isu web 102224 728x90

Top banks report strong second-quarter earnings

https://www.businessrecord.com/wp-content/uploads/2022/11/BR_web_311x311.jpeg

JPMorgan Chase, Wells Fargo and Citigroup kicked off a strong start to the second-quarter earnings season, with the three banks beating analysts’ expectations for profit and revenue, according to the Wall Street Journal.

JPMorgan Chase’s profit increased 67% in the second quarter from a year earlier, while Wells Fargo’s rose 57%. Citigroup’s profits dropped 36%, but a boost in net interest income provided a bright spot. The strong earnings follow reports that showed easing U.S. inflation and new jobless claims data that point to the labor market remaining resilient, according to CNN Business.

Wells Fargo earned $4.9 billion in the quarter that ended June 30, and its revenue rose to $20.5 billion, a 20% increase from last year, the New York Times reports. Analysts monitor the bank’s results for signs of economic stress as it is one of the nation’s largest mortgage lenders.

Bank of America is expected to report earnings from the last quarter Tuesday, with forecasts of 23 analysts expecting earnings of $0.840 per share as opposed to earnings of $0.730 per share from the same quarter last year, according to Business Insider.

The earnings report for U.S. Bancorp is expected to be released Wednesday. Yahoo Finance reports estimates have been trending higher after the company beat earnings estimates the last two quarters, including reported earnings of $1.20 per share last quarter after estimated earnings of $1.11 per share.