Jan 20 (Reuters) – Bank of America said on Tuesday it will award about $1 billion in equity to all employees except senior management, after the lender capped a strong year marked by a surge in profits.
The awards will equate to nearly 19 million shares of common stock and mark the ninth straight year of employee awards at the second-largest U.S. bank.
Last week, BofA beat estimates for fourth-quarter profit, as its traders capitalized on volatile markets and it brought in higher income from interest payments.
The lender’s 2025 profit surged to $30.5 billion from $27 billion a year earlier. BofA shares ended the year up about 25%, marking a third straight year of gains.
The banking industry is eyeing another year of strong dealmaking, with investment banking revenues expected to benefit from a rebound in large mergers and acquisitions and high-profile initial public offerings.
Interest income is also expected to get a lift from a pickup in loan demand, as lower borrowing costs encourage customers to take on debt.
(Reporting by Manya Saini in Bengaluru; Editing by Shinjini Ganguli)
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