JPMorgan Chase & Co reports record financial results

JPMorgan Chase & Co on January 12th reported a record amount of revenue and net income for 2023, according to its chief financial officer Jeremy Barnum in the company's presentation.

These did, however, include a slight drop in its quarterly profits as the company's net income went from $13.2 billion in Q3 to $9.3 billion in Q4 of 2023.

However, excluding significant items (most notably the acquisition of First Republic in the year), the Q4 2023 net income was $12.1 billion.

This was slightly behind of expectations that the banking giant would report a record $49 billion in profits YoY.

Dividends up significantly

Its common dividend was of $3.04 per share, and an EPS of $3.97, compared to Q3's $3.1 billion, or $1.05 per share, the company said in a statement.

The company's Gross Investment Banking and Markets revenue was also up 32 percent, with a revenue of $924 million.

Flat revenue

Overall, JPMorgan's reported revenue was $38.6 billion and managed revenue was $39.9 billion, remaining flat. By comparison, Q3 revenues were $39.9 billion and managed revenue was $40.7 billion, including $669 million in net investment securities losses.

Credit costs doubled to $2.8 billion, including $2.2 billion of net charge-offs and a $598 million, due to the current high interest rates. In 2023's Q3, credit costs were $1.4 billion.

Loan amounts come down

Average loans were up 17 percent (although up only four percent excluding First Republic), with "average deposits flat" according to JPMorgan. In Q3 2023, they were up 27 percent YoY and nine percent QoQ.

The shares of the company were trading at $170,33 at markets opening on Friday. Market sentiment was generally bullish ahead of the results, with the share price rising from $170.33 to over $170,36 in the hours leading up to the announcement.