Wells Fargo & Co. missed Wall Street earnings estimates by a penny even as third-quarter profit rose on lower costs for bad loans.
Wells Fargo, the fourth-biggest U.S. bank, said net income for common shareholders was $3.84-billion, or 72 cents a share. Analysts’ average estimate was 73 cents, according to Thomson Reuters I/B/E/S. Profit a year earlier was $3.15-billion.
The bank’s provision for credit losses fell to $1.81-billion from $3.44-billion a year earlier.
“We can’t change the economic environment, yet we have worked hard to control the variables we can,” chief executive officer John Stumpf said in a statement. “The economic recovery has been more sluggish and uneven than anyone anticipated.”