Equity-trading revenue was down 5 percent to $1.58 billion, exceeding the $1.35 billion estimate of seven analysts surveyed by Bloomberg. Earnings at the corporate and investment bank, run by Daniel Pinto, dropped 22 percent to $2 billion as revenue declined 15 percent from a year earlier to $8.1 billion.
Net income from consumer and community banking, run by Gordon Smith, rose 12 percent to $2.49 billion as revenue climbed 4 percent to $11.1 billion on gains in deposit-related fees, mortgage-banking revenue and card sales volume. Revenue beat Burnell’s $10.7 billion estimate.
JPMorgan said profit in asset management, run by Mary Erdoes, climbed 17 percent $587 million despite lower revenue and assets under management because of market conditions. The division said expenses fell 5 percent to $2.1 billion, primarily because of lower performance-linked compensation.
Commercial banking, the division run by Doug Petno, posted a 17 percent profit decline to $496 million as loan-loss reserves, fueled by the industry’s exposure to energy companies, surged to $304 million from $61 million a year earlier.
Bank of America Corp., the second-biggest U.S. lender, and Wells Fargo, the top U.S. mortgage bank, are scheduled to announce results Thursday. Citigroup Inc. reports on Friday, and Morgan Stanley and Goldman Sachs release results next week.