JP Morgan Chase (NYSE: JPM) Posts 57 Percent Jump In Q1 Profit

JP Morgan Chase (NYSE: JPM) announced Wednesday morning first quarter profits jumped 57 percent led by robust revenue growth at its investment banking unit. 

The bank said it earned $3.3 billion or 74 cents a share in the first quarter, up from $2.1 billion or 40 cents a share in the same period a year earlier.

 “The Firm’s net income of $3.3 billion reflected another strong quarter for the Investment Bank, particularly in Fixed Income Markets, and continued solid performance across Asset Management, Commercial Banking and Retail Banking,” said CEO Jamie Dimon.  “Unfortunately, these good results were partially offset by high losses in the consumer credit portfolios.”

Net revenue totaled $28.2 billion, up 5 percent from last year.   Increased fees at its investment banking unit, up 5 percent to $1.4 billion helped offset a decline in equity market fees.  The bank’s credit portfolio continued to weigh on results, providing a net revenue loss of $53 million.

 JP Morgan also continued to firm up its capital and liquidity positions, according to Dimon. “Our first-quarter earnings generated additional capital, resulting in a very strong Tier 1 Capital ratio of 11.5% and a Tier 1 Common ratio of 9.1%” added Dimon. “Total firmwide credit reserves were more than $39 billion, or 5.6% of total loans.

Shares of JP Morgan Chase are trading more than 3 percent higher to $47.30 in pre-market action.