The most profitable quarter in history! J.P. Morgan Chase (JPM.US) Q2 stock trading revenue soared 86%, raking in $6 billion

The Zhitong Finance App learned that J.P. Morgan Chase (JPM.US) announced the highest quarterly profit in history. Its stock trading revenue far exceeded analysts' expectations, and long-term Visa shares brought in $4.6 billion in revenue. According to financial reports, second-quarter revenue reached 58 billion US dollars, up 26.9% year on year, exceeding expectations of 6.7 billion US dollars; non-GAAP earnings per share were 6.14 US dollars, exceeding expectations of $0.34.

Financial reports show that the bank's second-quarter stock trading business revenue soared 86% year over year to $60.3 billion. This performance even beat the highest predictions given by analysts in the survey and propelled total transaction revenue to $121 billion, surpassing the record high set in the first three months of this year.

In the second quarter, J.P. Morgan said it received net income of $4.6 billion from Visa shares, or $1.27 per share; in addition, it also received $1 billion, or $0.29 per share, from certain equity investments.

The bank's credit costs for the second quarter were US$2.5 billion, with net cancellation of US$2.4 billion and net provisions increased by US$149 million. Its net write-off rate for credit card services is expected to be around 3.2%, lower than the previous forecast of 3.4%.

Following SpaceX's record IPO in June, investment banking has taken center stage. J.P. Morgan received $3.28 billion in investment banking service fees in the second quarter, up 30% year over year, and surpassed analysts' expectations.

The company raised its full-year net interest income forecast to approximately $105.5 billion, higher than the market's general forecast of $103.7 billion and its previous forecast of $103 billion. This quarter's revenue was $255 billion, below market expectations of $25.7 billion.

J.P. Morgan's total loan volume as of June 30, 2026 increased from $1.50 trillion on March 31, 2026 to $1.54 trillion. Deposits rose to $2.71 trillion from $2.68 trillion at the end of the first quarter.

J.P. Morgan spent $27.3 billion this quarter, exceeding expectations. The company updated its full-year cost guidance to approximately $107.5 billion, exceeding the increase that Dimon revealed at an industry conference in May.

America's largest bank is announcing results along with most of its major competitors. Analysts expect that since Trump won the 2024 election, the stock trading sector has been feverish, driven by volatility, and these companies will once again report a stellar quarter.

Although almost all of the business surpassed expectations, CEO Jamie Dimon remains cautious about future prospects.

In a statement, Dimon said, “Several major risks are moving like sectors below the surface, including geopolitical tension and wars, sticky inflation, huge global fiscal deficits, and high asset prices. We can't predict how these forces will eventually evolve. They may remain within control, but they can also cause significant damage when they move or collide.”

At the end of last month, J.P. Morgan Chase appointed Troy Robba and Doug Pettnor as the company's co-presidents, the latest development in the succession competition since 70-year-old Damon finally stepped down. The bank said that as part of personnel changes, long-time executive Marian Lake will retire, Rob will take over the company's huge consumer business division, and Pettnor will take control of commercial and investment banks.