Third-quarter earnings reports were solid for JPMorgan Chase and Citigroup on Thursday, as each topped analyst expectations for revenue and profit growth.
JPMorgan Chase reported a third quarter net income increase of 7 percent. The net income of $6.7 billion, or $1.76 per share, was an increase over Q3 2016, which showed net income of $6.3 billion and $1.58 per share.
JPMorgan Chase Chairman and CEO Jamie Dimon commented on the financial results on the company website: “JPMorgan Chase delivered solid results in a competitive environment this quarter with steady core growth across the platform. And for the first time, the Firm led the nation in total U.S. deposits, as consumers and businesses continue to view us as their partner of choice.
“In Consumer & Community Banking, card sales and merchant processing volumes were once again up double digits, while loans and deposits continued to grow strongly. In the Corporate & Investment Bank, we continued to lead our peers in Investment Banking fees, and Treasury Services and Securities Services each generated over $1 billion in revenue. Commercial Banking again delivered outstanding performance with record revenue as our long-term investments in the business are paying off. Our Asset & Wealth Management business delivered strong results with record net income and AUM this quarter.”
Citigroup’s net income increased 8 percent in the third quarter over the previous year, according to the company website. Citigroup had a net income of $4.1 billion in the third quarter, or $1.42 per diluted share, on revenues of $18.2 billion. Third quarter numbers from 2016 were revenue of $17.8 billion with a net income of $3.8 billion for $1.24 per diluted share.
Citi CEO Michael Corbat said on its website: “We delivered a very strong quarter, showing the balance of our franchise by both product and geography and highlighting our multiple engines of client-led growth. We had revenue increases in many of the products we have been investing in, tightly managed our expenses, and again saw loan growth in both our consumer and institutional businesses.”
Corbat also addressed returns to shareholders when he added, “As part of our $19 billion capital plan, we returned $6.4 billion of capital to our shareholders this quarter, enabling us to being to reduce the amount of capital we hold. We continue to be focused on increasing both the return on and the return of capital for the benefit of our shareholders.”
According to Bankrate.com, JPMorgan Chase is the largest bank in the United States with $2.55 trillion in assets while Citigroup is fourth with $1.82 trillion. Bank of America is No. 2 with $2.25 trillion and Wells Fargo is third with $1.95 trillion.
Bank of America and Wells Fargo will release third-quarter earnings Friday.
The remainder of the top 10 is Goldman Sachs [$894 billion], Morgan Stanley [$832 billion], U.S. Bancorp [$450 billion], PNC Financial Services Group [$371 billion], TD Group US Holdings [354 billion] and Capital One Financial [349 billion].