JPMorgan Beats on Earnings Despite Rough Quarter

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Citing strong growth across its banking and asset management segments, JPMorgan Chase's earnings rose strongly in the last quarter of 2012, the bank reported on Wednesday, defying concerns about the global economy and exceeded analysts' expectations.

The banking giant posted fourth-quarter earnings excluding items of $1.39 per share, up from 90 cents a share in the comparable year-ago quarter and above Thomson Reuters' consensus estimates of $1.16. During the quarter, JPMorgan posted revenues of $24.4 billion, up from $22.2 billion a year ago and broadly in line with analysts' expectations. 

JPMorgan reported record fees from debt underwriting and maintained its top ranking for global investment banking -- two cornerstones of the bank's business. The New York-based banking behemoth also said asset management and commercial banking revenues had hit a record.

"We continued to see favorable credit conditions across our wholesale loan portfolios and strong credit performance in our credit card portfolio, where charge-off rates remain at historic lows," said JPMorgan's chairman and CEO.

"The real estate portfolios, while at elevated levels of losses, continued to show improvement as the housing market and economy continued to recover," he added.

After the earnings announcement, the company's shares fell by more than a percent in pre-market trading.

JPMorgan's earnings release comes one day after U.S. banking regulators ordered the bank to tighten its risk controls after the bank lost $6.2 billion due to bad bets from a trader known as the "London Whale."

JPMorgan's release follows Wells Fargo's quarterly report on Friday. Wells Fargo generated higher-than-expected earnings and revenue, but its net interest margin decreased from the year-earlier period, falling short of Wall Street's estimates.

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