The financial institute earned more from corporate loans and credit cards during the quarter.
Credit cards, which are one of the banks major expansion areas, were a positive segment for the back as fees increased by 12% to over $935 million.
The outstanding balances on credit cards were up by 16% to end the quarter at $31.3 billion, following its acquisition of Dillard’s Inc loan portfolio.
Industrial and commercial loans were up by 15% to end the quarter at $271.8 billion. A large amount came from an upswing in lending to financial institutions including loans amounting to $6.5 billion to finance the sale of the student loan portfolio of the bank to Navient Corp, which resulted in the bank earning $217 million during the quarter.
Net interest income, which is a measure of the banks overall profit resulting from lending, was higher by 3.5% to end the quarter at $11.2 billion compared to the same period one year ago.
The increase was thanks to loan growth and income resulting from trading assets and investments. Core loans increased by 8% compared to the fourth quarter one year ago.
Net income for shareholders of common stock was $5.38 billion equal to $1.02 a share for the three months ending December 31 and in line with analyst projections.
Wells Fargo, the biggest mortgage lender in the U.S. reported a drop of 4% in income out of that unit. The financial institute earned $44 billion during the quarter in home loans, a drop of 12% from the same period one year ago. It was a larger drop than JPMorgan Chase a rival reported on Wednesday.
Wells Fargo stock was down by 1.1% in midday trading on Wednesday. In 2014, the stock at Wells Fargo increased by 21%, triple the increase of KBW index, which consists of bank stocks.