JPMORGAN CHASE & CO

Consolidated balance sheets analysis

The following is a discussion of the significant changes between March 31, 2025 and December 31, 2024. Refer to pages 161–164 for a discussion of the Critical Accounting Estimates Used by the Firm that affect the Consolidated Balance Sheets.

Cash and due from banks and deposits with banks decreased driven by Markets activities in CIB and cash deployment in Treasury and CIO, largely offset by the impact of higher deposits.

Federal funds sold and securities purchased under resale agreements increased driven by Markets, reflecting higher client-driven market-making activities and the impact of lower levels of netting, as well as when compared with seasonally lower levels at year-end.

Securities borrowed increased driven by Markets, reflecting higher client-driven activities.

Refer to Note 10 for additional information on securities purchased under resale agreements and securities borrowed.

Trading assets increased due to higher levels of debt and equity instruments in Markets related to client-driven market-making activities, as well as when compared with seasonally lower levels at year-end. Refer to Notes 2 and 4 for additional information.

Investment securities decreased due to lower available-for-sale ("AFS") and held-to-maturity ("HTM") securities driven by maturities and paydowns. Refer to Corporate results on pages 30-31, Investment Portfolio Risk Management on page 64, and Notes 2 and 9 for additional information.

Loans increased, reflecting:

•higher wholesale loans, predominantly in Markets, associated with higher client demand,

largely offset by

•a reduction in Card Services due to the impact of seasonality, and

•a decline in Home Lending as loan sales and paydowns outpaced originations.

Theallowance for loan losses increased, reflecting a net addition to the allowance for loan losses of $863 million, largely driven by changes in the weighted-average macroeconomic outlook, and consisted of:

•$451 million inconsumer, predominantly driven by Card Services, and

•$412 million inwholesale, which also reflected changes in credit quality on client-specific exposures.

There was also a $125 million net addition to the allowance for lending-related commitments recognized in other liabilities on the Consolidated balance sheets.

Refer to Consolidated Results of Operations and Credit and Investment Risk Management on pages 9-11 and pages 47-64, respectively, Critical Accounting Estimates Used by the Firm on pages 72–75, and

Notes 2, 3, 11 and 12 for additional information on loans and the total allowance for credit losses.

Accrued interest and accounts receivable increased primarily due to higher client receivables related to client-driven activities in CIB.

Goodwill, MSRs and other intangible assets: refer to Note 14 for additional information.

Deposits increased, reflecting the impact of:

•an increase in CIB predominantly due to net inflows related to client-driven activities in Securities Services and Payments,

•an increase in CCB primarily driven by new accounts, and

•an increase in AWM as a result of growth in balances in new and existing client accounts, reflecting the impact of higher-yielding product offerings, predominantly offset by continued migration into other investments.

Federal funds purchased and securities loaned or sold under repurchase agreements increased driven by Markets, reflecting higher client-driven market-making activities, higher secured financing of trading assets and the impact of lower levels of netting, as well as when compared with seasonally lower levels at year-end.

Short-term borrowings increased driven by higher financing requirements in Markets.

Refer to Liquidity Risk Management on pages 40-46 for additional information on deposits, federal funds purchased and securities loaned or sold under repurchase agreements, and short-term borrowings; and Notes 2 and 15 for deposits; and Note 10 for federal funds purchased and securities loaned or sold under repurchase agreements.

Trading liabilities: refer to Notes 2 and 4 for additional information.

Accounts payable and other liabilities increased due to higher client payables related to client-driven activities in CIB.

Beneficial interests issued by consolidated VIEs decreased largely driven by lower levels of outstanding commercial paper as a result of a decrease in loan balances in the Firm-administered multi-seller conduits in CIB. Refer to Liquidity Risk Management on pages 40-46 and Notes 13 and 22 for additional information, specifically Firm-sponsored VIEs and loan securitization trusts.

Long-term debt: refer to Liquidity Risk Management on pages 40-46 for additional information.

Stockholders’ equity increased reflecting net income and lower unrealized losses in AOCI, predominantly driven by the impact of lower interest rates on cash flow hedges and on the AFS portfolio in Treasury and CIO, largely offset by the impact of capital actions, including net repurchases of common shares and common and preferred stock dividend payments. Refer to Consolidated statements of changes in stockholders’ equity on page 81, Capital Actions on page 37, and Note 19 for additional information.

Consolidated cash flows analysis

The following is a discussion of cash flow activities during the three months ended March 31, 2025 and 2024.

Operating activities

•In 2025, cash used resulted from higher trading assets, higher securities borrowed, higher accrued interest and accounts receivable and lower trading liabilities.

•In 2024, cash used resulted from higher trading assets and higher accrued interest and accounts receivable, partially offset by higher trading liabilities, accounts payable and other liabilities, and lower other assets.

Investing activities

•In 2025, cash used resulted from higher securities purchased under resale agreements, partially offset by net proceeds from investment securities.

•In 2024, cash used resulted from higher securities purchased under resale agreements, partially offset by proceeds from sales and securitizations of loans held-for-investment.

Financing activities

•In 2025, cash provided reflected higher securities loaned or sold under repurchase agreements, higher deposits, and net proceeds from long-and short-term borrowings.

•In 2024, cash provided reflected higher securities loaned or sold under repurchase agreements, higher deposits, net proceeds from long- and short-term borrowings and proceeds from the issuance of preferred stock.

•For both periods, cash was used for repurchases of common stock and cash dividends on common and preferred stock.

Refer to Consolidated Balance Sheets Analysis on pages 12-13, Capital Risk Management on pages 33-39, and Liquidity Risk Management on pages 40-46, and the Consolidated Statements of Cash Flows on page 82 of this Form 10-Q, and pages 108–115 of JPMorganChase’s 2024 Form 10-K for a further discussion of the activities affecting the Firm’s cash flows.