Wells Fargo reports big fall in Q4 profits

17 January, 2020 12:00 AM printer

SAN FRANCISCO: Wells Fargo, the fourth-largest U.S. lender by assets, on Tuesday reported a decline of 53 percent in its 2019 fourth-quarter profits.

The quarterly profit of the San Francisco-based bank fell to about 2.9 billion U.S. dollars from the 6.06 billion dollars recorded in 2018, reports Xinhua.

Wells Fargo yielded 19.9 billion dollars in revenues in the quarter, down from 21 billion dollars during the same period of 2018.

The bank also suffered operating losses of 1.9 billion dollars, driven by a charge of 1.5 billion dollars paid to cover legal costs in connection with a fraud scandal which took place in 2016. Wells Fargo has been plagued by the scandal since, after employees were found fraudulently using the identities of customers to open millions of fake accounts to achieve their sales growth target.