Tom Williams/CQ-Roll Call, Inc via Getty Images
- JPMorgan reported third-quarter earnings on Friday that beat analysts' expectations.
- The banking giant increased revenue by 7% and earnings per share by 1%.
- CEO Jamie Dimon warned of a worsening global environment and lingering threats to the US economy.
JPMorgan reported third-quarter earnings on Friday that exceeded Wall Street's expectations, even as CEO Jamie Dimon warned of a dangerous and worsening global backdrop.
America's largest bank posted a 7% year-on-year rise in revenue to $42.7 billion, pushing earnings per share up 1% to $4.37, ahead of Alphasense's consensus estimate.
JPMorgan's profits were squeezed by a 125% year-on-year increase in its provision for credit losses — the cash it ringfences to cover possible loan defaults — to $3.1 billion.
Dimon praised his bank's performance in the earnings release, but warned that geopolitical conditions are "treacherous and getting worse," and the outcome of events such as the war in Gaza could have "far-reaching effects on both short-term economic outcomes and more importantly on the course of history."
The billionaire banker also cautioned that while inflation is cooling and the US economy is showing resilience, "large fiscal deficits, infrastructure needs, restructuring of trade and remilitarization of the world" remain important issues.
JPMorgan stock added 1.5% in premarket trading in New York, and has gained almost 24% this year.