One of the largest American banks didn’t disappoint with its quarterly figures
JPMorgan Chase benefited from better-than-expected credit losses and loans growth. In Q4 2021, the bank reported earnings per share of $3.33, topping the $3.01 initially forecasted. At the same time, the revenue came in higher than $29.9 billion, expected at $30.35 billion.
At a company level, revenue increased by just 1% in the quarter as a market slowdown was offset by significant investment banking fees. Non-interest expenses shot up 11% to $17.9 billion on increased compensation costs. The figures were slightly higher than the $17.63 billion estimated by analysts.
The bank put aside billions of dollars for loans losses earlier in the pandemic. It benefited as it steadily released the funds as borrowers held up better than forecast.
CEO Jamie Dimon stated: “Credit continues to be healthy with exceptionally low net charge-offs, and we remain optimistic on U.S. economic growth.”
Excluding the 3.3% drop reported in premarket trading following the earnings release, JPMorgan shares have climbed 6.2% since the beginning of the year.
Sources: barrons.com, cnbc.com
This information is prepared for general circulation. It does not have regard to the specific investment objectives, financial situation or the particular needs of any recipient.
You should independently evaluate each financial product and consider the suitability of such a financial product, by taking into account your specific investment objectives, financial situation or particular needs, and by consulting an independent financial adviser as needed, before dealing in any financial products mentioned in this document.
This information may not be published, circulated, reproduced or distributed in whole or in part to any other person without the Company’s prior written consent.
Past performance is not always indicative of likely or future performance. Any views or opinions presented are solely those of the author and do not necessarily represent those of sc.capex.com