Bank of America Corp. (NYSE: BAC) reported fourth-quarter and full-year 2014 results before markets opened Thursday morning. The most heavily traded of the big bank stocks reported diluted earnings per share (EPS) of $0.25 on revenue of $18.96 billion for the quarter. In the same period a year ago, it reported EPS of $0.29 on revenue of $21.7 billion. Fourth-quarter results also compare to the consensus estimates for EPS of $0.32 on revenue of $20.94 billion.

For the full year, the bank logged $0.36 in EPS and $85.1 billion in revenues. In the prior year EPS came to $0.90 on revenues of $89.8 billion. Consensus estimates called for EPS of $0.44 on revenues of $86.66 billion.

Interest income fell from $11 billion to $9.87 billion in the quarter and was down from $43.12 billion in 2013 to $49.82 billion in 2014.

Quarterly results include adjustments that reduced revenues by $1.2 billion and EPS by $0.07 per share. Excluding the adjustments, the company’s revenues totaled $19.58 billion. Net income for the quarter totaled $3.05 billion, down from $3.44 billion in the same period a year ago.

The bank did not provide guidance in its earnings release. The consensus estimate for first-quarter EPS is $0.32 on revenues of $22.38 billion. For the full year, the consensus forecast calls for EPS of $1.47 and revenues of $88.55 billion.

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Litigation expenses fell to $393 million in the fourth quarter, compared with $2.3 billion in the year-ago quarter. For the full year, Bank of America paid $16.4 billion in litigation expenses, compared with $6.1 billion in 2013. The bank’s total non-interest expense, including litigation expenses, fell by more than $3 billion in the fourth quarter but rose by nearly $6 billion for the year to $75.12 billion.

Brian Moynihan, the bank’s CEO, said:

In 2014, we continued to invest in our businesses while reducing expenses and resolving our most significant litigation matters. … There’s more work and tremendous opportunity ahead as we improve on the platform we’ve built to serve our customers and clients, and we enter 2015 in good shape to manage both the opportunities and the challenges the markets and economy will offer.

The bank reported a fourth-quarter net loss of $72 million from its trading desk. That compares to a net loss of $47 million in the year-ago quarter. Revenues declined $828 million — 26% — in the quarter and were down $729 million for the year.

Bank of America increased its estimated Basel III Tier 1 transition common ratio to 12.3% in the fourth quarter. Its estimated Basel III fully phased-in common capital ratio rose to 10%. The bank also raised its tangible book value per share by $0.64 to $14.43.

Shares traded down more than 2% to $15.70 in the premarket Thursday. The current 52-week range is $14.37 to $18.21. Thomson Reuters had a consensus analyst price target of around $18.30 before the results were announced.

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