Jp Morgan Chase & Co. · NYSE:JPM
Jp Morgan Chase & — Q3 2019 Earnings Presentation
13 slides from Jp Morgan Chase &'s earnings presentation, Oct 15, 2019
Slide 1: 3Q19 Financial Results
3Q19 Financial Results October 15, 2019
Slide 2: 3Q19 Financial highlights
3Q19 Financial highlights ROTCE1 Common equity Tier 12 Net payout LTM3 18% 12.3% 98% 3Q19 net income of $9.1B and EPS of $2.68 Record managed revenue of $30.1B4 Expense of $16.4B and managed overhead ratio of 55%4 Balance sheet Average total loans flat YoY and down 1% QoQ – Average total l
Slide 3: 3Q19 Financial results
3Q19 Financial results1 $B, except per share data $ O/(U) 3Q19 2Q19 3Q18 Net interest income $14.4 ($0.2) $0.3 Noninterest revenue 15.7 0.7 1.9 Managed revenue1 $B 3Q19 2Q19 3Q18 30.1 0.5 2.2 Net charge-offs $1.4 $1.4 $1.0 Expense Reserve build/(release) 0.1 (0.3) (0.1) 16.4 0.1 0.8 Credit costs Cre
Slide 4: Fortress balance sheet and capital
Fortress balance sheet and capital $B, except per share data 3Q19 2Q19 3Q18 Basel III Standardized1 CET1 capital $188 $189 $185 3Q19 Advanced CET1 capital ratio of 13.1%1 12.3% 12.2% 12.0% Tier 1 capital $215 $216 $211 Tier 1 capital ratio 14.1% 14.0% 13.6% Total capital $243 $244 $238 Total capital
Slide 5: Consumer & Community Banking
Consumer & Community Banking1 $mm Financial performance $ O/(U) Net income of $4.3B, up 5% YoY; revenue of $14.3B, up 7% 3Q19 2Q19 3Q18 Higher NIR driven by Home Lending production and auto lease Revenue $14,259 $426 $969 volumes, and higher NII in Card and CBB Consumer & Business Banking 6,688
Slide 6: Corporate & Investment Bank
Corporate & Investment Bank1 $mm Financial performance $ O/(U) Net income of $2.8B, up 7% YoY; revenue of $9.3B, up 6% 3Q19 2Q19 3Q18 Banking revenue Revenue $9,338 ($303) $533 Investment banking revenue 1,871 95 140 IB revenue of $1.9B, up 8% YoY, reflecting higher fees in debt Treasury Servi
Slide 7: Commercial Banking
Commercial Banking1 $mm Financial performance $ O/(U) Net income of $937mm, down 14% YoY 3Q19 2Q19 3Q18 Revenue of $2.2B, down 3% YoY Revenue $2,207 ($4) ($64) Middle Market Banking 903 (36) (32) Net interest income of $1.6B, down 5% YoY, driven by lower Corporate Client Banking 739 30 (10) de
Slide 8: Asset & Wealth Management
Asset & Wealth Management1 $mm Financial performance $ O/(U) Net income of $668mm, down 8% YoY 3Q19 2Q19 3Q18 Revenue of $3.6B, flat YoY Revenue $3,568 $9 $9 Asset Management 1,816 31 (11) Higher average market levels as well as deposit and loan Wealth Management 1,752 (22) 20 growth, offset b
Slide 9: Corporate
Corporate1 $mm Financial performance $ O/(U) Revenue 3Q19 2Q19 3Q18 Revenue of $692mm, up $795mm YoY Revenue $692 $370 $795 Expense 281 49 253 Higher net interest income, driven by higher balances and mix Credit costs – 2 (2) as well as income related to loan sales in Home Lending2, Net income $
Slide 10: Outlook
Outlook1 Firmwide Expect FY2019 net interest income of <$57.5B, market dependent Expect FY2019 adjusted expense of ~$65.5B Expect FY2019 net charge-offs of ~$5.5B 1 See notes 1 and 3 on slide 10 9
Slide 11: Notes
Notes Notes on non-GAAP financial measures 1. In addition to analyzing the Firm’s results on a reported basis, management reviews Firmwide results, including the overhead ratio, on a “managed” basis; these Firmwide managed basis results are non-GAAP financial measures. The Firm also reviews the resu
Slide 12: Notes
Notes Additional Notes on slide 4 – Consumer & Community Banking 2. Noninterest revenue in CCB in the third quarter of 2019 included approximately $350 million of gains on loan sales in Home Lending. These gains were predominantly offset by a charge in net interest income in CCB for the unwind of th
Slide 13: Forward-looking statements
Forward-looking statements This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on the current beliefs and expectations of JPMorgan Chase & Co.’s management and are subject to significant risks an