Bank of America (BAC), the nation’s largest consumer bank and home lender, says second-quarter net income fell 41% - but results still beat analysts’ estimates.

The company reported net income of $3.41 billion, or $0.72 per share, down from $5.76 billion, or $1.28 per share, for the same period a year ago. Revenue increased 3.5% to $20.3 billion.

Analysts expected the company to earn 53 cents a share on revenue of $18.4 billion.

The company reported write-downs of $1.22 billion. Credit-loss provisions increased to $5.83 billion from $1.81 billion a year ago. The company blamed rising costs in home equity, small business and home building costs.

However, Bank of America says is expects to make money this year from its acquisition of Countrywide, which closed this month. The deal makes Bank of America the nation’s largest home-mortgage lender.

Countrywide’s results weren’t part of Bank of America’s earnings report: The company  reported a second-quarter loss of $2.33 billion.

Last week, Morgan Stanley (MS) cut its rating of Bank of America’s shares, citing the acquisition of Countrywide.

Bank of America’s shares recently fetched $27.49. The 52-week range is $18.44 to $52.96.

Last week, Citigroup, JPMorgan Chase (JPM) and Wells Fargo (WFC) reported second-quarter earnings that weren’t as dire as analysts’ estimates.

Citigroup (C) reported a smaller than expected loss of $2.5 billion. JP Morgan Chase said profit fell 53%. Wells Fargo (WFC) said earnings declined 23%.