logo-loader
viewJPMorgan Chase & Co

JP Morgan shares ease premarket after corporate investment banking numbers disappoint

The bank recorded a US$2.4bn charge to cover the new one-time repatriation tax on income it has kept abroad and to adjust the value of its deferred tax assets and liabilities

1515763660_shutterstock_160975910.jpg
The banking giant said CIB revenue dropped 12% to US$7.48bn, below market consensus for US$7.91bn.

JP Morgan Chase & Co (NYSE:JPM) saw its shares fall in premarket trade after the company’s mixed fourth quarter results failed to impress the market, with corporate and investment banking revenue falling below market expectations.

In a statement, the banking giant said CIB revenue dropped 12% to US$7.48bn, below market consensus for US$7.91bn.

New one-time repartriation tax on income kept abroad

In the fourth quarter, net income fell 32% to US$2.3bn, while banking revenue rose 10% to US$3.1bn, led by the 10% hike in investment banking revenue.

In the period, markets and investor services revenue dropped 22% to US$4.4bn, hit by the 26% drop in markets revenue.

Fixed income markets revenue fell 34% while equity markets was flat, the company said.

The biggest US bank by assets, recorded a US$2.4bn charge to cover a new one-time repatriation tax on income it has kept abroad and to adjust the value of its deferred tax assets and liabilities.

Net profit, adjusted to exclude the tax charge and other one-time items, came in at US$6.7bn or US$1.76 per share, above Wall Street expectations for US$1.69.

In premarket trade, JPM was down 0.97% at US$110.84.

Quick facts: JPMorgan Chase & Co

Price: 92.66 USD

NYSE:JPM
Market: NYSE
Market Cap: $282.34 billion
Follow

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

FOR OUR FULL DISCLAIMER CLICK HERE

Watch

KORE Mining is cashed up and ready for exploration on 4 unique projects

KORE Mining (CVE: KORE) CEO Scott Trebilcock joined Steve Darling from Proactive to discuss the company, that is exploring 4 properties including their Imperial project which they just completed a positive PEA. Trebilcock tells Proactive about that gold project and also about their...

15 hours, 13 minutes ago

2 min read