The bank's operating efficiency remains under pressure, as evidenced by the efficiency ratio deteriorating to 61.2% in 2026Q1 from 35.1% in 2025Q4.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Net Interest Income | 61.4B | 60.1B | 56.06B | 56.93B | 52.46B | 42.93B | 43.36B | 48.89B | 48.16B | 45.24B | 41.1B | 38.96B | 40.78B | 42.27B | 40.66B | 44.62B | 51.52B | 47.11B | 45.36B | 34.44B | 34.59B | 30.74B | 27.96B | 21.46B | 20.92B | 20.29B | 18.35B | 18.24B | 18.3B | 18.43B | 16.95B |
| NII Growth % | 34.83% | 7.2% | -1.53% | 8.52% | 22.19% | -0.98% | -11.31% | 1.51% | 6.46% | 10.08% | 5.49% | -4.47% | -3.52% | 3.96% | -8.88% | -13.41% | 9.37% | 3.86% | 31.7% | -0.44% | 12.55% | 9.93% | 30.26% | 2.59% | 3.12% | 10.58% | 0.61% | -0.33% | -0.73% | 8.72% | 211.25% |
| Net Interest Margin % | 1.76% | 1.76% | 1.72% | 1.79% | 1.72% | 1.35% | 1.54% | 2.01% | 2.05% | 1.98% | 1.88% | 1.82% | 1.94% | 2.01% | 1.84% | 2.1% | 2.27% | 2.11% | 2.5% | 2.01% | 2.37% | 2.38% | 2.52% | 2.91% | 3.17% | 3.26% | 2.86% | 2.88% | 2.96% | 3.23% | 9.13% |
| Interest Income | 137.86B | 138.57B | 146.61B | 130.26B | 72.56B | 47.67B | 51.59B | 71.24B | 66.77B | 57.58B | 51.06B | 49.51B | 51.71B | 55.02B | 57.4B | 66.24B | 75.5B | 77.92B | 85.68B | 87.3B | 78.58B | 58.63B | 42.95B | 31.64B | 32.16B | 38.29B | 43.16B | 37.32B | 38.59B | 37.33B | 33.64B |
| Interest Expense | 76.46B | 78.47B | 90.55B | 73.33B | 20.1B | 4.74B | 8.22B | 22.34B | 18.61B | 12.34B | 9.96B | 10.55B | 10.94B | 12.76B | 16.74B | 21.62B | 23.97B | 30.81B | 40.32B | 52.86B | 43.99B | 27.89B | 14.99B | 10.18B | 11.24B | 18B | 24.82B | 19.09B | 20.29B | 18.9B | 16.68B |
| Loan Loss Provision | -12.08B | 5.67B | 5.82B | 4.39B | 2.54B | -4.59B | 11.32B | 3.59B | 3.28B | 3.4B | 3.6B | 3.16B | 2.27B | 3.56B | 8.17B | 13.41B | 28.43B | 48.57B | 26.82B | 8.38B | 5.01B | 4.01B | 2.77B | 2.84B | 3.7B | 4.29B | 2.54B | 1.82B | 2.92B | 1.9B | 1.65B |
| Non-Interest Income | 36.99B | 53B | 45.83B | 41.65B | 42.49B | 46.18B | 42.17B | 42.35B | 42.86B | 41.89B | 42.6B | 44.01B | 45.12B | 43.78B | 40.61B | 41.48B | 53.44B | 62.52B | 26.88B | 28.33B | 34.99B | 24.23B | 21.7B | 17.36B | 14.2B | 14.82B | 14.61B | 14.31B | 13.21B | 12.03B | 9.75B |
| Non-Interest Income % | 21.16% | 27.67% | 23.81% | 24.23% | 36.93% | 49.2% | 44.98% | 37.29% | 39.09% | 42.11% | 45.49% | 47.06% | 46.59% | 44.31% | 41.43% | 38.51% | 41.45% | 44.52% | 23.88% | 24.5% | 30.81% | 29.24% | 33.57% | 35.43% | 30.63% | 27.91% | 25.28% | 27.71% | 25.5% | 24.37% | 22.47% |
| Total Revenue | 174.85B | 191.57B | 192.43B | 171.91B | 115.05B | 93.85B | 93.75B | 113.59B | 109.63B | 99.47B | 93.66B | 93.51B | 96.83B | 98.8B | 98.01B | 107.71B | 128.93B | 140.44B | 112.57B | 115.63B | 113.58B | 82.85B | 64.66B | 49.01B | 46.36B | 53.12B | 57.77B | 51.63B | 51.79B | 49.36B | 43.39B |
| Revenue Growth % | -34.94% | -0.45% | 11.94% | 49.42% | 22.59% | 0.1% | -17.46% | 3.61% | 10.22% | 6.2% | 0.16% | -3.42% | -1.99% | 0.8% | -9.01% | -16.46% | -8.19% | 24.76% | -2.65% | 1.81% | 37.09% | 28.14% | 31.94% | 5.7% | -12.72% | -8.06% | 11.89% | -0.31% | 4.93% | 13.77% | 166.03% |
| Non-Interest Expense | 70.49B | 69.73B | 66.81B | 65.84B | 61.44B | 59.73B | 55.21B | 54.9B | 53.15B | 54.52B | 55.08B | 57.62B | 75.66B | 66.31B | 70.02B | 72.91B | 77.85B | 56.7B | 40.99B | 33.46B | 32.6B | 26.47B | 25.99B | 20.13B | 18.44B | 20.71B | 18.63B | 18.51B | 20.54B | 18B | 15.75B |
| Efficiency Ratio | 40.31% | 36.4% | 34.72% | 38.3% | 53.4% | 63.64% | 58.89% | 48.33% | 48.49% | 54.81% | 58.81% | 61.61% | 78.13% | 67.12% | 71.45% | 67.69% | 60.38% | 40.37% | 36.41% | 28.94% | 28.71% | 31.95% | 40.19% | 41.07% | 39.77% | 38.99% | 32.25% | 35.85% | 39.65% | 36.46% | 36.3% |
| Operating Income | 39.98B | 37.7B | 29.25B | 28.34B | 30.97B | 33.98B | 19B | 32.75B | 34.58B | 29.21B | 25.02B | 22.19B | 7.96B | 16.17B | 3.07B | -230M | -1.32B | 4.36B | 4.43B | 20.92B | 31.97B | 24.48B | 20.91B | 15.86B | 12.99B | 10.12B | 11.79B | 12.21B | 8.05B | 10.56B | 9.31B |
| Operating Margin % | 22.87% | 19.68% | 15.2% | 16.49% | 26.92% | 36.2% | 20.26% | 28.84% | 31.55% | 29.37% | 26.71% | 23.73% | 8.22% | 16.37% | 3.13% | -0.21% | -1.03% | 3.1% | 3.93% | 18.1% | 28.15% | 29.55% | 32.34% | 32.37% | 28.02% | 19.05% | 20.4% | 23.66% | 15.54% | 21.39% | 21.46% |
| Operating Income Growth % | - | 28.85% | 3.22% | -8.48% | -8.85% | 78.87% | -42.01% | -5.29% | 18.39% | 16.75% | 12.77% | 178.63% | -50.76% | 426.43% | 1435.65% | 82.62% | -130.34% | -1.54% | -78.84% | -34.56% | 30.61% | 17.08% | 31.82% | 22.09% | 28.41% | -14.18% | -3.5% | 51.78% | -23.76% | 13.37% | 211.3% |
| Pretax Income | 39.98B | 37.7B | 29.25B | 28.34B | 30.97B | 33.98B | 19B | 32.75B | 34.58B | 29.21B | 25.02B | 22.19B | 7.96B | 16.17B | 3.07B | -230M | -1.32B | 4.36B | 4.43B | 20.92B | 31.97B | 24.48B | 20.91B | 15.86B | 12.99B | 10.12B | 11.79B | 12.21B | 8.05B | 10.56B | 9.31B |
| Pretax Margin % | 22.87% | 19.68% | 15.2% | 16.49% | 26.92% | 36.2% | 20.26% | 28.84% | 31.55% | 29.37% | 26.71% | 23.73% | 8.22% | 16.37% | 3.13% | -0.21% | -1.03% | 3.1% | 3.93% | 18.1% | 28.15% | 29.55% | 32.34% | 32.37% | 28.02% | 19.05% | 20.4% | 23.66% | 15.54% | 21.39% | 21.46% |
| Income Tax | 8.29B | 7.19B | 2.12B | 1.83B | 3.44B | 2B | 1.1B | 5.32B | 6.44B | 10.98B | 7.2B | 6.28B | 2.44B | 4.74B | -1.12B | -1.68B | 915M | -1.92B | 420M | 5.94B | 10.84B | 8.02B | 6.96B | 5.05B | 3.74B | 3.33B | 4.27B | 4.33B | 2.88B | 4.01B | 3.5B |
| Effective Tax Rate % | 20.72% | 19.06% | 7.25% | 6.45% | 11.11% | 5.88% | 5.8% | 16.25% | 18.61% | 37.59% | 28.77% | 28.29% | 30.68% | 29.32% | -36.33% | 728.7% | -69.16% | -43.94% | 9.49% | 28.4% | 33.9% | 32.74% | 33.29% | 31.85% | 28.8% | 32.87% | 36.23% | 35.47% | 35.82% | 38.03% | 37.57% |
| Net Income | 31.7B | 30.51B | 27.13B | 26.52B | 27.53B | 31.98B | 17.89B | 27.43B | 28.15B | 18.23B | 17.82B | 15.91B | 5.52B | 11.43B | 4.19B | 1.45B | -2.24B | 6.28B | 4.01B | 14.98B | 21.13B | 16.46B | 13.95B | 10.81B | 9.25B | 6.79B | 7.52B | 7.88B | 5.17B | 6.54B | 5.81B |
| Net Margin % | 18.13% | 15.93% | 14.1% | 15.42% | 23.93% | 34.07% | 19.09% | 24.15% | 25.68% | 18.33% | 19.03% | 17.01% | 5.7% | 11.57% | 4.27% | 1.34% | -1.74% | 4.47% | 3.56% | 12.96% | 18.61% | 19.87% | 21.57% | 22.06% | 19.95% | 12.79% | 13.01% | 15.27% | 9.97% | 13.25% | 13.4% |
| Net Income Growth % | 13.8% | 12.45% | 2.33% | -3.68% | -13.92% | 78.71% | -34.76% | -2.55% | 54.38% | 2.3% | 12.02% | 188.22% | -51.71% | 172.95% | 189.63% | 164.61% | -135.66% | 56.59% | -73.25% | -29.11% | 28.35% | 18.05% | 29.02% | 16.88% | 36.17% | -9.64% | -4.63% | 52.6% | -21.05% | 12.54% | 198.1% |
| Net Income (Continuing) | 31.7B | 30.51B | 27.13B | 26.52B | 27.53B | 31.98B | 17.89B | 27.43B | 28.15B | 18.23B | 17.82B | 15.91B | 5.52B | 11.43B | 4.19B | 1.45B | -2.24B | 6.28B | 4.01B | 14.98B | 21.13B | 16.46B | 13.95B | 10.81B | 9.25B | 6.79B | 7.52B | 7.88B | 5.17B | 6.54B | 5.81B |
| EPS (Diluted) | 4.27 | 3.82 | 3.22 | 3.08 | 3.19 | 3.57 | 1.87 | 2.75 | 2.61 | 1.56 | 1.50 | 1.31 | 0.36 | 0.90 | 0.25 | 0.01 | -0.37 | -0.29 | 0.55 | 2.04 | 2.88 | 2.25 | 1.90 | 3.57 | 2.96 | 2.09 | 2.26 | 2.24 | 1.45 | 1.81 | 1.96 |
| EPS Growth % | 19.94% | 18.63% | 4.55% | -3.45% | -10.64% | 90.91% | -32% | 5.36% | 67.31% | 4% | 14.5% | 263.89% | -60% | 260% | 2400% | 102.7% | -27.59% | -152.73% | -73.04% | -29.17% | 28% | 18.42% | -46.78% | 20.61% | 41.63% | -7.52% | 0.89% | 54.48% | -19.89% | -7.65% | 11.36% |
| EPS (Basic) | - | 3.88 | 3.25 | 3.10 | 3.21 | 3.60 | 1.88 | 2.77 | 2.64 | 1.63 | 1.58 | 1.38 | 0.36 | 0.94 | 0.26 | 0.01 | -0.37 | -0.29 | 0.56 | 3.32 | 4.66 | 4.10 | 3.71 | 3.64 | 3.04 | 2.13 | 2.28 | 2.28 | 1.49 | 1.86 | 2.00 |
| Diluted Shares Outstanding | 7.42B | 7.55B | 7.84B | 8.08B | 8.17B | 8.56B | 8.8B | 9.44B | 10.24B | 10.78B | 11.05B | 11.24B | 10.58B | 11.49B | 10.84B | 10.25B | 9.79B | 7.73B | 7.33B | 7.33B | 7.33B | 7.33B | 7.33B | 3.03B | 3.13B | 3.25B | 3.32B | 3.52B | 1.17B | 1.14B | 1.2B |
Credit provision volatility
According to the latest quarterly data, Bank of America achieved a 9.0% year-over-year increase in net interest income as of 2026Q1, suggesting that the firm's core deposit franchise continues to provide a structural buffer against the broader volatility observed in non-interest revenue streams.
The consistent expansion of net interest income from $14.0 billion in 2024Q3 to $15.7 billion in 2026Q1 indicates that the bank is successfully managing its deposit betas despite a competitive funding environment. Investors should monitor whether this growth trajectory can be sustained if the yield curve remains inverted or if deposit costs continue to reprice upward.
As reported in financial statements, the efficiency ratio fluctuated significantly, reaching a concerning 61.2% in 2026Q1 compared to the 35.1% observed in 2025Q4, which may indicate that the bank's massive fixed-cost base is struggling to maintain operating leverage during periods of revenue contraction.
The sharp spike in the efficiency ratio suggests that the bank's high-touch service model and extensive technology investments may be creating rigid cost structures that are difficult to scale down quickly. This volatility warrants further investigation into whether management can effectively control non-interest expenses during cyclical downturns.
Based on reported figures, the provision for loan losses reached a significant negative $16.3 billion in 2026Q1, a stark departure from the $1.3 billion to $1.6 billion range maintained throughout 2024 and 2025, suggesting potential accounting adjustments or a major shift in credit loss expectations.
The extreme variance in provision expense implies that the bank's CECL-based modeling is highly sensitive to macroeconomic assumptions, which may lead to lumpy earnings profiles. Analysts should scrutinize whether this massive provision swing reflects a fundamental change in asset quality or merely a technical adjustment in reserve requirements.
Data from the 2026Q1 income statement reveals a negative $3.1 billion in non-interest income, which stands in sharp contrast to the $15.4 billion reported in 2025Q4, highlighting a potential vulnerability in the bank's fee-based revenue streams and overall earnings quality.
The dramatic swing in non-interest income suggests that the bank's reliance on capital markets and transactional fees may be introducing significant earnings volatility that is not fully captured by net interest income trends. Investors should be cautious, as this level of instability may indicate that the bank's diversified revenue model is less defensive than previously assumed.
Quick answers to the most common questions about buying BAC stock.
Bank of America Corporation (BAC) is profitable, generating $30.51B in net income for the fiscal year ending 2025 with a net profit margin of 15.9%.
Bank of America Corporation (BAC) reported an operating income of $37.70B, resulting in an operating profit margin of 19.7%. This margin reflects the operational efficiency of the business before interest and taxes.
Bank of America Corporation (BAC) generated $107.42B in gross profit for the year, representing a gross profit margin of 56.1%. This demonstrates the company's core pricing power and production efficiency.