Wells Fargo On Friday, it reported a 9% decline in net interest income, even though its second-quarter earnings and revenue beat Wall Street expectations.

Here’s how the bank fared compared to Wall Street estimates, based on a survey of analysts by LSEG:

• Earnings per share: $1.33 vs. 1.29 cents expected
• Revenue: $20.69 billion versus $20.29 billion forecast

The San Francisco-based bank posted $11.92 billion in net interest income, a key measure of what a bank earns from lending, down 9% from a year earlier. That was below the $12.12 billion expected by analysts, according to FactSet. The bank said the drop was due to the impact of higher interest rates on funding costs.

Wells Fargo shares fell nearly 7% in trading on Friday.

“We continued to see growth in our fee income, which offset an anticipated decline in net interest income,” Chief Executive Charlie Scharf said in a statement. “The investments we have been making allowed us to take advantage of market activity in the quarter with strong performance in investment advisory, trading and investment banking fees.”

Wells Fargo reported a second-quarter net income decline of $4.91 billion, or $1.33 per share, from $4.94 billion, or $1.25 per share, in the year-ago quarter. The bank set aside $1.24 billion as a provision for credit losses, including a modest decrease in the provision for those losses. Revenue rose to $20.69 billion in the quarter.

The bank repurchased more than $12 billion of common stock during the first half of 2024 and expects to increase its third-quarter dividend by 14%.

Shares are up more than 22% this year, outperforming the S&P 500.