Bank / Credit Union

JPMorgan Chase posts record revenues for second quarter

July 15, 2020

In news that surprised Wall Street, JPMorgan Chase posted a record $33.8 billion in second quarter revenue, thanks to some serious preplanning by CEO Jamie Dimon to build up the company's investment bank after the last financial crisis.

The company's corporate and investment bank also posted a record $5.5 billion in profit for the second quarter, which is more than most banks generated even before the start of the pandemic, according to a CNBC report/

The bank was able to produce such strong numbers by using its Wall Street division to offset losses in the company's consumer and commercial bank segments, both which were hard hit by the pandemic. In anticipation of losses across its auto, mortgage and credit card lines, the firm had put aside $8.9 billion for potential loan defaults.

JPMorgan's retail banking division posted a $176 million loss, compared with a $4.2 billion profit last year and the firm's commercial bank posted a $691 million loss, compared with a $1 billion profit last year.

Another plus for the company was the support of credit markets by the Federal Reserve, which created the best environment in years for trading on debt and equity issuance. Dimon took full advantage of the opportunity, snapping up market shares of European competitors such as Deutsche Bank, according to the report.