International Courant
Chairman and CEO of JPMorgan Chase & Co. Jaime Dimon speaks on the New York Instances annual DealBook Summit on November 29, 2023 in New York Metropolis.
Michael M Santiago | Getty Photographs
JPMorgan Chase posted third-quarter outcomes that exceeded expectations for earnings and income as the corporate generated extra curiosity revenue than anticipated.
That is what the firm reported:
Earnings: $4.37 per share vs. $4.01 per share LSEG estimateRevenue: $43.32 billion, vs. $41.63 billion estimate
JPMorgan stated revenue fell 2% from a yr earlier to $12.9 billion, whereas income rose 6% to $43.32 billion. Web curiosity revenue rose 3% to $23.5 billion, above the $22.73 billion StreetAccount estimated, because of good points from securities investments and mortgage development in its bank card enterprise.
CEO Jamie Dimon praised the corporate’s quarterly ends in a press release, whereas additionally addressing regulators’ sweeping efforts to drive banks to carry extra capital and expressing concern about rising geopolitical dangers, saying that situations ” treacherous and getting worse.”
“We consider guidelines could be written that promote a powerful monetary system with out inflicting pointless impacts on the financial system,” Dimon stated, addressing the upcoming regulatory adjustments. “This is a superb time to take a step again and assessment the intensive set of current guidelines – which have been put in place for good purpose – to know their impression on financial development” and the well being of the markets, he stated.
The financial institution’s outcomes have been additionally helped by its Wall Road division. Funding banking bills rose 31% to $2.27 billion within the quarter, forward of the $2.02 billion estimate.
Fastened revenue buying and selling generated $4.5 billion in income, unchanged from a yr earlier however surpassing the StreetAccount estimate of $4.38 billion. Shares traded rose 27% to $2.6 billion, beating StreetAccount’s estimate of $2.41 billion.
The biggest US financial institution has thrived in an setting of rising charges, posting document internet revenue figures because the Fed started elevating charges in 2022.
With the Fed reducing charges, questions come up about how JPMorgan will deal with the change. As with different main banks, margins could come underneath stress as rates of interest on interest-generating property comparable to loans fall quicker than financing prices.
Final month, JPMorgan reduce expectations for internet curiosity revenue and expense for 2025, and analysts will need extra particulars on these projections.
Shares of JPMorgan rose about 2% in premarket buying and selling Friday and are up 25% up to now this yr, surpassing the KBW Financial institution Index’s 20% acquire.
Wells Fargo additionally revealed quarterly outcomes on Friday Financial institution of America, Goldman Sachs, Citi Group And Morgan Stanley report subsequent week.
This story is growing. Examine again later for updates.
