JPMORGAN CHASE & CO

This section provides a comparative discussion of JPMorganChase’s Consolidated Results of Operations on a reported basis for the three and nine months ended September 30, 2025 and 2024, unless otherwise specified. Factors that relate primarily to a single business segment or Corporate are discussed in more detail in the results of that segment or Corporate. Refer to pages 87-89 of this Form 10-Q and pages 161–164 of JPMorganChase’s 2024 Form 10-K for a discussion of the Critical Accounting Estimates Used by the Firm that affect the Consolidated Results of Operations.

(a)Included operating lease income of $990 million and $706 million for the three months ended September 30, 2025 and 2024, respectively, and $2.7 billion and $2.1 billion for the nine months ended September 30, 2025 and 2024, respectively. Refer to Note 5 for additional information.

(b)Included the net gain related to Visa shares of $7.9 billion recorded in the second quarter of 2024. Refer to Notes 2 and 6 of JPMorganChase’s 2024 Form 10-K for additional information.

Investment banking fees increased, reflecting in CIB:

•higher equity underwriting fees predominantly due to higher revenue from IPOs and private placements,

•higher debt underwriting fees predominantly driven by higher deal flow activity, including refinancings, and

•higher advisory fees benefiting from the closing of a higher number of large transactions.

Refer to CIB segment results on pages 27-34 and Note 5 for additional information.

Principal transactions revenue increased, reflecting in CIB:

•higher Fixed Income Markets revenue primarily driven by higher revenue in Rates, partially offset by lower revenue in Securitized Products, and

•higher Equity Markets revenue, particularly in Prime Finance.

Principal transactions revenue in CIB generally has offsets across other revenue lines, including net interest income. The Firm assesses the performance of its Markets business on a total net revenue basis.

Refer to CIB segment results on pages 27-34 and Note 5 for additional information.

Lending- and deposit-related fees increased, reflecting:

•in CIB, a reduction in client credits applied to deposit-related fees, as well as higher cash management fees in Payments as a result of higher volume, and

•in CCB, higher deposit-related fees as a result of new accounts and higher transaction volume.

Refer to CCB and CIB segment results on pages 22-26 and pages 27-34, respectively, and Note 5 for additional information.

Asset management fees increased driven by net inflows in AWM and, to a lesser extent, in CCB, and higher average market levels in AWM and CCB. Refer to CCB and AWM segment results on pages 22-26 and pages 35-39, respectively, and Note 5 for additional information.

Commissions and other fees increased predominantly in CIB and AWM, largely due to higher brokerage commissions and fees on higher volume and, to a lesser extent, higher custody fees as a result of higher client activity and market levels. Refer to CIB and AWM segment results on pages 27-34 and pages 35-39, respectively, and Note 5 for additional information.

Investment securities increased, reflecting a net gain as compared with a net loss in the prior year that was associated with repositioning the investment securities portfolio in Treasury and CIO. The net gain was predominantly related to sales of U.S. GSE and government agency MBS and U.S. Treasuries. Refer to Corporate results on pages 40-42 and Note 9 for additional information.

Card income decreased, reflecting in CCB, an increase in amortization related to new account origination costs, as well as lower net interchange income, partially offset by higher annual fees. Net interchange decreased as the impact of increased debit and credit card sales volume was more than offset by higher rewards costs and partner payments. Refer to CCB segment results on pages 22-26 and Note 5 for additional information.

Other income increased, reflecting:

•higher auto operating lease income in CCB due to growth in volume, and

•lower losses related to certain equity investments in CIB.

Refer to CCB and CIB results on pages 22-26 and pages 27-34, respectively, for additional information.

Net interest income increased driven by higher revolving balances in Card Services, higher Markets net interest income, and higher wholesale deposit balances. These factors were predominantly offset by the impact of lower rates and deposit margin compression.

The Firm’s average interest-earning assets were $3.9 trillion, up $274 billion, and the yield was 5.05%, down 50 basis points (“bps”). The net yield on these assets, on an FTE basis, was 2.45%, a decrease of 13 bps. The net yield excluding Markets was 3.73%, down 13 bps.

Refer to the Consolidated average balance sheets, interest and rates schedule on pages 192-193 for additional information. Net yield excluding Markets is a non-GAAP financial measure. Refer to Explanation and Reconciliation of the Firm’s Use of Non-GAAP Financial Measures on pages 18-19 for an additional discussion of net yield excluding Markets.

Investment banking fees increased, reflecting in CIB:

•higher debt underwriting fees predominantly driven by several large deals,

•higher advisory fees predominantly benefiting from the closing of a higher number of large transactions, and

•higher equity underwriting fees predominantly due to higher revenue from follow-on offerings and IPOs.

Principal transactions revenue increased, reflecting in CIB:

•higher Fixed Income Markets revenue primarily driven by higher revenue in Rates and Commodities, largely offset by lower revenue in Securitized Products, Fixed Income Financing and Currencies & Emerging Markets, and

•higher Equity Markets revenue, particularly in Equity Derivatives.

The increase in CIB was partially offset by lower revenue in Treasury and CIO.

Principal transactions revenue in CIB generally has offsets across other revenue lines, including net interest income. The Firm assesses the performance of its Markets business on a total net revenue basis.

Refer to Corporate results on pages 40-42 for additional information.

Lending- and deposit-related fees increased, reflecting:

•in CIB, a reduction in client credits applied to deposit-related fees, as well as higher cash management fees in Payments as a result of higher volume, and

•in CCB, higher deposit-related fees as a result of new accounts and higher transaction volume.

Asset management fees increased driven by net inflows in AWM and, to a lesser extent, in CCB, and higher average market levels in AWM and CCB.

Commissions and other fees increased predominantly in CIB and AWM, largely due to higher brokerage commissions and fees on higher volume and, to a lesser extent, higher custody fees as a result of higher client activity and market levels.

Investment securities increased, reflecting a net gain as compared with a net loss in the prior year that was associated with repositioning the investment securities portfolio in Treasury and CIO. The prior year net loss was primarily related to sales of U.S. GSE and government agency MBS and U.S. Treasuries.

Card income decreased driven by the net impact of:

•lower income in CCB, reflecting an increase in amortization related to new account origination costs, as well as lower net interchange income, partially offset by higher annual fees. Net interchange decreased as the impact of increased debit and credit card sales volume was more than offset by higher rewards costs and partner payments, and

•higher card revenue in CIB Payments as a result of higher volume.

Refer to CIB segment results on pages 27-34 for additional information.

Other income decreased, reflecting:

•the absence in Corporate of several items recorded in the prior year, particularly the $7.9 billion net gain related to Visa shares recorded in the second quarter of 2024,

•higher auto operating lease income in CCB due to growth in volume,

•the $588 million First Republic-related gain recorded in the first quarter of 2025, and

•lower losses related to certain equity investments in CIB.

Refer to Corporate results on pages 40-42 for additional information; and Note 5, and Note 34 on pages 319–321 of the Firm’s 2024 Form 10-K, for additional information on the First Republic-related gain.

Net interest income increased driven by higher Markets net interest income, higher revolving balances in Card Services, higher wholesale deposit balances, and the impact of investment securities activity including from prior quarters. These factors were largely offset by the impact of lower rates and deposit margin compression.

The Firm’s average interest-earning assets were $3.8 trillion, up $278 billion, and the yield was 5.09%, down 47 basis points (“bps”). The net yield on these assets, on an FTE basis, was 2.49%, a decrease of 15 bps. The net yield excluding Markets was 3.74%, down 11 bps.

The provision for credit losses was $3.4 billion. Net charge-offs were $2.6 billion and the net addition to the allowance for credit losses was $810 million.

The provision for credit losses included:

•$2.6 billion inconsumer, consisting of net charge-offs of $2.0 billion, predominantly driven by Card Services, reflecting loan growth, and a net addition to the allowance for credit losses of $608 million. The net addition was driven by loan growth in Card Services and updates to certain macroeconomic variables in Card Services and Home Lending, partially offset by reduced borrower uncertainty, and

•$827 million inwholesale, driven by net increases in the loan and lending-related commitment portfolios, estimated losses related to apparent borrower fraud in certain secured lending facilities, and changes in credit quality of client-specific exposures, partially offset by changes in certain macroeconomic variables. Net charge-offs were $622 million and the net addition to the allowance for credit losses was $205 million.

In the prior year, the provision was $3.1 billion, net charge-offs were $2.1 billion and the net addition to the allowance for credit losses was $1.0 billion.

Refer to CCB, CIB and AWM segment and Corporate results on pages 22-26, pages 27-34, pages 35-39, and pages 40-42, respectively; Allowance for Credit Losses on pages 75-77; Critical Accounting Estimates Used by the Firm on pages 87-89; and Notes 11 and 12 for additional information on the credit portfolio and the allowance for credit losses.

The provision for credit losses was $9.6 billion. Net charge-offs were $7.3 billion and the net addition to the allowance for credit losses was $2.2 billion.

The provision for credit losses included:

•$7.2 billion inconsumer, consisting of net charge-offs of $6.2 billion, predominantly driven by Card Services, reflecting loan growth, and a net addition to the allowance for credit losses of $1.1 billion. The net addition was driven by loan growth in Card Services and the impact of changes in the Firm's weighted-average macroeconomic outlook, partially offset by reduced borrower uncertainty, and

•$2.4 billion inwholesale, driven by net increases in the loan and lending-related commitment portfolios, changes in credit quality of client-specific exposures, and estimated losses related to apparent borrower fraud in certain secured lending facilities, partially offset by the impact of changes in the Firm's weighted-average macroeconomic outlook, including improvements in certain macroeconomic variables. The net addition to the allowance for credit losses and the net charge-offs were each $1.2 billion.

In the prior year, the provision was $8.0 billion, net charge-offs were $6.3 billion and the net addition to the allowance for credit losses was $1.8 billion.

(a)Includes depreciation expense associated with auto operating lease assets. Refer to Note 16 for additional information.

(b)Refer to Note 5 for additional information.

(c)Included a $1.0 billion contribution of Visa shares to the JPMorgan Chase Foundation recorded in the second quarter of 2024. Refer to Notes 2 and 6 of JPMorganChase’s 2024 Form 10-K for additional information.

Compensation expense increased driven by:

•growth in the number of employees, primarily front office, and

•higher revenue-related compensation, predominantly in CIB and AWM.

Noncompensation expense increased, reflecting:

•higher brokerage expense in CIB and higher distribution fees in AWM,

•higher depreciation expense on higher auto operating lease assets in CCB,

•higher investments in marketing in CCB and in technology across the segments, as well as

•higher occupancy expense, reflecting the impact of net additions to the Firm’s properties,

•lower legal expense, largely in AWM.

Refer to Note 5 for additional information on other expense.

Compensation expense increased driven by:

•growth in the number of employees, primarily front office and technology, and

•higher revenue-related compensation, predominantly in CIB and AWM.

Noncompensation expense was flat, reflecting the following offsetting items:

•higher brokerage expense in CIB and higher distribution fees in AWM,

•higher depreciation expense on higher auto operating lease assets in CCB,

•higher investments in marketing in CCB and in technology across the segments, as well as

•higher occupancy expense, reflecting the impact of net additions to the Firm’s properties,

offset by

•the absence in Corporate of the following items recorded in the prior year

–a $1.0 billion contribution of Visa shares to the JPMorgan Chase Foundation, and

–restructuring and integration costs associated with First Republic,

•lower FDIC-related expense driven by releases of FDIC special assessment accruals of $437 million in Corporate, compared with an accrual increase of $725 million in the first quarter of the prior year, and

•lower legal expense, largely in AWM.

Theeffective tax rate decreased predominantly driven by tax benefits related to the Firm's 2024 U.S. federal tax return and changes in the level and mix of income and expenses subject to U.S. federal, state and local taxes.

Theeffective tax rate decreased driven by:

•a $774 million income tax benefit in Corporate recorded in the second quarter of 2025, driven by the resolution of certain tax audits and the impact of tax regulations related to foreign currency translation gains and losses finalized in 2024 and effective for 2025,

•other changes in the level and mix of income and expenses subject to U.S. federal, state and local taxes,

•higher tax benefits related to the vesting of employee share-based awards, and

•tax benefits related to the Firm's 2024 U.S. federal tax return.