Bank of America Corporation (NYSE:BAC) Q1 2023 Earnings Call Transcript

Customers are bigger, more stuff’s going through, customer delights were an all-time high, attrition is an all-time low, and that’s what makes that franchise valuable as you well know and that’s by continuing to invest in new capabilities at all-time.Mike Mayo And last thing, big picture for you, Brian, just the evidence that a recession is coming and the impact on you guys, where are you right now? Is it red? Is it flashing yellow? Or is it green? How has it moved? Just what’s your — what’s the temperature?Brian Moynihan [Candace] (ph) and research teams have been consistent to see after the Fed raises rates this amounts, there would be a, recession they have a mild recession and at that day predicted basically say 0.5% to 1% negative — annualized negative GDP growth in Q3 and Q4 and Q1 and then back to positive.

So I think, in the end of the day, we don’t see activity on the consumer side slowing at a pace that would indicate that, but we see, commercial customers are being more careful and things like that. But everything points to relatively mild recession, given the amount of stimulus that was put — that was paid the people and the money they have leftover, the fact that unemployment is still at 3.5% — full employment plus.And then the wage growth is slowing in tipping over, so the size of inflation are tipping down but, they’re still there, but that translates into good — relatively good activity. So we see it as a slight recession and we’ll see what happens, but we built this company across the last decade even in a stress scenario is that you’ll see somewhere in the slides last quarter we didn’t reduce because they’re the same answer, our stress scenarios are always less than anybody else, because how we built the company through the go through recessions, without a problem, including the pandemic.Mike Mayo Got it.

All right, thank you.Operator And at this time, I’d like to turn the program back over to Brian Moynihan for any additional or closing remarks.Brian Moynihan Thank you for your time, and I want to thank my teammates for a great our performance again this first quarter of 2023, a strong quarter of 18% year-over-year EPS growth. The strength and stability and being there for our customers continue to show through — including strong capital at 11.4%, liquidity at $900 million in GLS. But the most important thing and we just touched on, it was really two things: continued organic growth in our franchise and operating leverage by growing revenue faster in expenses. So, we feel-good about that and look-forward to talking next quarter.Operator This does conclude today’s program.

Thank you for your participation. You may disconnect at any time, and have a wonderful day.