New York, NY – Bank of America reported strong first-quarter results on Tuesday, exceeding analysts’ expectations for profit and revenue. The bank’s profit surged by 11% to $7.4 billion, or 90 cents a share, while revenue rose by 5.9% to $27.51 billion. These gains were primarily driven by robust net interest income and trading revenue.

Net interest income, which represents the difference between what a bank pays depositors and earns on loans and investments, soared to $14.6 billion in the quarter, surpassing estimates. Lower deposit costs and higher-yielding investments contributed to the growth in NII, according to Bank of America.

CEO Brian Moynihan expressed optimism about the company’s performance amidst a potentially changing economy. He credited the disciplined investments in high-quality growth and the diverse set of businesses for their success. Shares of the firm rose by 2.2% in premarket trading following the earnings report.

Equities trading revenue surged by 17% to $2.2 billion, slightly above estimates, while fixed income revenue increased by 5% to $3.5 billion. However, investment banking fees slipped by 3% to $1.5 billion, missing estimates due to an industry-wide slowdown caused by trade uncertainty.

The provision for loan losses, a key metric watched by investors preparing for a possible recession, came in better than expected at $1.5 billion, compared to the estimated $1.58 billion. The bank’s stock has faced a significant decline this year amid concerns over President Donald Trump’s tariff policies potentially leading to a recession.

Overall, Bank of America’s strong performance in the first quarter reflects the resilience of business clients and consumers, who continue to spend and maintain healthy credit quality. The company’s strategic investments for quality growth and focus on responsible practices position them well for future challenges in the economy.