Wells Fargo reported Q3/17 net income of $4.6 billion was down 18.5% from $5.6 billion for the same quarter in 2016. Revenue of $21.9 billion was down from $22.3 billion a year earlier. The bank noted that Q3/17 included a $1 billion discrete litigation accrual for previously disclosed mortgage-related regulatory investigations.

The following highlights were excerpted from the news release:

• Nonaccrual loans of $8.6 billion were down $2.4 billion, or 22% compared to the same quarter in 2016.
• At September 30, 2017 commercial loan balances of $500.2 billion were up from $496.5 billion a year earlier.
• The lease financing average balance for the first nine months of 2017 was $19.1 billion, up 8.5% from $17.6 billion at the end of the same period a year-ago. Interest income was $685 million, up from $643 million for the same nine month period in 2016.
• The lease financing yield of 4.78% for the first nine months was down from 4.86% a year earlier.
• C&I (U.S.) average balances for the first nine months of 2017 were $272.6 billion, up from $266.6 billion a year earlier. Non-U.S. C&I average balances for the nine month period were $56.5 billion, up from $50.7 billion in 2016. C&I yields of 3.70% and 2.83% for the U.S. and non-U.S., respectively, compared to 3.44% and 2.29% for the nine month period ended September 30, 2016.

CEO Tim Sloan said, “Over the past year we have made fundamental changes to transform Wells Fargo as part of our effort to rebuild trust and build a better bank. While our financial performance in the third quarter included the impact of a litigation accrual for previously disclosed, pre-crisis mortgage–related regulatory investigations, I’m proud of the commitment of our 268,000 team members who put our customers first. We saw total average deposit growth; loan growth in our residential mortgage, credit card and subscription finance portfolios; as well as higher assets under management in Wealth and Investment Management. We’re also committed to helping our communities recover from the devastation of the recent hurricanes by providing payment relief and proactively waiving fees for impacted customers, and our foundation donated $2.6 million for hurricane relief.”

To read the Wells Fargo news release: click here.