22-Jan-14
Profit for the fourth quarter was Wells Fargo & Co. , the largest U.S. mortgage lender , jumped 11 percent in the sharp decline in mortgage lending was offset by an increase in interest income .
Earnings per share : Net income after payment of dividends of preferred stock from $ 4.9 billion a year earlier, an increase to 54 billion during the period from October to December . In calculating per share earnings of $ 1 , slightly higher than Wall Street analysts expected 99 cents.
Fourth -quarter revenue fell from $ 21.9 one billion to 20.7 billion.
Matter how it happened : In the U.S. mortgage rates rise in the second half of last year continued to have a negative impact on Wells Fargo 's mortgage business .
The bank is headquartered in San Francisco , it is the fourth largest U.S. bank assets , controls about a third of the U.S. mortgage market . Most of its lending business has come from mortgage refinancing , which is to reduce the spike in interest rates .
Wells Fargo investment of 50 billion worth of mortgage loans in the fourth quarter declined from HK $ 973 billion last year . The bank has cut about 5,700 jobs , most of which related to its mortgage business , since the end of September .
Meanwhile, net interest income increased $ 55 million to $ 10.8 billion for the bank to earn more and trading securities held by it .Wells Fargo shares fell 49 cents , or 1.1 percent, to $ 45.07 in early trading .
What's next ?
Wells Fargo CEO John Stumpf said that improving U.S. economic outlook will help the bank strong performance this year .
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