JPMorgan Chase reported a jump in first-quarter earnings Friday, lifted by higher interest rates and revenue growth in core businesses
New York (AFP) - JPMorgan Chase reported a jump in first-quarter earnings Friday, lifted by higher interest rates and revenue growth in core businesses.
Net income for the first quarter was $8.7 billion, up 35.1 percent from the year-ago period.
Revenues increased 10.3 percent to $28.5 billion.
The biggest US bank by assets saw increases in revenues in all its major divisions due in large part to higher interest rates, which enabled JPMorgan to increase its profits from the spread between its deposits and loans.
In corporate and investment banking, JPMorgan notched higher advisory fees, offsetting a drop in debt and equity underwriting fees.
Results were also boosted by a drop of $240 million in income taxes following US tax reform, and by $170 million in reserves released that were connected to a single oil and gas company that wasn’t specified in a news release.
Chief executive Jamie Dimon offered an upbeat outlook.
“The global economy continues to do well, and we remain optimistic about the positive impact of tax reform in the US as business sentiment remains upbeat, and consumers benefit from job and wage growth,” Dimon said.
Shares rose 0.6 percent in pre-market trading to $114.