(Reuters) – Citizens Financial on Wednesday reported a lower first-quarter profit as it earned less from customer interest payments.
Banks in the United States have been bracing for a turnaround in gains from interest income, as they paid more to retain customers who are in search of higher-yield securities, while loan growth declines.
Citizens Financial’s net interest income (NII) – the difference between what it earns on loans and pays for deposits – tumbled 12% to $1.44 billion in the first quarter compared with the previous year.
Larger rivals Bank of America and Wells Fargo also posted similar declines in NII in recent days.
Period-end loans and leases fell 7% to $143 billion in the quarter ended March from a year ago.
The bank set aside $171 million in provisions for credit losses in the first quarter, slightly higher than $168 million a year earlier, as it prepares for more customers to miss or fall behind on their payments.
The lender reported net income of $334 million, or 65 cents per share, for the first quarter, compared with $511 million, or $1 per share, a year earlier.
(Reporting by Mehnaz Yasmin in Bengaluru; Editing by Maju Samuel and Vijay Kishore)
News Related-
The best Walmart Cyber Monday deals 2023
-
Jordan Poole took time to showboat and got his shot blocked into the stratosphere
-
The Top Canadian REITs to Buy in November 2023
-
OpenAI’s board might have been dysfunctional–but they made the right choice. Their defeat shows that in the battle between AI profits and ethics, it’s no contest
-
Russia-Ukraine Drone Warfare Rages With Dozens Headed for Moscow, Amid Deadly Winter Storm
-
Trump tells appeals court that threats to judge and clerk in NY civil fraud trial do not justify gag order
-
Can Anyone Take Paxlovid for Covid? Doctors Explain.
-
Google this week will begin deleting inactive accounts. Here's how to save yours.
-
How John Tortorella's Culture Extends from the Philadelphia Flyers to the AHL Phantoms
-
Tri-Cities' hatcheries report best Coho return in years
-
Wild release Dean Evason of head coaching duties
-
Air New Zealand’s Cyber Monday Sale Has the 'Lowest Fares of 2023' to Auckland, Sydney, and More
-
NDP tells Liberals to sweeten the deal if pharmacare legislation is delayed
-
'1,000 contacts with a club': Tiger Woods breaks down his typical tournament prep to college kids in fascinating video