JPMorgan’s profit surges 52% on robust consumer business

JPMORGAN’S profit climbed in the first quarter as higher interest rates boosted its consumer business in a period that saw two of the biggest banking failures in US history.

The bank’s profit increased 52 per cent to US$12.62 billion, or US$4.10 per share, in the three months ended Mar 31.

JPMorgan’s solid performance follows the high-profile shutdowns of three US lenders last month in the worst banking turmoil since the global financial crisis of 2008.

Regulators took control of Silicon Valley Bank (SVB) and Signature Bank as depositors yanked their funds, marking the second and third-largest collapses in US history.

JPMorgan set aside provisions of US$2.3 billion, up 56 per cent from last year.

Revenue at the lender’s consumer and community banking unit rose 80 per cent to US$5.2 billion. Its Wall Street investment banking business was weighed down by tepid markets for mergers, acquisitions and stock sales. REUTERS