Bank of America vs TD Bank: Revenue, Profit and Business Model
Bank of America reported $113.1B of revenue in FY2025 and $30.5B of net income. TD Bank reported ~$45.6B of revenue in FY2025 and ~$14.4B of net income.
Latest financial snapshot
Bank of America
- Latest revenue
- $113.1B (FY2025)
- Net income
- $30.5B
- Net margin
- 27.0%
- Revenue growth
- +3.4% a year, FY2016–FY2025
TD Bank
- Latest revenue
- ~$45.6B (FY2025)
- Net income
- ~$14.4B
- Net margin
- 31.6%
- Revenue growth
- +10.2% a year, FY2021–FY2025
Financial summary
Bank of America
Bank of America earns in two streams. Net interest income was $60.1B in 2025 and noninterest income $53.0B, for total revenue net of interest expense of $113.1B and net income of $30.5B, or $3.81 per diluted share. Deposits of $2.02T funded $1.19T of loans and leases plus a $927.4B debt securities portfolio. Fees carried the year: investment and brokerage services rose $2.2B to $20.0B, investment banking fees rose to $6.6B, and market making fell $953M to $12.0B. Credit stayed contained, with the total consumer net charge-off ratio at 0.88 percent and the card ratio at 3.68 percent. The efficiency ratio improved to 61.65 percent from 63.12 percent, and common equity tier 1 capital was $201.4B, an 11.4 percent standardized ratio against a 10.0 percent minimum.
TD Bank
TD reported fiscal 2025 revenue of ~$48.8 billion (C$67.78 billion) and net income of ~$14.8 billion (C$20.54 billion); the reported figure includes the gain on selling its Charles Schwab stake in February 2025. On an adjusted basis, revenue was ~$44.5 billion (C$61.81 billion) (up 9%) and earnings were ~$10.8 billion (C$15.03 billion) (up 5%). Momentum carried into fiscal 2026: in the third quarter ended July 31, 2026, reported net income was ~$3.33 billion (C$4.62 billion) versus ~$2.4 billion (C$3.34 billion) a year earlier, adjusted net income rose 21% to ~$3.36 billion (C$4.67 billion), adjusted EPS was C$2.77, and total revenue was about $12.2 billion (C$16.9 billion). CET1 capital stood at 14.26% at July 31, 2026, which supported a completed ~$5.04 billion (C$7 billion) buyback in September 2026 and a newly announced program of up to $7.2 billion (C$10 billion).
Revenue and profit by year
Bank of America
| Year | Revenue | Net income | Margin | Growth | Source |
|---|---|---|---|---|---|
| FY2025 | $113.1B | $30.5B | 27.0% | +6.8% | Source |
| FY2024 | $105.9B | $27B | 25.5% | +3.0% | Source |
| FY2023 | $102.8B | $26.3B | 25.6% | +8.2% | Source |
| FY2022 | $95B | $27.5B | 29.0% | +6.6% | Source |
| FY2021 | $89.1B | $32B | 35.9% | +4.2% | Source |
| FY2020 | $85.5B | $17.9B | 20.9% | -6.3% | Source |
| FY2019 | $91.2B | $27.4B | 30.1% | +0.2% | Source |
| FY2018 | $91B | $28.1B | 30.9% | +4.5% | Source |
| FY2017 | $87.1B | $18.2B | 20.9% | +4.1% | Source |
| FY2016 | $83.7B | $17.8B | 21.3% | — | Source |
TD Bank
| Year | Revenue | Net income | Margin | Growth | Source |
|---|---|---|---|---|---|
| FY2025 | ~$45.6B | ~$14.4B | 31.6% | +18.8% | Source |
| FY2024 | ~$38.3B | ~$6B | 15.6% | +7.8% | Source |
| FY2023 | ~$35.6B | ~$7.3B | 20.4% | +3.5% | Source |
| FY2022 | ~$34.4B | ~$12.4B | 36.0% | +11.2% | Source |
| FY2021 | ~$30.9B | ~$10.1B | 32.7% | — | Source |
Where the revenue comes from
Bank of America
- Net interest income~53%
Interest on loans and securities less interest paid on deposits and debt; $60.1B in 2025.
- Investment and brokerage services~18%
Asset management, brokerage and advisory fees, mostly from Merrill and the Private Bank; $20.0B in 2025.
- Market making and similar activities~11%
Global Markets trading revenue across rates, credit, currencies, commodities and equities; $12.0B in 2025.
- Investment banking fees~6%
Underwriting and advisory fees excluding self-led deals; $6.6B in 2025.
- Service charges~6%
Treasury service charges and consumer deposit account fees; $6.5B in 2025.
- Card income~6%
Interchange, annual fees and other credit and debit card income; $6.4B in 2025.
TD Bank
- Canadian Personal and Commercial Banking - Net Interest Income~25%
Interest income from loans and deposits in Canada generated CAD $16.70 billion in FY2025, up 6% from FY2024. Driven by residential mortgages, personal loans, and commercial lending funded by a CAD $398 billion deposit base. Net interest margin of 2.82%.
- Canadian Personal and Commercial Banking - Non-Interest Income~7%
Service charges, card services, insurance revenue, and fees generated CAD $4.50 billion in FY2025. Includes credit card interchange, overdraft fees, and commercial banking fees.
- U.S. Retail - Net Interest Income~18%
Interest income from US loans and deposits generated CAD $12.37 billion in FY2025, up 7% from FY2024. Net interest margin of 3.15%, higher than Canada due to the US rate environment. Operating under $434 billion asset cap.
- U.S. Retail - Non-Interest Income~5%
Service charges, card services, and wealth management fees from US operations generated CAD $3.37 billion in FY2025. Includes TD Auto Finance fees and TD Wealth (U.S.) contributions.
- Wealth Management and Insurance - Fees and Premiums~15%
Management fees on CAD $759 billion in AUA and CAD $601 billion in AUM, plus insurance premiums, generated net revenue of approximately CAD $9.0 billion after insurance service expenses of CAD $6.09 billion.
- Wholesale Banking - Trading and Advisory~12%
Trading-related revenue of CAD $3.47 billion and corporate and investment banking fees of CAD $2.73 billion generated CAD $7.99 billion in total wholesale revenue in FY2025. Includes TD Cowen contributions.
Business model and strategy
Bank of America
How it makes money
The model is a deposit-funded spread business layered with fee income. Consumer Banking gathers low-cost deposits and lends through mortgages, cards and auto loans, producing $43.7B of revenue in 2025 and $12.2B of net income. Global Wealth and Investment Management charges fees on $4.75T of client balances, including $2.18T of assets under management, for $24.9B of revenue.
Growth strategy
Growth comes from deepening existing relationships rather than buying banks. Consumer Banking adds clients through digital channels, with 49 million active digital users and 41 million mobile users at the end of 2025, while the branch network is consolidated slowly, down 72 to 3,628 centers during the year, and rebuilt in selected metropolitan markets.
Competitive advantage
Bank of America's advantage is cheap, sticky funding. It held $2.02T of deposits at December 31, 2025, much of it in transaction accounts, and the total deposit spread was 2.92 percent in 2025 against 2.77 percent in 2024.
TD Bank
How it makes money
TD Bank (Toronto-Dominion Bank) operates a diversified multinational retail, commercial, and wholesale banking business model across Canada and the United States. Revenue is generated through two primary engines: Net Interest Income (NII) earned on the spread between interest earned on residential mortgages, commercial loans, personal credit lines, and credit cards versus interest paid on customer deposits;
Growth strategy
TD allocated CAD $8 billion to share buybacks and plans to invest the remainder in organic growth, particularly in Canadian personal banking and wealth management. The Cowen acquisition added 1,700 employees and established TD as a meaningful player in US equities and investment banking, but the segment's return on equity of 15.0% in FY2025 remains below the bank's overall target.
Competitive advantage
TD Bank's advantage comes from Canadian banking scale, low-cost deposits, branch and digital reach, brand trust, wealth and insurance breadth, and strong capital ratios.
Questions about Bank of America vs TD Bank
Which company has higher revenue — Bank of America Corporation or The Toronto-Dominion Bank?
Bank of America Corporation reported $113.1B (FY2025), while The Toronto-Dominion Bank reported ~$45.6B (FY2025). By last reported revenue, Bank of America Corporation is the larger business, with The Toronto-Dominion Bank reporting a smaller revenue base.
What is the market cap of Bank of America Corporation vs The Toronto-Dominion Bank?
Bank of America Corporation's market capitalisation stands at $380.6B, while The Toronto-Dominion Bank's is $201.0B. Bank of America Corporation carries the higher market valuation, reflecting investors' expectations of its future earnings power relative to The Toronto-Dominion Bank.
Which is more financially efficient — Bank of America Corporation or The Toronto-Dominion Bank?
Bank of America Corporation generates $531k / employee in revenue per employee, while The Toronto-Dominion Bank generates $456k / employee. Bank of America Corporation shows higher revenue efficiency per headcount, though this reflects business model differences — capital-light software companies routinely outperform labour-intensive manufacturers on this metric.
How do Bank of America Corporation and The Toronto-Dominion Bank make money?
Bank of America Corporation and The Toronto-Dominion Bank generate revenue in fundamentally different ways. Bank of America Corporation: The model is a deposit-funded spread business layered with fee income. The Toronto-Dominion Bank: TD Bank (Toronto-Dominion Bank) operates a diversified multinational retail, commercial, and wholesale banking business model across Canada and the United States.
Which company is valued higher relative to revenue — Bank of America Corporation or The Toronto-Dominion Bank?
On a price-to-sales (P/S) basis, Bank of America Corporation trades at 3.4x P/S and The Toronto-Dominion Bank at 4.4x P/S. The Toronto-Dominion Bank commands a higher revenue multiple, typically indicating that investors expect faster growth or higher future margins compared to Bank of America Corporation. A higher multiple is not inherently better — it may also signal that the stock is priced for perfection.
Is Bank of America Corporation bigger than The Toronto-Dominion Bank?
By last reported revenue, Bank of America Corporation ($113.1B (FY2025)) is the larger company compared to The Toronto-Dominion Bank (~$45.6B (FY2025)). Revenue scale is one dimension of size — market capitalisation, employee count, and geographic reach are also relevant depending on the context.
Figures come from each company's filings and the sources linked beside them. Amounts reported in another currency are shown in US dollars at an approximate rate and marked with ~. Back to the Bank of America vs TD Bank overview