After a significant loss the year before thanks to some weighty legal bills, JPMorgan returned to profitability in third quarter 2014. Meanwhile, Wells Fargo hit analysts’ expecations on the nose with earnings up 3% from third quarter last year. Citigroup, which exceeded analysts’ earnings expectations for the third quarter, announced in their earnings report that they would reduce their footprint from 35 markets to 24.
JPMorgan Chase & Co., the U.S.’s biggest bank, today reported a third-quarter profit of $5.6 billion up from a loss of $0.4 billion the year before. Earnings per share were $1.36, missing analysts’ expectations of $1.38 per share but showing a considerable improvement from a loss of $0.17 a share a year earlier.
Revenue was up 5% year over year, reporting $25.2 billion for third quarter 2014 — boosted in part by revenues from JPMorgan’s Markets & Investor Services and fixed income trading operations.
Markets & Investor Services revenue was $6.1 billion, up 15% from the year before. The bank reported fixed income markets revenue of $3.5 billion, up 2% from the prior year, with “particularly strong performance in currencies and emerging markets,” the New York-based firm said today in a statement.
JPMorgan’s asset management division saw long-term inflows for the 22nd consecutive quarter, reporting third-quarter profits of $572 million, up 20% from a year ago.
Jamie Dimon, chairman and CEO of JPMorgan, commented on the financial results in a statement released by the bank.
“While challenges remain in the global economic recovery, the U.S. economy is an exception, showing signs of steady improvement. Corporate America is in good shape with strong balance sheets, and employment trends continue to be positive. JPMorgan continued to support the economic recovery. We provided credit and raised capital of $1.6 trillion for our clients during the first nine months of 2014, which included $15 billion for U.S. small businesses.”
Wells Fargo, one of the largest mortgage lenders, reported third quarter earnings and revenue in line with analysts’ expectations. The bank reported a net income of $5.7 billion, up 3% year over year, and earnings per share of $1.02 that were also up 3% from last year.