01—Abstract
Summary
Summary of the 10-Q filed October 30, 2024. Cited figures are marked; the original filing is the authoritative source.
JPMorgan Chase & Co. reported solid third-quarter 2024 results, with net income of $12.9 billiona, a slight decrease of 2% year-over-year, leading to diluted earnings per share of $4.37.
Total net revenue increased by 7% to $42.7 billionb, driven by a 12% rise in noninterest revenue, which benefited from improved investment banking fees and stronger asset management fees. Net interest income saw a modest 3% increase, supported by balance sheet growth and portfolio reinvestments, though partially offset by deposit margin compression. Expenses rose by 4% to $22.6 billion, primarily due to higher compensation and technology investments.
The provision for credit losses increased significantly to $3.1 billionc, driven by higher net charge-offs in Card Services, indicating a normalization of credit trends. The firm maintained strong capital ratios, with CET1 capital at 15.3%, and demonstrated robust liquidity. All business segments contributed positively, with particularly strong returns in Asset & Wealth Management (ROE 34%) and Consumer & Community Banking (ROE 29%).
02—Key points
Key Highlights
- Net income of $12.9 billion, down 2% year-over-year, with diluted EPS of $4.37.
- Total net revenue increased 7% to $42.7 billion, driven by a 12% increase in noninterest revenue.
- Net interest income grew 3% to $23.4 billion, benefiting from balance sheet growth and portfolio reinvestments.
- Provision for credit losses increased to $3.1 billion, driven by higher net charge-offs in Card Services.
- Strong capital position maintained with CET1 capital ratio at 15.3% and a robust Liquidity Coverage Ratio (LCR) of 114%.
- Asset & Wealth Management delivered a strong ROE of 34%, and Consumer & Community Banking achieved an ROE of 29%.
- Investment Banking fees surged 31% year-over-year, reflecting strong advisory and debt underwriting performance.
03—One dollar
04—Financials
Financial Highlights
Figures from 10-QQ3 FY2024filed October 30, 2024Financial Statements
Q3 FY2024 against Q3 FY2023
| Line item | Q3 FY2024Q3 FY2023 | Change |
|---|---|---|
| Net Income | $12.90B$13.15B | −1.9% |
| EPS (Basic) | $4.38$4.33 | +1.2% |
| EPS (Diluted) | $4.37$4.33 | +0.9% |
| Shares Outstanding (Basic) | 2.86B2.93B | −2.3% |
| Shares Outstanding (Diluted) | 2.87B2.93B | −2.3% |
05—Questions
Frequently Asked Questions
How did JPMorgan Chase's revenue perform in Q3 2024?
JPMorgan Chase reported a total net revenue of $42.7 billion for the third quarter of 2024, an increase of 7% compared to the prior year. This growth was primarily driven by a 12% increase in noninterest revenue, which benefited from higher investment banking fees and asset management fees. Net interest income also increased by 3% to $23.4 billion.
What was the trend in credit losses for JPMorgan Chase?
The provision for credit losses increased to $3.1 billion in the third quarter of 2024, up from $1.4 billion in the prior year. This increase was primarily due to higher net charge-offs in Card Services, reflecting ongoing credit normalization in that segment. The allowance for loan losses to total retained loans ratio stood at 1.86%.
How did the firm's capital and liquidity positions fare?
JPMorgan Chase maintained a strong capital and liquidity position. The Common Equity Tier 1 (CET1) capital ratio was 15.3% under the Standardized approach. The Firm's Liquidity Coverage Ratio (LCR) was 114% for the Firm overall and 121% for JPMorgan Chase Bank, N.A., indicating ample liquidity to meet short-term stress obligations.
06—Continue