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Bank of America 2Q Profit Up 5 Percent
"(We) remain a little concerned about domestic consumption spending given the prolonged housing subprime issues and higher fuel prices," Lewis said.
Net income at Bank of America climbed to $5.76 billion, or $1.28 per share, from $5.48 billion, or $1.19 per share, a year ago.
  A Bank of America branch is seen at the Coolidge Corner in Brookline, Mass., in this July 19, 2006 file photo. Bank of America Corp. said Thursday, July 19, 2007 its second-quarter earnings rose 5 percent, as growth in capital markets activity and consumer fees offset an increase in credit losses. (AP Photo/Chitose Suzuki, file) (Chitose Suzuki - AP) Partnership
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• Its revenue grew 8 percent to $19.96 billion from $18.52 billion last year.
The results beat analysts expectations, which estimated earnings of $1.20 per share on revenue of $18.58 billion, according to a poll by Thomson Financial.
"We are encouraged by Bank of America's second quarter results," wrote Goldman Sachs analyst Lori B. Appelbaum in a research note that highlighted the bank's net interest income levels and improved credit card delinquencies. "These have been two major issues for the stock - with now improved visibility."
In the bank's largest consumer unit, which includes the nation's biggest credit-card business and bank-branch network, net income dropped 23 percent to $2.46 billion. Bank of America became the biggest U.S. credit card lender when it bough MBNA Corp. last year.
The bank plans to increase its customer base even more, as it plans to spend $21 billion to buy Chicago-based LaSalle Bank Corp., a unit of Netherlands-based ABN Amro North America Holding Co. Lewis said he expects the deal to close in the fourth quarter.
In other earnings reports on Thursday:
_ Bank of New York Co., the financial firm that bought Mellon Financial Corp. earlier this month, said Thursday its second-quarter profit rose 21 percent, not counting integration costs.
Including those costs, the financial services company's profit slipped 0.7 percent, but the adjusted results _ driven by growth in asset management and a record amount of securities servicing fees _ beat analyst expectations.
Net income for the quarter was $445 million, or 58 cents per share, from $448 million, or 59 cents per share, in the same period a year ago.
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