JPMorgan earnings reached $15.3 billion in the third quarter of 2026, up 6% from a year earlier but down 28% from the second quarter. The bank distributed $4.4 billion in common dividends while reducing share repurchases, as management prioritized investment in its businesses and support for clients.
Key Takeaways
- Diluted earnings were $5.57 per share, or $5.75 excluding investment securities losses.
- Investment banking fees rose year over year but declined from the second quarter.
- Common dividends totaled $1.65 per share, while net share repurchases fell to $664 million.
Table of Contents
- JPMorgan earnings show growth against a weaker quarter
- Dividends continue as management reduces buybacks
- Investment banking slows sequentially, not annually
- Credit costs ease as expenses increase
- Conclusion
JPMorgan earnings show growth against a weaker quarter
JPMorgan’s third-quarter 2026 earnings release showed reported revenue of $50.2 billion, up 8% from a year earlier. Managed revenue, a non-GAAP measure that includes taxable-equivalent adjustments, was $50.9 billion.
The results included $658 million of pretax net investment securities losses, equivalent to $498 million after tax. Excluding that item, net income was $15.8 billion, compared with reported net income of $15.3 billion.
The comparison period matters: earnings and revenue increased from the third quarter of 2025 but declined from the second quarter of 2026. The sequential decline was not confined to investment banking; Corporate revenue also fell sharply, from $6.0 billion to $93 million.
| Item | Details |
|---|---|
| Return on common equity | 17% in Q3 2026 |
| Standardized CET1 capital ratio | 13.9% |
| Average loans | Up 10% year over year and 2% quarter over quarter |
| Average deposits | Up 8% year over year and 2% quarter over quarter |
| Assets under management | $5.2 trillion, up 13% year over year |
Dividends continue as management reduces buybacks
The $4.4 billion common dividend distribution was substantially larger than the bank’s $664 million of common stock net repurchases during the quarter. These are separate methods of returning capital: dividends provide a cash payment per share, while repurchases reduce the share count.
Chairman and Chief Executive Jamie Dimon said the bank reduced repurchases in line with its capital priorities, with investment in the franchise and support for clients taking precedence. He said management believed it could deploy that capital over time at attractive returns.
The quarterly distribution establishes what shareholders received, not a guarantee of future dividends. A dividend yield also depends on the share price, so the declared dollar amount is a clearer measure of this quarter’s payout.
Investment banking slows sequentially, not annually
Commercial & Investment Bank revenue reached $22.7 billion, up 14% year over year but down 9% from the preceding quarter. Investment banking fees rose 14% from a year earlier and fell 8% sequentially.
Trading performance was uneven. Equity Markets revenue increased 49% year over year, while Fixed Income Markets revenue declined 4%. Together, Markets revenue rose 15% to $10.3 billion.
Other businesses provided growth. Consumer & Community Banking revenue increased 9% year over year, and Asset & Wealth Management revenue rose 14%. Dimon said client activity remained strong, although it moderated somewhat during the quarter.
Credit costs ease as expenses increase
The provision for credit losses declined to $2.7 billion from $3.4 billion a year earlier. That included $2.2 billion of net charge-offs and a $539 million reserve build.
Expenses moved in the opposite direction, rising 12% year over year to $27.3 billion. JPMorgan cited higher compensation, brokerage and distribution fees, marketing and technology spending. Expense growth therefore exceeded revenue growth despite the increase in net income.
Conclusion
JPMorgan’s third quarter combined annual earnings growth with a sequential slowdown and lower buybacks. The capital-allocation priority is clear: management is preserving capacity to invest in the business and support clients. Subsequent disclosures will show how that retained capital is deployed; the supplied release provides no timetable.
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