JPMorgan Chase & Co (NYSE:JPM, ETR:CMC) reported a 9% rise in first-quarter profit on Friday, as strong trading results and loan growth helped the largest US bank by assets beat Wall Street expectations.
But CEO Jamie Dimon warned that the global economy is facing "considerable turbulence," including the prospect of a recession.
The bank posted earnings per share of $5.07, topping analysts’ estimates of $4.61. Revenue rose to $45.3 billion, ahead of the $44.1 billion forecast, as equities trading outperformed expectations.
Shares of JPMorgan climbed 3% in early trading following the results.
Despite the upbeat quarter, Dimon flagged a range of risks facing the global economy. He warned that the economy is confronting “considerable turbulence (including geopolitics), with the potential positives of tax reform and deregulation and the potential negatives of tariffs and ‘trade wars,’ ongoing sticky inflation, high fiscal deficits and still rather high asset prices and volatility.”
Adjusted revenue reached $46.01 billion, beating expectations of $44.39 billion. Equities sales and trading revenue came in at $3.81 billion, ahead of the $3.18 billion estimate, while fixed income revenue was $5.85 billion, just below forecasts of $5.99 billion. Investment banking revenue fell short of expectations at $2.27 billion versus $2.34 billion.
Loans totaled $1.36 trillion, slightly above estimates, and total deposits rose to $2.5 trillion, exceeding projections.