Jp Morgan Chase & Co. · NYSE:JPM
Jp Morgan Chase & — Q1 2021 Earnings Presentation
15 slides from Jp Morgan Chase &'s earnings presentation, Apr 14, 2021
Slide 1: 1Q21 Financial Results
1Q21 Financial Results April 14, 2021
Slide 2: 1Q21 Financial highlights
1Q21 Financial highlights ROTCE1 CET1 capital ratios2 Net payout LTM3 29% Std. 13.1%; Adv. 13.7% 37% ◼ 1Q21 net income of $14.3B and EPS of $4.50 ◼ Excluding significant items4, net income of $10.6B, EPS of $3.31 and ROTCE of 21% ◼ Managed revenue of $33.1B5,6 ◼ Expense of $18.7B6 and managed overhe
Slide 3: 1Q21 Financial results
1Q21 Financial results1 $B, except per share data $ O/(U) 1Q21 4Q20 1Q20 Net interest income $13.0 ($0.4) ($1.6) Noninterest revenue2 20.1 3.3 5.7 Managed revenue1,2 $B 1Q21 4Q20 1Q20 33.1 3.0 4.1 Net charge-offs $1.1 $1.1 $1.5 Expense2 Reserve build/(release) (5.2) (2.9) 6.8 18.7 2.7 1.9 Credit cos
Slide 4: 1Q21 Reserves
1Q21 Reserves Allowance for credit losses ($B) 1Q21 1/1/2020 3/31/2020 12/31/2020 Build/(release) 3/31/2021 Consumer Card $11.2 $15.0 $17.8 ($3.5) $14.3 Home Lending 2.0 2.3 2.0 (0.6) 1.4 Other Consumer 1 1.0 1.3 1.8 (0.4) 1.5 Total Consumer 14.2 18.6 21.6 (4.5) 17.1 1 Wholesale 4.4 6.8 9.1 (0.7) 8.
Slide 5: Fortress balance sheet
Fortress balance sheet $B, except per share data Capital actions 1Q21 4Q20 1Q20 ◼ 2Q21 net buyback capacity of $7.4B6, Risk-based capital metrics1 after paying common dividend of $0.90 per share CET1 capital $206 $205 $184 ◼ Issued $1.5B of preferred stock in 1Q21 CET1 capital ratio – Standardized 1
Slide 6: Consumer & Community Banking
Consumer & Community Banking1 $mm Financial performance $ O/(U) ◼ Net income of $6.7B vs. $197mm in 1Q20 1Q21 4Q20 1Q20 ◼ Revenue of $12.5B, down 6% YoY 2 Revenue $12,517 ($211) ($770) Consumer & Business Banking 5,635 (109) (631) ◼ Expense of $7.2B, down 1% YoY Home Lending 1,458 2 297 ◼ Credit cos
Slide 7: Corporate & Investment Bank
Corporate & Investment Bank1 $mm Financial performance $ O/(U) ◼ Net income of $5.7B, up 189% YoY; revenue of $14.6B, up 46% 1Q21 4Q20 1Q20 ◼ Banking revenue Revenue $14,605 $3,253 $4,602 ◼ IB revenue of $2.9B, up 222% YoY Investment Banking revenue 2,851 354 1,965 Wholesale Payments 1,392 (35) (22)
Slide 8: Commercial Banking
Commercial Banking1 $mm Financial performance $ O/(U) ◼ Net income of $1.2B vs. $139mm in 1Q20 1Q21 4Q20 1Q20 ◼ Revenue of $2.4B, up 11% YoY Revenue $2,393 ($70) $228 Middle Market Banking 916 (31) (27) ◼ Noninterest revenue of $917mm, up 51% YoY, predominantly Corporate Client Banking 851 (5) 178 d
Slide 9: Asset & Wealth Management
Asset & Wealth Management1 $mm Financial performance $ O/(U) ◼ Net income of $1.2B, up 86% YoY 1Q21 4Q20 1Q20 ◼ Revenue of $4.1B, up 20% YoY Revenue $4,077 $210 $688 Asset Management 2,185 (25) 445 ◼ Higher management fees, higher deposit and loan balances, Global Private Bank 2 1,892 235 243 as wel
Slide 10: Corporate
Corporate1 $mm Financial performance $ O/(U) Revenue 1Q21 4Q20 1Q20 ◼ Revenue was a loss of $473mm Revenue ($473) ($224) ($639) Expense 876 515 730 ◼ Net interest income was down $690mm YoY, predominantly Credit costs 16 58 8 driven by lower rates, as well as limited deployment Net income/(loss) ($5
Slide 11: Outlook
Outlook1 Firmwide ◼ Expect FY2021 net interest income to be ~$55B, market dependent ◼ Expect FY2021 adjusted expense of ~$70B ◼ Expect FY2021 Card NCO rate of 2.5%+/- 1 See notes 1 and 4 on slide 11 10
Slide 12: Notes on non-GAAP financial measures
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 results of
Slide 13: Additional notes
Additional notes 1. Reflects the relief provided by the Federal Reserve Board (the “Federal Reserve”) in response to the COVID-19 pandemic, including the CECL capital transition provisions that became effective in the first quarter of 2020. For the periods ended March 31, 2021, December 31, 2020 and
Slide 14: Additional notes on slides 5-7
Additional notes on slides 5-7 Slide 5 – Consumer & Community Banking 3. Actual numbers for all periods, not over/(under) 4. See note 7 on slide 12 5. Excludes Commercial Card 6. Includes the impact of loans originated under the PPP. For further information, see page 12 of the Earnings Release Finan
Slide 15: 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