JPMorgan Q4 earnings rise 24% as deposits, trading revenue grow

JPMorgan Chase said Friday its fourth quarter earnings rose 24% from a year ago as consumer banking deposits and fixed income trading revenue grew.

Earnings per share of $1.71 beat the $1.42 estimated by analysts who were polled by S&P Global Markets Intelligence.

Net income for the period was $6.7 billion, compared with $5.4 billion a year ago.

“In the consumer business, we had double digit growth in deposits and core loan balances, our credit card sales volume was a record, and for the year we had over $1 trillion of merchant processing volume," CEO Jamie Dimon said in a statement.

Shares of JPMorgan rose 2% in morning trading to $87.95.

Revenue totaled $24.3 billion, up 2% from a year ago.

The consumer and community banking unit's revenue fell 2% to $11 billion as costs to acquire credit card customers grew. Revenue for consumer banking rose, but the mortgage business was flat. The unit's net income fell 2% to $2.4 billion.

Revenue for the investment banking unit rose 20% to $8.5 billion as it booked higher fees for treasury services and debt underwriting, while equity underwriting and advisory fees fell. Net income nearly doubled to $3.4 billion.

Commercial banking revenue rose 12% to $1.97 billion, reflecting a gain in interest income based on higher deposit spreads and loan growth.