Regions Bank's wealth management businesses enjoyed a strong second quarter, according to the latest financial results released by the bank's parent on Tuesday.
The Birmingham, Ala.-based bank generated $103 million in second-quarter revenue from its brokerage, trust and insurance operations, up a notable 6.2% from $97 million in the same quarter a year ago.
The increase was due to expanded insurance capabilities and increased brokerage fees, the bank explained in the earnings release.
Revenue, however, was down 2.8% from the prior quarter, a result of seasonal decreases in insurance income, the bank said.
For the first six months of 2016, the wealth management businesses were able to beat last year's revenue figures, climbing 7.2% to $209 million from $195 million in 2015.
The trust services business was the biggest revenue driver in the second quarter, generating $51 million, up 2% year-over-year and up 4% from the prior quarter. Insurance services hauled in $36 million, while the retail brokerage business drummed up $15 million. Revenue from both insurance and brokerage operations were up from the same period a year ago, jumping 9.1% and 15.4%, respectively.
Overall, Regions Financial Corp., the parent of Regions Bank, earned $259 million, or 20 cents per share, in the second quarter, compared with $269 million, or 20 cents per share, in the same quarter of 2015.
"Our results in the second quarter and throughout 2016 reflected continued progress toward reaching our goals of diversifying revenue streams and making prudent investments that position Regions for further growth," Grayson Hall, Regions' chairman, president and CEO, said in a statement.