BANK OF AMERICA CORP /DE/

(1)For definitions, see Key Metrics on page 102.

(2)Return on average tangible common shareholders’ equity is a non-GAAP financial measure. For more information and a corresponding reconciliation to the most directly comparable financial measures defined by accounting principles generally accepted in the United States of America (GAAP), see Non-GAAP Reconciliations on page 47.

Net income was $7.1 billion and $14.5 billion, or $0.89 and $1.79 per diluted share, for the three and six months ended June 30, 2025 compared to $6.9 billion and $13.6 billion, or $0.83 and $1.59 per diluted share, for the same periods in 2024. The increases in net income were primarily due to higher net interest income and noninterest income, partially offset by higher noninterest expense and provision for credit losses.

Total assets increased $179.6 billion from December 31, 2024 to $3.4 trillion primarily driven by higher securities borrowed or purchased under agreements to resell and higher trading account assets to support Global Markets client activity, higher loans and leases primarily due to growth in commercial loans and residential mortgages, and higher debt securities due to reinvestment of excess cash from deposit inflows.

Total liabilities increased $175.6 billion from December 31, 2024 to $3.1 trillion primarily driven by higher securities loaned or sold under agreements to repurchase to support Global Markets client activity, higher deposits primarily due to Global Banking inflows, and long-term debt issuances.

Shareholders’ equity increased $4.0 billion from December 31, 2024 primarily due to net income, preferred stock issuances and market value increases on derivatives, partially offset by returns of capital to shareholders through common stock repurchases and common and preferred stock dividends, as well as preferred stock redemptions.

Net Interest Income

Net interest income increased $968 million to $14.7 billion, and $1.4 billion to $29.1 billion for the three and six months ended June 30, 2025 compared to the same periods in 2024. Net interest yield on a fully taxable-equivalent (FTE) basis increased one basis point (bp) to 1.94 percent and remained unchanged at 1.96 percent for the same periods. The increase in net interest income in the three-month period was primarily driven by fixed-asset repricing, higher net interest income related to Global Markets activity, and deposit and loan growth, partially offset by the impact of lower interest rates. The increase in net interest income in the six-month period was primarily driven by lower deposit costs, higher net interest income related to Global Markets activity and fixed-rate asset repricing, partially offset by the impacts of lower interest rates and one less day of interest accrual. For more information on net interest yield and FTE basis, see Supplemental Financial Data on page 7, and for more information on interest rate risk management, see Interest Rate Risk Management for the Banking Book on page 44.

Noninterest Income

Noninterest income increased $118 million to $11.8 billion and $1.3 billion to $24.7 billion for the three and six months ended June 30, 2025 compared to the same periods in 2024. The following highlights the significant changes.

● Service charges increased $108 million and $227 million primarily due to higher treasury service charges.

● Investment and brokerage services increased $460 million and $1.1 billion primarily driven by higher asset management fees from the impact of positive assets under management (AUM) flows and higher average equity market valuations, as well as higher brokerage fees due to increased transactional volume.

● Investment banking fees decreased $133 million for the three-month period primarily driven by lower debt issuance, advisory and equity issuance fees. The decrease of $178 million for the six-month period was primarily driven by lower equity issuance and advisory fees, partially offset by higher debt issuance fees.

● Market making and similar activities decreased $145 million for the three-month period primarily driven by lower income from foreign currency asset and liability management (ALM) risk management activities, partially offset by higher trading revenue from credit products in Fixed Income, Currencies and Commodities (FICC). The decrease of $449 million for the six-month period was primarily driven by lower income from foreign currency ALM risk management activities and lower trading revenue from credit products in FICC.

● Other income decreased $237 million for the three-month period primarily due to higher partnership losses on tax credit investments, certain negative valuation adjustments and lower Global Markets deal activity. The increase of $449 million for the six-month period was primarily due to gains on leveraged finance positions, partially offset by higher partnership losses on tax credit investments.

Provision for Credit Losses

The provision for credit losses increased $84 million to $1.6 billion and $245 million to $3.1 billion for the three and six months ended June 30, 2025 compared to the same periods in 2024. The provision for credit losses for the current-year periods was primarily driven by the credit card portfolio, including an impact from a dampened macroeconomic outlook, partially offset by improved asset quality. The provision for credit losses for the prior-year periods was primarily driven by activity specific to credit card loans and the commercial real estate office portfolio, partially offset by an improved macroeconomic outlook. For more information on the provision for credit losses, see Allowance for Credit Losses on page 40.

5 Bank of America

Noninterest Expense

Noninterest expense increased $874 million to $17.2 billion and $1.4 billion to $35.0 billion for the three and six months ended June 30, 2025 compared to the same periods in 2024. The increases were primarily driven by continued investments in the business, including people, operations and technology, as

well as higher revenue-related expenses. Additionally, the prior-year six-month period included a $700 million accrual for the increase in the Corporation’s share of the Federal Deposit Insurance Corporation (FDIC) special assessment.

Income Tax Expense

The effective tax rates (ETR) for the three and six months ended June 30, 2025 and 2024 were primarily driven by our recurring tax preference benefits, which mainly consisted of tax credits from investments in affordable housing and renewable energy, and to a lesser extent, discrete tax benefits applicable to the periods. Absent these credits and discrete items totaling $1.3 billion (17 percentage points) for both the three months ended June 30, 2025 and 2024, the adjusted ETR would have been

24 percent and 25 percent, respectively. Absent these credits and discrete items totaling $2.7 billion (17 percentage points) and $2.6 billion (17 percentage points) for the six months ended June 30, 2025 and 2024, the adjusted ETR would have been 25 percent and 26 percent, respectively. Adjusted ETR is a non-GAAP financial measure. For more information, see Supplemental Financial Data on page 7.