JPMorgan Chase (JPMorgan Chase) reported fourth-quarter results on Wednesday that beat analysts' expectations due to rising investment banking fees.

The world's largest bank by market capitalization reported profits of $14 billion on revenue of $42.77 billion. Analysts polled by Visible Alpha expected US$11.92 billion and US$41.49 billion respectively.

Net interest income (the difference between income generated by interest-earning assets and expenses on interest-earning liabilities) was $23.35 billion, above the consensus estimate of $22.93 billion.

The better-than-expected results were driven by a 46% increase in the firm's investment banking revenue from a year earlier and a 49% rise in fees across JPMorgan's products.

After the earnings report was released, JPMorgan Chase's stock price rose slightly by about 1.5% to $251.09 in intraday trading on Wednesday. Their stock price is up about 50% in the last year.

JPMorgan CEO Jamie Dimon said the results came as the U.S. economy "has remained resilient," noting that "unemployment remains relatively low and consumer spending remains healthy, including during the holidays." Period. Businesses are more optimistic about the economy, encouraged by expectations for a more pro-growth agenda and improved cooperation between government and business.”

However, Dimon said he still sees two "significant risks" to the economy, adding that "current and future spending needs could lead to inflation, and therefore, inflation could persist for some time. In addition, geopolitical conditions Still the most dangerous and complex situation since the 2017 World War. "

Dimon was also asked about plans to name a successor during JPMorgan's earnings call on Wednesday, and responded that the bank's board was reviewing a number of candidates but that a successor "has not yet been determined."

Along with JPMorgan Chase, several other banking giants including Goldman Sachs (GS), Citigroup (C) and Wells Fargo (world financial center) reported better-than-expected earnings on Wednesday, getting off to a strong start to the fourth-quarter earnings season.

JPMorgan's results for the first three quarters of fiscal 2024 mostly beat expectations as its asset management and investment banking businesses grew from last year.

Updated - January. December 15, 2024: This article has been updated to include information from the company's earnings call and to reflect the latest share price value.

Read the original article on Investopedia