Bank of America raises NII outlook after strong Q1 2026

Transcript intelligence

What changed

Management reported a strong quarter with revenue up 7% year over year to $30.3 billion, EPS up 25% to $1.11, and net interest income up 9% to $15.9 billion. Full-year NII growth guidance was raised to 6–8%. The analysis also highlighted the first quarter in more than three years without new inflows of non-performing assets into office-loan exposures, while AI tools were available to 200,000 employees.

Guidance delta

Full-year net interest income growth guidance was raised to 6–8% after a 9% year-over-year increase in the quarter.

Key takeaways

• Revenue and earnings exceeded expectations, with growth across all segments.
• Net interest income increased 9% and full-year guidance was raised to 6–8% growth.
• The efficiency ratio improved to 61% and ROTCE reached 16%.
• Deposits exceeded $2 trillion, while loan balances grew nearly 9%.
• CET1 exceeded $200 billion and the bank returned $9.2 billion to shareholders.

Management priorities

• Invest further in relationship managers and digital platforms.
• Expand AI and technology initiatives to improve productivity and client experience.
• Maintain disciplined expense growth while targeting 200–300 basis points of operating leverage for the year.
• Continue capital returns while monitoring CET1 against regulatory requirements.
• Monitor and adapt to Basel III Endgame and G-SIB framework developments.