This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

JPMorgan Chase Reports Fourth-Quarter 2012 Net Income Of $5.7 Billion, Or $1.39 Per Share, On Revenue1 Of $24.4 Billion

JPMorgan Chase & Co. (NYSE: JPM):

  • Strong performance across our businesses 2 : strong lending in Commercial Banking, Business Banking, Mortgage Banking and Asset Management
    • Consumer & Business Banking average deposits up 10%; Business Banking loan growth for the ninth consecutive quarter to a record $18.9 billion, up 7%
    • Mortgage Banking reported strong production revenue; originations of $51.2 billion, up 33%
    • Credit Card sales volume 1 up 9%
    • Corporate & Investment Bank reported record debt underwriting fees and maintained #1 ranking for Global Investment Banking fees; record assets under custody of $18.8 trillion, up 12%
    • Commercial Banking reported record revenue; loan growth for the tenth consecutive quarter to a record $128.2 billion, up 14%
    • Asset Management reported record revenue; fifteenth consecutive quarter of positive net long-term client flows; record loan balances of $80.2 billion
  • JPMorgan Chase supported consumers, businesses and communities in 2012
    • Over $1.8 trillion of capital raised and credit 1 provided
      • $275 billion for consumers; originated more than 920,000 mortgages
      • $20 billion for U.S. small businesses, up 18%
      • $520 billion for corporations
      • $915 billion of capital raised for clients
      • $85 billion of capital raised and credit 1 for nearly 1,500 nonprofit and government entities, including states, municipalities, hospitals and universities
    • Hired nearly 5,000 U.S. veterans and service members since the beginning of 2011
  • Fourth-quarter results included the following significant items
    • $900 million pretax expense ($0.14 per share after-tax reduction in earnings) for mortgage-related matters in Mortgage Banking, predominantly the Independent Foreclosure Review settlement
    • $567 million pretax loss ($0.09 per share after-tax reduction in earnings) from debit valuation adjustments (“DVA”) in the Corporate & Investment Bank
    • $620 million after-tax benefit ($0.16 per share after-tax increase in earnings) from tax adjustments in Corporate
    • $700 million pretax benefit ($0.11 per share after-tax increase in earnings) from reduced mortgage loan loss reserves in Real Estate Portfolios
  • Fortress balance sheet strengthened
    • Basel I Tier 1 common 1 of $140 billion, or 11.0%, up from 10.4% in the prior quarter
    • Estimated Basel III Tier 1 common 1 of 8.7% 3 , up from 8.4% in the prior quarter
    • Loan loss reserves of $21.9 billion; Global Liquidity Reserve of $491 billion

JPMorgan Chase & Co. (NYSE: JPM) today reported net income for the fourth-quarter of 2012 of $5.7 billion, compared with net income of $3.7 billion in the fourth quarter of 2011. Earnings per share were $1.39, compared with $0.90 in the fourth quarter of 2011. Revenue 1 for the quarter was $24.4 billion, up 10% compared with the prior year. The Firm’s return on tangible common equity 1 for the fourth quarter of 2012 was 15%, compared with 11% in the prior year.

Net income for full-year 2012 was a record $21.3 billion, compared with $19.0 billion for the prior year. Earnings per share were a record $5.20 for 2012, compared with $4.48 for 2011. Revenue 1 for 2012 was $99.9 billion, flat compared with 2011.

JPMorgan Chase & Co. also announced today that the Firm’s Management Task Force and the independent Review Committee of the Firm’s Board of Directors (the “Board Review Committee”) have each concluded their reviews relating to the 2012 losses by the Firm’s Chief Investment Office (“CIO”) and have released their respective reports. Both reports are available on the Firm’s website and are discussed at greater length in a Form 8-K filed with the SEC today.

1 of 15

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG

Markets

DOW 18,126.12 -36.87 -0.20%
S&P 500 2,120.79 -2.69 -0.13%
NASDAQ 5,097.9760 -8.6170 -0.17%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs