JPMorgan Chase reported a record $21.2 billion quarterly profit as elevated market activity, stronger investment-banking revenue and an 86% surge in equities trading helped the largest U.S. bank deliver record revenue across each of its major business segments. The bank reported diluted earnings of $7.70 per share in the second quarter of 2026, up from $5.24 per share in the same period last year. Net income increased 41% from $15 billion.
The reported results included a $4.6 billion pretax gain related to Visa shares and approximately $1 billion of gains from certain equity investments. Excluding those significant items, JPMorgan produced net income of $16.9 billion and earnings of $6.14 per share.
JPMorgan reported $57.35 billion in revenue under generally accepted accounting principles. Managed revenue, which includes certain adjustments used by the bank to evaluate its businesses, reached $58.02 billion, increasing 27% year over year.
The bank’s return on common equity reached 24%, while its return on tangible common equity was 29%. Excluding the significant investment-related gains, return on tangible common equity was 23%.
JPMorgan’s Commercial & Investment Bank was the primary driver of the quarter. The division generated $24.85 billion in revenue, rising 27% from the prior-year period, while net income increased 46% to approximately $9.68 billion.
Equity Markets revenue reached $6.03 billion, increasing 86% from $3.25 billion a year earlier. The result reflected strong performance across products and geographic regions, along with continued demand for equity financing.
The business benefited from increased activity among hedge funds, institutional investors and other clients navigating rapidly changing markets. JPMorgan also generated additional revenue by providing financing, securities lending, derivatives and execution services.
Fixed Income Markets revenue increased 6% to approximately $6.05 billion. Growth in credit products, currencies, emerging markets and interest-rate trading offset weaker commodities revenue.
Combined Markets revenue reached approximately $12.1 billion, representing a 35% year-over-year increase. Markets and Securities Services revenue totaled $13.69 billion, up 33%.
Securities Services revenue increased 17% to approximately $1.66 billion. The improvement was driven by higher market values, increased client activity, fee growth and larger deposit balances.
JPMorgan also benefited from a sharp recovery in investment banking. Investment Banking revenue increased 45% to approximately $3.9 billion.
Investment-banking fees rose 30% to approximately $3.28 billion, reaching their highest level since 2021. The bank cited stronger performance across advisory and underwriting products, with particularly strong growth in equity underwriting.
Equity-underwriting fees increased 78% to $829 million as companies completed initial public offerings and secondary share sales. Debt-underwriting fees rose 19% to approximately $1.44 billion.
Advisory fees increased 20% to approximately $1.01 billion as companies pursued mergers, acquisitions and other strategic transactions.
JPMorgan participated in several major transactions during the quarter. The firm served as a co-adviser on NextEra Energy’s proposed $67 billion merger with Dominion Energy and as a lead active bookrunner for Alphabet’s $85 billion equity offering.
The bank also worked on the historic SpaceX initial public offering, which helped drive a broader resurgence in the U.S. IPO market.
JPMorgan maintained the top global ranking for investment-banking fees during the first half of 2026, with an estimated 9.3% share of the industry’s fee pool.
Payments revenue increased 12% to approximately $5.3 billion, supported by higher client deposits and fee growth. Lending revenue rose 7% to nearly $2 billion as loan balances expanded.
Overall Banking and Payments revenue reached approximately $11.16 billion, increasing 21% from the prior-year quarter.
Revenue generated from global corporate banking and global investment-banking clients rose 23% to approximately $7.8 billion. Commercial Banking revenue increased 15% to about $3.37 billion.
JPMorgan’s Consumer & Community Banking division generated $20.27 billion in revenue, increasing 8% year over year. Net income rose 3% to approximately $5.31 billion.
Banking and Wealth Management revenue reached $11.23 billion, increasing 5%. The improvement primarily reflected higher asset-management fees within J.P. Morgan Wealth Management and increased deposit-related revenue.
Home Lending revenue increased 3% to approximately $1.29 billion, supported by higher net interest income.
Total mortgage origination volume reached approximately $17.2 billion, compared with $13.5 billion in the prior-year quarter. Retail mortgage originations increased to $10.6 billion, while correspondent originations reached $6.6 billion.
Card Services and Auto revenue increased 12% to approximately $7.76 billion. The increase was driven by higher credit-card net interest income, growing revolving balances and additional operating lease revenue from the auto business.
Debit and credit card sales volume increased 10% year over year to approximately $535.8 billion. Card Services sales volume, excluding commercial cards, reached $373.1 billion.
JPMorgan’s active mobile customer count increased 6% to approximately 63.7 million. The bank operated 5,135 branches at the end of the quarter, up 3% from the prior year.
Client investment assets in Banking and Wealth Management increased 21% to approximately $1.39 trillion.
Credit performance remained relatively stable. The Card Services net charge-off rate was 3.34%, compared with 3.40% in the prior-year quarter.
JPMorgan reduced its forecast for the full-year Card Services net charge-off rate to approximately 3.2%, down from its previous estimate of 3.4%.
The bank said U.S. consumers remained healthy overall, though lower-income households continue to face pressure from elevated living costs and interest rates.
JPMorgan’s Asset & Wealth Management business generated $6.85 billion in revenue, increasing 19% year over year. Net income rose 33% to approximately $1.96 billion.
The division benefited from higher management fees, stronger market levels, investment valuation gains, increased lending and additional brokerage activity.
Assets under management increased 18% to approximately $5.1 trillion. Total client assets rose 19% to about $7.7 trillion.
The division attracted approximately $50 billion in long-term net inflows during the quarter. Higher market values and continued inflows supported the growth in assets.
JPMorgan reported approximately 44,000 first-time wealth-management investors during the quarter, setting a new record for the business.
The bank’s net interest income reached approximately $25.6 billion, increasing 10% year over year. Net interest income excluding the Markets business rose 4% to $23.7 billion.
Growth was supported by higher deposit balances, increased credit-card revolving balances and larger wholesale loan balances. Lower interest rates partially offset those gains.
Average loans across JPMorgan increased 10% to approximately $1.5 trillion. Average deposits rose 7% to roughly $2.7 trillion.
The bank raised its 2026 net interest income forecast to approximately $105.5 billion, compared with its previous projection of $103 billion.
Net interest income excluding Markets is now expected to total approximately $96.5 billion, up from the prior forecast of $95 billion.
JPMorgan’s provision for credit losses was approximately $2.52 billion, compared with $2.85 billion a year earlier. Net charge-offs were about $2.4 billion, while the bank recorded a net reserve build of $149 million.
Consumer & Community Banking accounted for approximately $2.16 billion of the provision. The Commercial & Investment Bank recorded a $356 million provision, while Asset & Wealth Management reported $13 million.
Operating expenses increased 15% to approximately $27.32 billion. The increase reflected higher compensation tied to revenue growth, additional front-office employees, brokerage expenses, marketing, technology investments, and occupancy costs.
JPMorgan raised its expected 2026 adjusted expense total to approximately $107.5 billion from $105 billion. The revision primarily reflects increased transaction volumes, stronger revenue, and continued investments in the business.
The bank has also been expanding its use of artificial intelligence across areas including risk management, marketing, hedging, employee note-taking, and idea generation.
Management said automation has reduced staffing requirements by 30% to 40% in certain operations, though many affected employees were able to move into other roles within the company.
JPMorgan ended the quarter with approximately $5.02 trillion in total assets and $375 billion in stockholders’ equity.
Its standardized common equity Tier 1 capital ratio was approximately 14.1%, while its advanced ratio was 14.2%. Common equity Tier 1 capital totaled approximately $303 billion.
The bank had approximately $1.5 trillion in cash and marketable securities and $590 billion in total loss-absorbing capacity.
JPMorgan distributed substantial capital to shareholders during the quarter, including approximately $6.2 billion in net common stock repurchases.
The bank also paid approximately $4 billion in common-stock dividends, equal to $1.50 per share. Its net payout ratio over the latest 12-month period was 73%.
Book value per share increased 9% to $133.01, while tangible book value per share rose 10% to $113.35.
JPMorgan’s market value surpassed $920 billion following the earnings announcement, moving the company closer to becoming the first U.S. bank to reach a $1 trillion valuation.
Despite the record results, management cautioned that the market environment could change. The bank identified geopolitical conflicts, persistent inflation, large government deficits and elevated asset prices as risks that could eventually disrupt economic and financial conditions.
