The nation’s largest banks are churning out profits as interest rates remain high, even though the lenders have had to set aside billions of dollars to replenish a deposit insurance fund that was heavily depleted by a crisis among midsize banks last spring.
Citigroup, which is in the midst of a global restructuring, reported a net loss of $1.8 billion for the quarter, compared with a profit of $2.5 billion a year earlier.
In the last quarter of 2023, JPMorgan earned $9.3 billion, or $3.04 per share, compared with $11 billion a year earlier.
A special assessment by the Federal Deposit Insurance Corporation had reduced per-share earnings by 74 cents, the bank said.
Analysts had been expecting per-share earnings of around $3.32, so investors considered the bank’s performance to be a win once the F.D.I.C.’s one-time bill of $2.9 billion was taken into account.
Persons:
Jane Fraser
Organizations:
JPMorgan Chase, Bank of America, Citigroup, JPMorgan, Federal Deposit Insurance Corporation
Locations:
Wells, Russia, Argentina