JPMorgan earns $15.3 billion as securities losses temper its quarter
JPMorgan Chase’s third-quarter net income reached $15.3 billion, a rise from a year earlier. A $658 million investment securities loss reduced the result; excluding that item, earnings reached $15.8 billion. Trading and net interest income grew, while expenses and credit provisions also increased. The distinction between reported and adjusted profit matters when reading the bank’s stronger revenue.
Economics & Markets··Evening
A larger profit with a visible offset
JPMorgan Chase reported $15.3 billion in net income for the July–September quarter, 6 per cent more than a year earlier. The result included $658 million in net losses on investment securities. Excluding that item, the bank calculated net income of $15.8 billion. An independent account also reported the increase in profit and the securities loss, anchoring the difference between the published result and the bank’s adjusted comparison.[1], [2]
Reported diluted earnings per share were $5.57, compared with $5.07 in the equivalent 2025 quarter. The securities loss had a $498 million after-tax impact; removing it raised the bank’s adjusted earnings figure to $5.75 per share. Those numbers are alternative ways of describing the same quarter, rather than two separate profit events. The reported figure includes all recognized items and is the starting point for reading the quarter.[1]
Revenue growth comes from several businesses
The bank’s reported revenue rose 8 per cent to $50.2 billion. Managed revenue, a measure incorporating tax-equivalent adjustments, was $50.9 billion and also grew 8 per cent. Net interest income increased 13 per cent to $27.1 billion as deposit balances, card balances and wholesale lending expanded, partly offset by lower interest rates. The two revenue totals use different definitions, so their difference should not be treated as an unexplained shortfall.[1]
Markets revenue increased 15 per cent from a year earlier. Equity-market revenue rose 49 per cent, while fixed-income-market revenue fell 4 per cent. Investment banking fees were 14 per cent higher. These movements show why the bank could post stronger aggregate revenue even when one trading line declined. They also locate the quarter’s expansion in operating businesses, rather than in the securities-loss adjustment used to explain the difference between reported and adjusted profit.[1]
Costs and credit provisions also rise
Noninterest expense reached $27.3 billion, 12 per cent more than a year earlier. JPMorgan pointed to compensation and other costs, including technology and marketing. The provision for credit losses was $2.7 billion, comprising $2.2 billion in net charge-offs and a $539 million increase in reserves. Stronger revenue therefore arrived with higher operating expense and a larger credit-loss provision, a more complete picture than profit growth alone.[1]
The bank paid $4.4 billion in common dividends and made $664 million of net common-share repurchases during the quarter. Its standardized core capital ratio was 13.9 per cent at the end of September. Those capital figures sit alongside, rather than replace, the income statement: the profit, securities loss, revenue mix and credit provisions all come from the same quarterly release. Together they show what contributed to earnings and what reduced the reported total.[1]
