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NewsBreak: Bank of America 3Q Earnings Hit by $2.1 Billion Writedown

Investing.com -- Bank of America's (NYSE:BAC) profit fell in the third quarter, hit by a $2.1 billion impairment charge to its merchant services joint venture. The charge darkened a set of earnings that were otherwise ahead of expectations, with underlying revenue rising in both the commercial and the investment banking divisions, along with a 7% gain in retail loans.

"Our client activity, the expansion of our client base, and our ability to gain market share across most of our businesses in the quarter, all reflect responsible growth," chief executive Brian Moynihan said in a statement.

Key points:

• Earnings per share (diluted) 56c vs 66c in 3Q 2018

• Revenue $22.8 billion vs $22.7 billion in 3Q 2018

• Provision for credit losses $779 million

• Global market revenue down fractionally from a 3Q 2018 baseline inflated by the sale of an equity investment

• Sales and trading revenue up 7% vs 3Q 2018, equities up 13%; fixed-income, currency and commodities flat

• Net income at consumer bank up 5% to $3.3 billion on 7% loan growth

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