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 orla.mccaffrey@wsj.com

 

(END) Dow Jones Newswires

April 14, 2021 07:27 ET (11:27 GMT)

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