On Wednesday, the largest investment bank by market value on Wall Street, JP Morgan & Chase Co., announced its business report for the fourth quarter of 2024, which showed financial results that far exceeded expectations, with the bank recording a record profit of $58 billion for the entire 2024 fiscal year.
For the fourth quarter, JP Morgan's net income rose by 50% to over $14 billion, and earnings per share increased to $4.81, compared to $3.04 in the same quarter of the previous year, surpassing Wall Street's expectations of $4.09 per share.
This came as JP Morgan reported total managed revenues of $43.7 billion, an increase of 10% from the $39.9 billion recorded by the bank in the previous year, while Wall Street experts expected revenues of only $41.9 billion.
The bank's investment banking revenue rose by 46% year-over-year, and trading revenues increased by 21%, driven in part by volatility during the 2024 U.S. presidential elections.
However, on the downside, JP Morgan's provisions for bad loans reached $2.6 billion during the fourth quarter, representing a 20% increase compared to the same period in 2023.
In trading, JP Morgan's shares (NYSE: JPM) jumped by 1.6% in pre-market trading following the stronger-than-expected fourth-quarter results, with the bank's stock trading at $249.99.
