JPMorgan’s First Quarter Earnings Beat Expectations

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By Jacob Maslow

JP morgan london officeJPMorgan (NYSE: JPM) released its results on Tuesday, which beat expectations. In early March, the bank’s CEO Jamie Dimon told investors that a volatility spike led to higher revenues than the previous year. The newly-posted results are in-line with Dimon’s announcement, with trading revenues rising for the first time since the financial crisis.

JPMorgan, the largest bank by assets in the United States, reported an 8% increase in revenue year-over-year in its investment banking division. The company also saw a 19% increase in earnings due to trading revenues increase of 7% increase to $6.5 billion. The investment banking division saw revenues of $9.5 billion and a profit of $2.5 billion.

The company surpassed expectations when it reported $24.8 billion in revenue, or $1.45 earnings per share. The bank was expected to earn $24.5 billion, or $1.40 earnings per share, in the first quarter.

Trading revenue aside, analysts are also keeping a watchful eye on the bank’s bottom line. Early in 2015, the company announced that it would be cutting expenses to $57 billion from its usual $59 billion rate. During the first quarter, the bank’s non-interest expense was $14.9 billion, an indication that the expense reduction program is moving forward as planned.

JPMorgan shares are up 2% in early morning trading to $63.31 a share.

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