Investing.com - Wells Fargo (N:WFC), the biggest U.S. residential mortgage lender, reported a rise in quarterly profit for the first time in three quarters on Wednesday, helped by its purchase of commercial loans from General Electric (N:GE).
Net income rose 0.65% to $5.44 billion, or $1.05 per share, in the third quarter, from $5.41 billion, or $1.02 per share, a year earlier, the bank said. Analysts on average had expected earnings of $1.04 per share.
The bank earlier this year agreed to buy a portion of GE's commercial real estate loans worth $9 billion. That purchase started to contribute to earnings in the latest quarter.
In its latest deal, the bank said on Tuesday it would buy a portfolio of commercial loans and leases worth more than $30 billion from GE for an undisclosed amount.
Shares in Wells Fargo were down around 0.6% in premarket trading.