How did J.P. Morgan Chase's first quarter 2002 earnings compare to the previous quarter and the same quarter last year?

J.P. Morgan Chase reported operating earnings of $0.57 per share for the first quarter of 2002. This is a significant increase from the $0.17 per share in the fourth quarter of 2001 but lower than the $0.74 per share reported in the first quarter of 2001. Reported net income was $982 million ($0.48 per share) in Q1 2002, an improvement from the Q4 2001 net loss of $332 million (-$0.18 per share), but below the $1,199 million ($0.58 per share) in Q1 2001.

What is the impact of SFAS 142 on the reported earnings?

SFAS 142, which relates to goodwill and other intangible assets, was implemented in the first quarter of 2002. To ensure comparability, J.P. Morgan Chase adjusted its 2001 operating earnings to include the impact of goodwill amortization. This means that 2001 results are presented on a basis comparable to the new accounting standard adopted for the first quarter of 2002.

Are there any significant one-time items affecting the Q1 2002 results?

Yes, the reported net income for Q1 2002 of $982 million ($0.48 per share) includes special items such as merger and restructuring costs. The operating earnings of $1,150 million ($0.57 per share) exclude these special items and are presented to provide a view of ongoing business performance.

Where can I find more detailed financial information and future outlook?

The filing indicates that a press release detailing the 2002 first quarter earnings is attached as an exhibit. Additionally, a 2002 First Quarter Financial Supplement is available. The press release also contains forward-looking statements that are subject to risks and uncertainties, which are further described in J.P. Morgan Chase's 2001 Annual Report on Form 10-K.

JPMORGAN CHASE & CO 8-K SEC Disclosure

Summary

J.P. Morgan Chase & Co. (JPM) reported its first quarter 2002 results, a period marked by the adoption of SFAS 142, which impacts comparability with prior periods. The company reported operating earnings of $0.57 per share and $1,150 million in operating earnings for the quarter. This represents a significant increase from the fourth quarter of 2001, but a decrease compared to the first quarter of 2001. Reported net income, which accounts for special items like merger and restructuring costs, was $982 million or $0.48 per share. This figure is a substantial improvement from the net loss reported in the fourth quarter of 2001, but also lower than the net income achieved in the first quarter of 2001. Investors should note the adjustments made to 2001 results to account for goodwill amortization under the new accounting standard, which are detailed in the accompanying press release.

Key Highlights

1JPM reported first quarter 2002 operating earnings of $0.57 per share, up from $0.17 in Q4 2001 but down from $0.74 in Q1 2001.
2Operating earnings for Q1 2002 were $1,150 million, an increase from $356 million in Q4 2001 but a decrease from $1,527 million in Q1 2001.
3Reported net income for Q1 2002 was $982 million, or $0.48 per share.
4Q1 2002 reported net income shows a strong recovery from a net loss of $332 million (or -$0.18 per share) in Q4 2001.
52001 operating earnings were adjusted to include goodwill amortization to allow for a more comparable basis with Q1 2002, reflecting the adoption of SFAS 142.
6The filing includes a press release with forward-looking statements subject to risks and uncertainties, as detailed in JPM's 2001 10-K filing.

JPMORGAN CHASE & CO 8-K Report (Apr 19, 2002)

Summary

Key Highlights

Frequently Asked Questions