BankAmerica Posts 3rd Record Income in Row

BankAmerica Corp. today reported its third straight quarter of record earnings, keeping the company on a path where profits could exceed $1 billion this year.

The parent of Bank of America, the nation’s second-largest bank, had net income of $304 million for the second quarter that ended June 30, up 88% from $162 million for the same period last year. Earnings per share were $1.50, up 76% from 85 cents.

Earnings for the first six months of the year were $579 million, up 114% from the $271 million reported for the first six months of 1988. Per-share earnings jumped 104% --from $1.41 in the first half of last year to $2.88 for the first six months of 1989.

George Salem of Prudential Bache Securities in New York said the results were “a little bit better than expected.”

BankAmerica Chairman A. W. Clausen said in a statement that the results reflect the bank’s continuing strength in key areas, including expansion of domestic loans and deposits, particularly in consumer loan and mortgage portfolios.

The results reflect the continuation of one of the financial world’s most remarkable rebounds. Two years ago, BankAmerica lost $955 million but bounced back in 1988 to report a profit of $726 million.