NEW YORK – JPMorgan Chase & Co. (JPM) said Wednesday quarterly earnings rose as investment banking profits offset weaker trading revenue and losses from a surge in bankruptcy filings.
The No. 3 U.S. bank reported fourth-quarter profit rose to $2.7 billion, or 76 cents a share, compared with $1.67 billion, or 46 cents a share, a year earlier.
Excluding expenses related to JPMorgan's purchase of Bank One in 2004 and an insurance recovery, profit was $2.6 billion, or 73 cents per share. Previous year earnings included $1 billion of merger and accounting-related pretax charges.
Wall Street analysts had expected the bank to earn 72 cents per share, according to Reuters Estimates.
"Our businesses performed well overall in the fourth quarter, although trading results were disappointing," said President and Chief Executive Jamie Dimon in a statement.
Net revenue rose 6 percent to $13.7 billion.
About 500,000 Americans sought bankruptcy protection in the week before an Oct. 17 law change made it tougher and more costly for companies and consumers to rid themselves of debt.
Losses related to bankruptcies were an estimated $650 million before taxes, the bank said.
Smaller rivals Wells Fargo (WFC) and U.S. Bancorp on Tuesday each said profit rose 8 percent, as increased borrowing by businesses helped offset losses from a surge in bankruptcy filings.
Shares of JPMorgan ended Tuesday trading at $39.71, about 5 percent higher than 52 weeks ago. That compares with a rise of about 3 percent in the Philadelphia KBW Bank Index of its peers over the same period.