We're streamlining this part of the call to move more quickly to your questions and to minimize the amount of time spent on repeating what you have already seen in the earnings materials. With that, turning to this quarter's results, the firm reported net income of $14.4 billion, an EPS of $5.07 with an ROTC of 20%. Revenue of $47.1 billion was up 9% year on year, predominantly driven by higher markets revenue as well as higher fees across asset management, investment banking, and payments. The increase in NII driven by the impact of balance sheet growth and mix was offset by the impact of lower rates.
Expenses of $24.3 billion were up 8% year on year, driven by similar themes as in prior quarters, including higher volume and revenue-related expense. In terms of the balance sheet, we ended the quarter with a CET1 ratio of 14.8%, down 30 basis points versus the prior. Revenue of $19.5 billion was up 9% year on year, predominantly driven by higher NII, largely incurred on higher revolving balances. Revenue of $19.9 billion was up 17% year on year, driven by higher revenues across markets, payments, investment banking, and security services.
Our pipeline remains robust, and the outlook along with the market backdrop and client sentiment continues to be upbeat. Turning to Asset & Wealth Management, AWM reported net income of $1.7 billion with pre-tax margin of 36%. Record revenue of $6.1 billion was up 12% year on year, predominantly driven by growth in management fees due to long net inflows and higher average market levels as well as higher brokerage activity. Before turning to the outlook, Corporate reported net income of $825 million and revenue of $1.6 billion.
| Metric | Period | Current guidance |
|---|---|---|
| NII ex-Markets | Q4 2025 | approximately $23.5 billion (new fourth-quarter guidance) |
| Total NII | Q4 2025 | about $25 billion (new fourth-quarter guidance) |
| Adjusted expense | Q4 2025 | approximately $24.5 billion (implying about $95.9 billion for full-year 2025) (new, increase driven by stronger revenue environment) |
| Card net charge-off rate | FY2025 | approximately 3.3% (lowered on favorable delinquency trends) |
| NII ex-Markets (preliminary) | FY2026 | about $95 billion (new preliminary central case) |
| Metric | YoY | Note |
|---|---|---|
| Total revenue | +9% | Higher markets revenue as well as higher fees across asset management, investment banking, and payments, with NII from balance sheet growth offset by lower rates. |
| Expenses | +8% | Similar themes as prior quarters, including higher volume and revenue-related expense. |
| CCB revenue | +9% | Higher NII, largely on higher revolving balances. |
| CIB revenue | +17% | Higher revenues across markets, payments, investment banking, and security services. |
| FICC revenue | +21% | Higher revenues in rates and credit as well as strong performance in securitized products. |
| Equities revenue | +33% | Robust client activity across the franchise with notable outperformance in prime. |
| AWM revenue | +12% | Growth in management fees due to long-term net inflows and higher average market levels, as well as higher brokerage activity. |
| IB fees | +16% | A pickup in activity across products with particular strength in equity underwriting as the IPO market was active. |
| Topic | Previous mention | Current period | Trend |
|---|---|---|---|
| NBFI and private credit risk | Broad NBFI framing with strong loss history | Tricolor ($170M) and First Brands (no exposure) fraud cases drew attention; Dimon warned that when you see one cockroach there are probably more, while framing most NBFI lending as highly secured | Worsening |
| Investment banking activity | Improving pipeline and client sentiment | Revived animal spirits with the busiest summer of announcements in a long time, robust IPO queue, and reviving acquisition finance | Improving |
| Consumer and labor market | Resilient consumer consistent with historical norms | Consumer still resilient with delinquencies below expectations, but a potentially softening, low-hiring low-firing labor market is a key watch item | Stable |
| Capital deployment | Arresting the growth of excess capital and deploying into the real economy | Announced an aspiration to add about $500 billion of security-related lending plus $10 billion of direct equity investments as an all-of-the-above use of excess capital | Increasing |
| Expense growth and AI productivity | Investing where opportunities are greatest | Signaled 2026 consensus of about $100 billion looks a little low; favors old-fashioned expense discipline and headcount constraint over unprovable AI savings claims | Increasing |