Wells Fargo reported higher third-quarter profits on Tuesday, October 13, 2026, as growth in lending and increased interest income supported earnings at the US banking group.
The bank recorded net income of $5.95 billion for the three months ended September 30, up from $5.59 billion a year earlier. Earnings per share increased to $1.87 from $1.66, exceeding analysts’ expectations of $1.85.
Net interest income, which measures the difference between what a bank earns on loans and pays on deposits, rose 5 per cent to $12.52 billion. However, the figure fell short of analysts’ expectations of $12.63 billion.
Total revenue reached $21.87 billion, below market expectations of $22.31 billion. The shortfall reflected pressure from higher deposit costs and the effects of lower interest rates on some assets.
Wells Fargo has expanded its consumer lending business, particularly in credit cards and auto loans, as it seeks to capitalise on relatively resilient consumer spending. The removal of a longstanding regulatory cap on its assets has also given the bank greater flexibility to expand its balance sheet.
Despite the increase in earnings, the bank’s shares fell in premarket trading as investors focused on the weaker-than-expected revenue and interest income figures.
Wells Fargo also increased provisions for credit losses to $1.03 billion, although management reported no significant signs of worsening loan delinquencies.
The results highlight the challenges facing US lenders as they balance loan growth against rising funding costs and uncertainty over future interest rates.
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