consumer and business loans no longer accruing interest rose 45 percent, sending the company's shares down sharply in early trading.
Read Full Story

Markets

NASDAQ 6,629.05 23.99 0.36%
S&P 500 2,575.21 13.11 0.51%
DJIA 23,328.63 165.59 0.71%
NIKKEI 225 21,457.64 9.12 0.04%
HANG SENG 28,487.24 328.15 1.17%
DAX 12,991.28 1.18 0.01%
USD (per EUR) 1.18 -0.01 -0.53%
USD (per CHF) 0.98 0.01 0.81%
JPY (per USD) 113.49 0.83 0.73%
GBP (per USD) 1.32 0.00 0.32%

Can't get enough business news?

Sign up for Finance Report by AOL and get everything from retailer news to the latest IPOs delivered directly to your inbox daily!

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.