JPMorgan Chase Reports Strong Growth and Income

NEW YORK (AP) — Fourth-quarter earnings at JPMorgan Chase & Co. soared 68 percent on strong investment banking growth and a gain from the sale of the bank’s corporate trust business, but signs of worsening credit quality worried investors.

New York-based JPMorgan Chase, the nation’s third largest bank, said its net income totaled $4.53 billion, or $1.26 a share, in the October-December period, up from $2.7 billion, or 76 cents a share, a year earlier.

Excluding the $622 million after-tax gain on the sale of its trust business, net income was $3.9 billion, or $1.09 a share.

That was well ahead of the 95 cents projected by analysts surveyed by Thomson Financial.

Revenue was $16.05 billion, slightly above the analysts’ expectation, and 19 percent ahead of the $13.48 billion reported in the fourth quarter of 2005.

Despite the strong showing, JPMorgan Chase shares were down most of the day on the New York Stock Exchange as investors collected profits. The shares ended the day up 4 cents at $48.43, approaching their 52-week high of $49.00.

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