The bank reported adjusted earnings of $6.14 per share, topping the consensus estimate of $5.79. Managed revenue rose to $58.02 billion, ahead of analysts’ expectations of $50.20 billion.
However, reported earnings of $7.70 per share included about $1.56 per share in one-time items, including a $4.6 billion net gain related to Visa shares and a $1.0 billion gain from equity investments.
Earnings Highlights
Net income increased 41% from a year earlier to $21.2 billion.
Net interest income, excluding Markets, rose 4% year over year to $23.7 billion, driven by higher deposit balances and increased revolving balances in card services.
Noninterest revenue, excluding Markets, climbed 59% to $22.3 billion, helped by higher asset management fees, stronger investment banking revenue and increased auto operating lease income.
Markets revenue jumped 35% to $12.1 billion.
Business Performance
Consumer & Community Banking reported net income of $5.3 billion, up 3% from a year earlier, on revenue of $20.3 billion.
Commercial & Investment Bank earnings surged 46% to $9.7 billion as revenue increased 27% to $24.9 billion, led by Markets & Securities Services and Banking & Payments.
Asset & Wealth Management posted net income of $2.0 billion, up 33%, while assets under management reached $5.1 trillion.
Balance Sheet And Capital
Average loans increased 10% year over year and 2% from the prior quarter. Average deposits rose 7% from a year earlier and 3% sequentially.
The provision for credit losses totaled $2.5 billion. Net charge-offs were $2.4 billion, while the net reserve build was $149 million.
JPMorgan returned $4.0 billion to shareholders through common dividends, or $1.50 per share, and repurchased a net $6.2 billion of common stock during the quarter.
The bank ended the quarter with a Common Equity Tier 1 ratio of 14.1% under the standardized approach. Total loss-absorbing capacity stood at $590 billion, while the supplementary leverage ratio was 5.5%.
Book value per share increased 9% year over year to $133.01, and tangible book value per share rose 10% to $113.35.
Management And Outlook
CEO Jamie Dimon said the U.S. economy remained resilient, supported by stronger business investment and hiring, but warned that geopolitical conflicts, persistent inflation, large fiscal deficits and elevated asset prices remain risks.
Dimon added that investment banking activity accelerated during the quarter, with investment banking fees rising 30% to their highest level since 2021. He also said market sentiment remained constructive and that Payments and Securities Services each delivered double-digit revenue growth.
The bank also lowered its projected 2026 card services net charge-off rate to about 3.2% from 3.4%.
JPM Price Action: JPMorgan Chase shares were down 2.85% at $325.00 during premarket trading on Tuesday, according to Benzinga Pro data.
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