SunTrust Banks Beats Estimates by a Penny

SunTrust Banks (STI Quote) reported first-quarter net income that topped analysts' expectations by a penny, as improved net interest margins and operating efficiencies helped drive the bottom line.

For the first quarter, income rose to $337.5 million, or $1.14 a diluted share. According to Thomson Financial/First Call, analysts were looking for earnings of $1.13. The commercial banking company earned $1.04 a share in the year-ago period.

Fully taxable net interest income totaled $815.2 million in the first quarter. Noninterest income, excluding securities gains and losses, was $468.8 million, up 9% from the same quarter last year. Including net securities gains, total noninterest income was $525.9 million for the quarter.

As of March 31, SunTrust had total assets of $103.7 billion.

Shares of SunTrust, which is based in Atlanta, gained $1.09, or 1.7%, to $64.72 in recent New York Stock Exchange trading.