SunTrust Banks Inc, the No 7 US bank, on Monday said first-quarter profit rose 36 percent, helped by loan and deposit growth, a big drop in bad loans and its acquisition of National Commerce Financial Corp Net income for Atlanta-based SunTrust rose to $492.3 million, or $1.36 per share, from $361.8 million, or $1.28 per share, a year earlier. Year-earlier results were restated to fix accounting for some bad loans. Profit excluding merger costs and a one-time gain was $1.37 per share.
Analysts polled by Reuters Estimates on average forecast profit of $1.32 per share.
"Our first-quarter results benefited from increasingly robust net interest income growth, excellent credit quality and a continuation of effective cost control," Chief Executive L. Phillip Humann said in a statement.
Revenue rose 29 percent to $1.88 billion. Non-interest expense rose 27 percent to $1.13 billion.
The bank set aside $10.6 million for bad loans, down 80 percent, and net chargeoffs fell 37 percent to $36.8 million. Nonperforming assets increased 18 percent to $392.3 million.