JPMorgan Q4 Profits Decline Due to One-Time Charge from Apple Credit Card Transactions

Glonghui, January 13th｜JPMorgan Chase (JPM.US) reported a decline in fourth-quarter profits due to a one-time charge related to an agreement with Goldman Sachs to take over the Apple credit card partnership. According to the financial report released by JPMorgan Chase on Tuesday, net profit fell to $13 billion, or $4.63 per share, in the three months ending December 31, compared to $14 billion and $4.81 per share in the same period last year. Earlier this month, JPMorgan Chase reached an agreement with Apple to become the new issuer of the Apple credit card. This deal will solidify JPMorgan's position in the credit card sector and further enrich CEO Dimon's list of strategic achievements, as he has built the bank into a leading player in retail and investment banking. JPMorgan Chase stated that it will set aside $2.2 billion in credit loss provisions for the credit card portfolio in the fourth quarter. Excluding the one-time charge, JPMorgan's actual profit for the quarter rose to $14.7 billion, with earnings per share of $5.23, mainly due to strong performance in trading operations.