JP Morgan Chase reported its fourth quarter earnings today about 20% higher than it was expected to.
The bank reported earnings of $1.71 per share. That’s $0.29 more than Briefing.com’s estimate of $1.42 per share. This is an increase of 8% from last quarter’s $1.58 per share, and an increase of 30% from last year’s $1.32 per share.
Earlier this week, Briefing.com projected JPMorgan’s net income to come in at $5.14 billion, but today it reported a net income of $6.7 billion. That’s up 7% from last quarter’s $6.2 billion and 24% from last year’s $5.4 billion.
Although the bank profited overall, it’s mortgage banking sector actually saw significant declines during the third quarter. Mortgage banking revenue came in at $1.69 billion a decrease of 10% from last quarter’s $1.87 billion. It was, however, a slight 1% increase from last year’s $1.68 billion.
The bank also beat out revenue estimates of $23.47 billion with its $24.33 billion, a decrease of 5% from last quarter’s $25.51 billion but up 2% from last year’s $23.75 billion.
Net interest income also increased 5% to $12.1 billion, however, similar to Bank of America’s earnings report, that number could come in even higher in the first quarter of 2017 after the higher interest rates have time to take effect.
Overall, the bank voiced optimism in its views of the U.S. economy.
“The U.S. economy may be building momentum,” JP Morgan CEO Jamie Dimon said. “Looking ahead there is opportunity for good, rational and thoughtful policy decisions to be implemented, which would spur growth, create jobs for Americans across the income spectrum and help communities, and we are well positioned to play our part.”