Wells Fargo’s Profit Up 13 percent; Revenue Slips
Wells Fargo & Co. says its third-quarter profit jumped 13 percent as a decline in revenue from mortgage lending was offset by reduced expenses and fewer soured loans.
The biggest U.S. mortgage lender reported Friday that its net income increased to $5.6 billion in the July-September period from $4.9 billion a year earlier. On a per-share basis, earnings were 99 cents, beating the 97 cents forecast by Wall Street.
Third-quarter revenue dipped to $20.5 billion from $21.2 billion, coming in below the analysts’ forecast of $21.1 billion. Interest rates on U.S. mortgages rose sharply in the spring and summer, and that had an impact on Wells Fargo’s mortgage business.
The San Francisco-based bank controls nearly a third of the U.S. mortgage market.
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