Truist Financial Posts Strong Earnings, Revenue Growth Seen

Truist Financial reports a $1.22B net income for Q4, marking a significant turnaround. Analysts expected earnings per share (EPS) of $0.88 but the company surpassed it with an EPS of $0.91, indicating strong performance.

Date: 17-01-2025

AI Rating: 7

Net Income
Truist Financial Corporation reported a net income available to common shareholders of $1.22 billion for the fourth quarter. This marks a significant recovery compared to the loss reported in the previous year of $5.17 billion. Such a turnaround in net income is a very positive indicator for investors as it reflects the company's effective management and recovery from previous losses.

Earnings Per Share (EPS)
The profit per share was reported at $0.91, a substantial improvement from a loss of $3.87 in the prior year. The adjusted EPS increased from $0.81 to $0.91, exceeding analysts' expectations of $0.88, which suggests that the company is performing better than anticipated and could lead to an upward adjustment in stock prices.

Revenue Growth
Total revenue for the fourth quarter was $5.11 billion, up from $4.94 billion the previous year, also above the analysts' expectation of $5.06 billion. This growth is positive and indicates that Truist is experiencing healthy demand for its services.

Future Projections
For fiscal 2025, Truist expects adjusted revenue to grow between 3% and 3.5%, which is a good sign for long-term investors. However, there is a projected quarterly decline of about 2% in sequential revenue for the first quarter, which could raise some concerns about short-term performance but does not negate the overall positive outlook for the company.

Stocks: TFC