JPMorgan Third -Quarter Profit Rises 8%

By David Benoit 

JPMorgan Chase & Co. said Tuesday that third-quarter profit rose 8% and topped expectations.

The nation's largest bank reported a profit of $9.08 billion, or $2.68 a share. Analysts polled by FactSet had expected earnings of $2.45 a share. A year earlier, the bank reported a profit of $8.38 billion, or $2.34 per share.

Revenue rose 8% to $29.34 billion from $27.26 billion a year ago, above analysts' expectations for $28.47 billion.

The bank has now posted year-over-year profit gains for each of the past seven quarters, boosted by rising interest rates that had increased the profitability on lending operations. That trend reversed itself this summer as the Federal Reserve moved from increasing its base rate to cutting rates.

The bank's net interest income, the amount it makes from lending minus the interest it pays out, rose 2% to $14.23 billion.

JPMorgan shares rallied in September, closing above $120 for the first time in its history. It is up 19% this year, more the KBW Nasdaq bank index and slightly above the S&P 500. Shares rose 0.7% to $117.26 in premarket trading Tuesday.

Write to David Benoit at [e-mail]

(END) Dow Jones Newswires

October 15, 2019 07:18 ET (11:18 GMT)

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