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Bank Profitability: Decoding the Income Statement

Tom Spencer

For the sake of simplicity, we will present the information in a consolidated manner. Non-interest income This is the revenue generated from fees, typically accounting for around 40% of industry revenue, including: deposit service charges (e.g., Image 2: Illustrative example of a bank’s non-interest income 3.

Banking 88
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Why Financial Statements Don’t Work for Digital Companies

Harvard Business

In contrast, industrial giant GE’s stock price has declined by 44 % over the last year, as news emerged about its first losses in last 50 years. Why do investors react negatively to financial statement losses for an industrial firm but disregard such losses for a digital firm? Let’s first look at the balance sheet.