Citizens Financial's quarterly profit jumps on interest income, fees boost

July 16 (Reuters) - Citizens ‌Financial Group ​posted ​a higher second-quarter profit on Thursday, helped by higher net interest income and fee growth ‌in wealth and capital markets businesses.

Despite inflationary pressures ⁠and the prospect of further rate hikes weighing on household ‌finances — particularly for lower-income ‌borrowers — loan demand in the U.S. has remained resilient.

Here are some more details:

• The lender's net interest ​income — the difference between what banks pay customers on deposits and earn as interest on loans — ⁠rose 14% from a year earlier to $1.63 billion.

• Average loans and leases ​grew to $146.1 billion from $138.8 billion a year ago.

• Regional lenders such as Citizens have expanded ​their capital markets divisions in ‌recent years to capitalize on the surge in deal making under a lighter regulatory ⁠regime under President Donald Trump.

• The value of global mergers and acquisitions announced so far this year has surpassed $3 ⁠trillion, according to Dealogic data.

• Citizens' capital markets fees surged ​45.7% to $153 million, while wealth fees jumped about 16% to $102 million from the year earlier.

• For the reported quarter, the bank's ‌provisions for credit losses fell to $134 million from $164 million a year earlier.

• The ‌Providence, Rhode Island-based bank reported a quarterly net profit ⁠of $587 million, or $1.30 per ‌share, compared with $436 ​million, or 92 cents, a year earlier.

(Reporting by Pragyan Kalita in Bengaluru; Editing by Vijay ‌Kishore)

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