Wells Fargo Q1 net profit rises 7%

(Sharecast News) - Wells Fargo on Tuesday reported better-than-expected first-quarter earnings despite revenue missing forecasts.

Wells Fargo said its profit increased 7.3 to $5.25bn in the first quarter, or $1.60 a share, beating analyst estimates of $1.58.

Revenue grew 6% to $21.4bn, although this missed consensus estimates of $21.8bn. Growth was driven by both a 5% increase in net interest income and an 8% increase in noninterest income, the lender said.

CEO Charlie Scharf said: "While markets have been volatile, we still see continued resiliency in the underlying economy and the financial health of the consumers and businesses we serve remains strong, though the impact of higher oil prices will likely take some time to materialise."

"We will continue to monitor trends and respond accordingly, and we are well positioned to support our customers across a range of economic scenarios."