Early Access

10-QPeriod: Q3 FY2019

JPMORGAN CHASE & CO Quarterly Report for Q3 Ended Sep 30, 2019

Filed November 4, 2019For Securities:JPMJPM-PCJPM-PDJPM-PKJPM-PLJPM-PMJPM-PJAMJBVYLD

Summary

JPMorgan Chase & Co. reported strong results for the third quarter of 2019, with net income of $9.1 billion, or $2.68 per diluted share, on record net revenue of $29.3 billion. This represents an 8% increase in net income and an 8% increase in total net revenue compared to the same period last year. The firm demonstrated solid profitability with a Return on Common Equity (ROE) of 15% and a Return on Tangible Common Equity (ROTCE) of 18%. Key drivers of the revenue growth included a 13% increase in noninterest revenue, largely supported by strong performance in Fixed Income Markets within the Corporate & Investment Bank (CIB) and growth in Home Lending and Auto in the Consumer & Community Banking (CCB) segment. These positive trends were partially offset by a 5% increase in noninterest expense, attributed to higher volume- and revenue-related expenses and strategic investments. The provision for credit losses saw a significant increase, primarily due to a lower benefit from prior year net reductions in the allowance for credit losses and net recoveries. Capital ratios remained robust, with a Common Equity Tier 1 (CET1) ratio of 12.3%, demonstrating strong capital management. Tangible Book Value Per Share (TBVPS) continued to grow, reaching $60.48, up 9% year-over-year. The firm also announced a 12.5% increase in its common stock dividend to $0.90 per share.

Financial Statements
Beta
Interest Expense$6.89B
Net Income$9.08B
EPS (Basic)$2.69
EPS (Diluted)$2.68
Shares Outstanding (Basic)3.20B
Shares Outstanding (Diluted)3.21B

Key Highlights

  • 1Net income of $9.1 billion, up 8% year-over-year, reflecting strong operational performance.
  • 2Record total net revenue of $29.3 billion, up 8% year-over-year, driven by robust growth in noninterest revenue.
  • 3Return on Common Equity (ROE) of 15% and Return on Tangible Common Equity (ROTCE) of 18%, indicating strong profitability.
  • 4Common Equity Tier 1 (CET1) ratio of 12.3%, demonstrating a solid capital position.
  • 5Tangible Book Value Per Share (TBVPS) grew 9% year-over-year to $60.48, reflecting continued value creation.
  • 6The Consumer & Community Banking (CCB) segment reported a strong ROE of 32%, with significant growth in credit card loans and client investment assets.
  • 7The Corporate & Investment Bank (CIB) saw a 14% increase in Markets revenue, driven by strong performance in Fixed Income Markets.

Frequently Asked Questions