JP Morgan Chase Q1 earnings fall short of expectations

Investment bank JPMorgan Chase posted first-quarter earnings that fell short of expectations on the Street as the firm took a hit from market dislocations fuelled by sanctions against Russia for its invasion of Ukraine.

JPMorgan Chase posted earnings per share of $2.63 each, short of expectations for a print of $2.72 and down from the $3.33 per share reported during the final quarter of 2021.

Revenues of $31.59bn were ahead of both the $31.44bn expected by analysts and the $30.35bn reported in Q4 of the prior year but trading revenue was said to have dropped 10% in early March due to turbulence tied to the Ukraine war and sanctions on Russia.

Those same concerns led chief executive Jamie Dimon to strike a cautious tone in his comments, stating that he foresaw "significant" risks to the US economy going forward.

"We remain optimistic on the economy, at least for the short term – consumer and business balance sheets as well as consumer spending remain at healthy levels – but see significant geopolitical and economic challenges ahead due to high inflation, supply chain issues, and the war in Ukraine," said Dimon.

As of 1300 BST, JPMorgan Chase shares were down 1.23% in pre-market trading at $129.92 each.