JPM: JPMorgan Posts Record $49.6B in Profits in 2023, Jamie Dimon Predicts Sticky Inflation

“Great year, guys” never sounded so good for investment bankers across the firm’s hallways. But the bank projects rates might stay higher for longer.

• JPMorgan JPM, America’s largest bank, reported record profit figures in 2023, helped by higher interest rates which translated to borrowers paying more on their loans. For the year, the bank gobbled up net interest income – the difference between what it pays on deposits and what it earns from loans – of $89.7 billion, or a 34% jump from the previous year.
• Net profits for 2023 arrived at $49.6 billion, topping the previous record of $48.3 billion in 2021 and scoring the highest in US banking history. Over the December quarter, JPMorgan picked up $3.04 in earnings per share and revenue of $38.6 billion, of which $24.2 billion emerged as net interest income. The stock fell 0.8% on Friday.
• The banking giant predicts net interest income in 2024 to stay elevated at $90 billion. Long-reigning chief executive and Wall Street favorite Jamie Dimon struck a cautious tone, saying the US economy remained resilient, but supply chain disruptions could buoy inflation higher while interest rates continue to stay hot.