JPMorgan Profit Soars After Bank Releases Reserves for Bad Loans
By Orla McCaffrey
JPMorgan Chase & Co. said Wednesday that first-quarter
profit nearly quintupled, after the bank released $5.2 billion it
had set aside to cover soured loans.
The bank posted a profit of $14.3 billion, or $4.50 per share,
well above the $3.10 per share forecast by analysts polled by
FactSet. A year earlier, JPMorgan reported a quarterly profit of
$2.87 billion, or $0.78 a share.
At that time, the coronavirus pandemic was just taking hold in
the U.S., and JPMorgan and other big banks set aside billions of
dollars to prepare for a potential flood of bad loans. In the first
quarter, the reserve release gave earnings a meaningful boost. The
bank released $2.9 billion in the fourth quarter.
Write to Orla McCaffrey at email@example.com
(END) Dow Jones Newswires
April 14, 2021 07:27 ET (11:27 GMT)
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