JPMorgan Chase (JPM) reported solid second-quarter results for 2025, underpinned by continued balance sheet strength and resilient business performance, despite facing tougher year-over-year comparisons. Net income came in at $15.0 billion, down 17% from the prior year, primarily due to the absence of significant one-time items such as the $7.9 billion Visa gain that boosted Q2 2024 results. Earnings per share (EPS) declined 14% to $5.24, though this included a $774 million tax benefit, which added $0.28 to EPS. Excluding that, adjusted EPS was $4.96.

Managed net revenue totaled $45.7 billion, down 10% year-over-year, largely driven by a 20% decline in noninterest revenue. However, net interest income rose 2% to $23.3 billion, reflecting the benefits of higher rates and steady loan growth. Credit quality remained stable, with provisions for credit losses down 7% to $2.8 billion, and net charge-offs totaling $2.4 billion, mostly in Card Services. Noninterest expenses held flat at $23.8 billion, aided by disciplined cost control despite ongoing investments in technology and talent.

The bank’s return metrics moderated due to the prior-year comps, with ROE at 18% and ROTCE at 21%, both down year-over-year but still indicative of strong profitability. Meanwhile, book value per share increased 10% to $122.51, and tangible book value per share rose 11% to $103.40. Capital levels remained robust, with a CET1 capital ratio of 15.0%, and the firm maintained $1.5 trillion in cash and marketable securities.

Segment performance was a bright spot. Consumer & Community Banking (CCB) posted $5.2 billion in net income, up 23%, as card sales volume grew 7%, and digital engagement continued to strengthen, with 59.9 million active mobile users, up 8%. In the Corporate & Investment Bank (CIB), net income climbed 13% to $6.7 billion, with standout Markets revenue growth of 15%, led by strong performance in both Fixed Income and Equities. Asset & Wealth Management (AWM) delivered a 17% increase in net income, fueled by 18% AUM growth to $4.3 trillion and solid net inflows.

Shareholder returns remained substantial, with $3.9 billion in dividends paid and $7.1 billion in share repurchases, bringing the net payout ratio to 71% over the last twelve months. Management signaled plans to raise the common dividend again in 2025, amounting to a 20% increase versus Q4 2024.

Looking ahead, the firm reaffirmed guidance for full-year net interest income (ex-Markets) of ~$90 billion, and total NII around $94.5 billion, with expenses projected at ~$95 billion. CEO Jamie Dimon noted the U.S. economy remains resilient, but flagged risks tied to trade tensions, fiscal deficits, and geopolitical uncertainty. Still, with a strong capital base, diversified business mix, and prudent risk posture, JPMorgan remains well-positioned to navigate a wide range of economic scenarios.