Fifth Third Bancorp Earnings: Profit Decreases

Wall St. Cheat Sheet

S&P 500 component Fifth Third Bancorp reported its results for the fourth quarter. Fifth Third Bancorp is a diversified financial services company which conducts its lending, deposit gathering, transaction processing and service advisory activities through its subsidiaries.

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Fifth Third Bancorp Earnings Cheat Sheet for the Fourth Quarter .

Results: Net income for the Midwest regional bank fell to $314 million (33 cents per share) vs. $333 million (33 cents per share) a year earlier. This is a decline of 5.7% from the year earlier quarter.

Actual vs. Wall St. Expectations: FITB fell short of the mean analyst estimate of 35 cents per share.

Quoting Management: “Fifth Third’s 2011 results clearly demonstrated continued improvement, with net income available to common shareholders more than doubling compared with last year,” said Kevin T. Kabat, president and CEO of Fifth Third Bancorp. “We’re growing our loan portfolio, credit trends continued to improve, and we continue to maintain a strong capital position.”

Key Stats:

The company fell short of forecasts after beating estimates in the previous two quarters. In the third quarter, it topped the mark by 7 cents, and in the second quarter, it was ahead by 7 cents.

Looking Forward: For next quarter, analysts have a more positive outlook about the company’s expected results. The average estimate for the first quarter of the next fiscal year is 34 cents per share, up from 32 cents ninety days ago. Over the past three months, the average estimate for the fiscal year has climbed from $1.30 per to share to $1.35.

Competitors to Watch: Huntington Bancshares Inc. , FirstMerit Corporation , Dearborn Bancorp, Inc. , Marshall & Ilsley Corp. , Wells Fargo & Company , Bank of America Corp. , PNC Financial Services , JPMorgan Chase & Co. , SunTrust Banks, Inc. , and PrivateBancorp, Inc. .

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(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)

To contact the reporter on this story: Derek Hoffman at staff.writers@wallstcheatsheet.com

To contact the editor responsible for this story: Damien Hoffman at editors@wallstcheatsheet.com

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