Wells Fargo & Co. announced on Friday that its revenue in the third quarter of 2022 reached $19.51 billion, going above the market forecasts, and up by 4% than the same quarter in 2021. Diluted earnings per share (EPS) were down by 38% compared to the same time span the year before, landing at $0.85 per share. “We have been focused on increasing our earnings capacity and see the positive impacts of rising interest rates driving strong net interest income growth and our continued focus on improving operating efficiencies resulting in lower expenses excluding the operating losses above,” stated CEO Charlie Scharf. “We are closely monitoring risks related to the continued impact of high inflation and increasing interest rates, as well as the broader geopolitical risks, and while we do expect to see continued increases in delinquencies and ultimately credit losses, the timing remains unclear,” he added. Wells Fargo shares gained 2.17% in premarket trade after the report release.
JPMorgan beats estimates with EPS of $3.12 in Q3
JPMorgan Chase & Co. said on Friday that its diluted earnings per share stood at $3.12 in the third quarter of 2022, dropping 17% compared to the same period a year earlier but still coming in above estimates. Net income for the three-month period slid 17% to $9.7 billion. The lender’s reported revenue jumped 10% year on year to reach $32.7 billion, while the return on common equity stood at 15% and the return on tangible common equity was 18%. “While we unfortunately still don’t know the ultimate effect of changes in capital requirements due to the completion of Basel III, through our earnings power and demonstrated ability to manage down risk-weighted assets, we expect to reach our current target CET1 ratio of 13%, which includes a 50 basis point buffer, in the first quarter of 2023,” CEO Jamie Dimon stated. JP Morgan shares climbed 1.95% in premarket trading on better-than-expected results.
JP Morgan Chase