Merrill Wealth Management made a mixed earnings report Tuesday in the wake of the longtime president Andy Zeke’s recent departuredespite a strong quarter at parent Bank of America.
Revenues and earnings for Merrill and sister unit Bank of America Private Bank declined both quarter-over-quarter and year-over-year in the first three months of 2023, but the combined unit was about A quarterly record of 14,500 net new households was added. Merrill said in a statement that the bank attributed the decline to a decline in the market that was partially offset by an increase in net interest income.
The number of advisors across the bank’s business lines also stagnated, registering a slight decline. Before two one quarter.
Merrill has canceled its customary quarterly earnings call for reporters, which is usually held on the same day as its parent bank’s earnings call. Previously, former President Sieg answered reporters’ questions during a conference call.
Zeke left Merrill On March 30, he moved to rival Citigroup to become head of Citi Global Wealth. Merrill will be replaced by Eric Simpf and Lindsey Hans, the new presidents and co-heads of Wealth Management.
Bank of America Chairman and CEO Brian Moynihan said on Tuesday’s earnings call, “As we move forward, we are thrilled to have Eric Simp and Lindsay Hans to lead this business. “They work closely with Katie Knox [the president of the Private Bank] Moynihan added that the three wealth heads hope to improve operational efficiencies by investing more in digital products for advisors and clients.
Parent company Bank of America performed well in the first quarter with earnings of $8.2 billion, up 15% from the prior quarter and unchanged from $7.1 billion a year ago.
Company-wide revenues of $26.3 billion for the quarter were up 7% from $24.5 billion in the prior quarter and up 13% from the year-ago quarter.
Bank of America Beats Wall Street Analysts’ Expectations, Earnings Per Share $0.9415% above consensus $0.82.
Scroll down the slideshow to see key takeaways from Merrill’s first quarter earnings. For the company’s fourth quarter earnings, click hereLooking at the third quarter results, click here.