JPMorgan Q2 net income $16.9B, EPS $6.14, ROTCE 23%

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JPMorgan Chase (JPM) Q2 2026 Earnings Call Transcript

Publication Date: July 22, 2026 Source: Motley Fool Transcribing, The Motley Fool Read Time: 61 min

Date

Tuesday, July 14, 2026 at 8:30 a.m. ET

Call Participants

• Chairman and Chief Executive Officer – Jamie Dimon
• Chief Financial Officer – Jeremy Barnum

Full Conference Call Transcript

Operator: Good morning, ladies and gentlemen. Welcome to JPMorgan Chase's second quarter 2026 earnings call. This call is being recorded. Your line will be muted for the duration of the call. We will now go live to the presentation.

Information concerning forward-looking statements and non-GAAP financial measures included in this presentation can be found in JPMorgan Chase's earnings press release and investor presentation posted on the investor relations website. Please stand by.

At this time, I would like to turn the call over to JPMorgan Chase's Chairman and CEO, Jamie Dimon, and Chief Financial Officer, Jeremy Barnum. Mr. Barnum, please go ahead.

Jeremy Barnum: Thanks, Amanda, and good morning, everyone.

Financial Highlights

Including the significant items noted on the page, the firm delivered:

• Net income: $16.9 billion
• EPS: $6.14
• ROTCE: 23%

Excluding significant items:

• Revenue: Up 15% year-on-year, driven primarily by markets revenue, higher asset management fees in AWM and CCB, higher investment banking revenue, and higher deposit and loan balances. This was partially offset by the impact of lower rates.
• Expenses: $27.3 billion, up 15% year-on-year, largely driven by volume and revenue-related expense, as well as growth in front office hiring and labor inflation.
• Credit costs: $2.5 billion, with net charge-offs of $2.4 billion and a net reserve build of $149 million.

Balance Sheet & Capital

• Standardized CET1 ratio: 14.1%, down 20 basis points versus the prior quarter, as net income was more than offset by higher RWA and capital distributions.
• Standardized RWA increase: Approximately $103 billion, largely driven by increases in financing across our markets business, as well as growth in traditional lending.
• Dividend: As noted in our CCAR press release in June, the board intends to increase the quarterly dividend to $1.65 per share, effective in the third quarter.

Consumer & Community Banking (CCB)

CCB reported net income of $5.3 billion.

• Revenue: $20.3 billion, up 8% year-on-year, driven by higher card NII (largely on higher revolving balances), higher operating lease income in auto, and higher asset management fees in wealth management.

Key Highlights:

• Consumers and small businesses continue to show resilience despite elevated gas prices and inflation, with higher tax refunds and a solid labor market contributing to strong spend growth.
• In banking and wealth management, average deposits were up 3% year-on-year and 2% quarter-on-quarter, driven by strong net new checking account growth of over 500,000 accounts this quarter.
• Client investment assets were up 21% year-on-year, driven by market performance and strong flows.
• In card services, we refreshed the Sapphire Preferred card in June, following the successful refresh of several other products over the last 12 months.

Corporate & Investment Bank (CIB)

The CIB reported net income of $9.7 billion.

• Revenue: $24.9 billion, up 27% year-on-year, driven by strong performance across the businesses.

Key Highlights:

• IB fees: Up 30% year-on-year, reflecting double-digit growth across all products, with particularly strong performance in equity underwriting.
• While this quarter's performance was supported by both some large ECM deals and the acceleration of the closure of some M&A transactions, the pipeline remains quite robust. Current activity levels seem to be encouraging more activity. As a result, while conversion will depend on market conditions, we expect activity levels to remain healthy.
• Fixed income: Up 6% year-on-year, with solid performance in credit, currencies in emerging markets, and rates, partially offset by lower revenue in commodities.
• Equities: Delivered an exceptionally strong quarter, with revenue up 86% year-on-year, reflecting the highly dynamic market conditions.

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