Catenaa, Tuesday, October 13, 2026- JPMorgan Chase reported less-than-expected profits in the third quarter, with profits jumping by 6% year-on-year to $15.3 billion.
The bank reported an EPS of $5.57, missing analysts’ forecast of $5.90 per share. Revenue rose 8% year-on-year to $50.9 billion.
JPMorgan reported $658 million in investment securities losses during the quarter. Excluding those losses, revenue increased 9% from a year earlier, supported by trading activity, deposit growth and higher asset management fees across its business divisions.
JPMorgan Chase CFO Jeremy Barnum said in the earnings call that expenses rose 12% year-on-year to $27.3 billion, largely driven by higher volume and revenue-related expenses, as well as front office hiring and wage inflation.
He said that credit costs were $2.7 billion, with net charge-offs of $2.2 billion, and a net reserve build of $539 million.
Barnum said fixed-income trading revenue declined 4% from a year earlier, reflecting weaker performance in commodities, rates and credit. Meanwhile, equities revenue increased 49%, supported by activity in prime brokerage and derivatives.
The largest bank in the US saw debit and credit spend grow 10% year-on-year, with continued momentum across spending categories, including gas and travel, supported by consumer demand.
Deposit growth was up 4% year-on-year, driven by continued growth in the bank’s customer base across consumer and business banking, and retained its number one position in retail deposit share based on FDIC data.
Client investment assets crossed $1.4 trillion, up 15% year-on-year, driven by market performance and strong flows.
“We expect fourth quarter NII ex markets to be approximately $25.5 billion and fourth quarter total NII to be about $28 billion,” Barnum said.
The bank also expects NII of approximately $107 billion in 2027.
“It is important to remember that this central case is based on a series of assumptions that are obviously highly uncertain, even under the best of circumstances,” Barnum added.
