JPMorgan Chase Reports 12.7% Revenue Growth to $134.8 Billion, Net Income Rises to $44.5 Billion

JPMorgan Chase & Co. reported significant financial performance for the nine months ending September 30, 2024, with total net revenue reaching $134.8 billion, a 12.7% increase from $119.5 billion in the same period of 2023. The firm's net income also rose to $44.5 billion, up from $40.2 billion year-over-year. Basic earnings per share improved to $14.97 from $13.20, reflecting strong profitability despite a slight decline in net income for the third quarter of 2024, which was $12.9 billion, down 2% from $13.2 billion in Q3 2023.

The increase in revenue was driven by a 3% rise in net interest income, totaling $69.2 billion for the nine months, attributed to a favorable balance sheet mix and higher revolving balances in Card Services. Noninterest revenue also saw a substantial increase, reaching $65.6 billion, up from $54.3 billion in the previous year, bolstered by higher asset management fees and increased card income.

The firm’s total assets grew to $4.2 trillion, up from $3.9 trillion a year earlier, with trading assets significantly increasing to $787.5 billion from $602.0 billion. Deposits rose to $2.43 trillion, reflecting a 2.2% increase from the previous year, driven by inflows in Payments and Securities Services, although Consumer & Community Banking (CCB) experienced a decline due to increased customer spending.

JPMorgan Chase's strategic developments included the acquisition of certain assets and liabilities of First Republic Bank on May 1, 2023, which has impacted its operations and financial results. The integration of these operations is expected to be substantially complete by the end of 2024. The firm also reorganized its business segments in Q2 2024, consolidating the Corporate & Investment Bank and Commercial Banking into a single segment.

The provision for credit losses increased to $8.0 billion year-to-date, reflecting a net addition of $1.8 billion to the allowance for credit losses, primarily in consumer credit. Nonperforming assets rose to $8.6 billion, a 6% increase attributed to higher wholesale nonaccrual loans, particularly in Real Estate.

In terms of capital, the firm reported a Common Equity Tier 1 (CET1) capital ratio of 15.3% as of September 30, 2024, slightly up from 15.0% at the end of 2023. The firm’s market capitalization surged to $593.6 billion, compared to $419.3 billion a year prior, reflecting strong investor confidence and performance.