J P Morgan Chase Q1 net income up 55 per cent at $3.3 billion

After the financial market turmoil of 2008 and 2009 that shook the foundations of the banking industry, leading global banks are coming out with strong results highlighting the recovery of the financial sector and overall growth in global economic activity.

US investment bank JPMorgan Chase & Co, the first to come out with its first quarter results, registered a remarkable recovery with net income of $3.3 billion for the first-quarter of 2010, up by $1.2 billion or 55 per cent, compared with $2.1 billion in the first quarter of 2009.

Earnings per share were $0.74, compared with $0.40 in the first quarter of 2009.

''The firm's net income of $3.3 billion reflected another strong quarter for the investment bank, particularly in fixed income markets, and continued solid performance across asset management, commercial banking and retail banking.

Unfortunately, these good results were partially offset by high losses in the consumer credit portfolios,'' said Jamie Dimon, chairman and CEO of the bank.

The increase in earnings was driven by the lower provision for credit losses and higher net revenue, partially offset by higher noninterest expense.