JPMorgan Chase reported a 7% drop in fourth-quarter net income, from $14.0 billion a year earlier to $13.0 billion, after booking a $2.2 billion credit reserve related to its acquisition of the Apple credit-card portfolio. Earnings per share came in at $4.63, below the consensus expectation of $4.85, while total revenue of $46.8 billion narrowly exceeded estimates. The reserve charge was the largest incremental expense, and executives cautioned that credit costs could remain elevated through the first half of the year as they integrate the new portfolio and monitor consumer repayment trends.

Strong performance in the Markets & Investor Services division helped offset an 11% sequential decline in investment banking fees. Trading revenue rose 17% year-over-year to $8.2 billion, with fixed-income and equities businesses both contributing double-digit growth on higher client activity and widening spreads. By contrast, advisory and underwriting fees fell to $2.6 billion, down 2% from the prior year, reflecting a slowdown in M&A mandates and new debt issuance during the quarter.

Management projected net interest income of approximately $103 billion for fiscal 2026, surpassing the Street’s forecast of $100.4 billion. CEO Jamie Dimon highlighted resilient consumer spending and stable loan growth as drivers, noting that deposit betas had remained low despite recent Fed rate cuts. The bank also plans to redeploy excess capital into share repurchases and maintain its common equity Tier 1 ratio above 12%, positioning it to sustain a dividend payout ratio near 30% of earnings.