JPMorgan Chase’s revenue hit a record high in the first quarter, beating analysts’ expectations, as net interest income rose nearly 50 percent year-on-year amid higher interest rates.
Revenues of the largest US bank in terms of assets increased by 25 percent to reach about $39.3 billion in the first three months of this year, despite the banking crisis that occurred this quarter after the collapse of 3 US banks.
The bank’s net interest income jumped 49 percent in the first quarter of this year to reach $20.8 billion, taking advantage of the most aggressive rate hike series launched by the Federal Reserve in decades to curb inflation.
JPMorgan Chase’s net profit jumped 52 percent to about $12.6 billion, the bank said in a statement Friday.
The bank’s shares rose about 6 percent in pre-market trading in America after the results were announced.
The markets are looking forward to the season of announcing the results of the US banks’ business for the first quarter, which witnessed fears of a major banking crisis, especially after the collapse of Silicon Valley Bank, which caused panic in the global financial markets.
“The US economy continues to be anchored on generally healthy foundations – consumers are still spending and have healthy balance sheets, and businesses are still doing well,” JPMorgan CEO Jamie Dimon said in the statement.
But he said, “However, the storm clouds we have been watching over the past year are still looming, and disruption to the banking industry is adding to these risks,” adding that banks are likely to rein in lending as they become more conservative ahead of a potential downturn.
