JPMorgan Chase & Co. (NYSE:JPM) reported its results for the third quarter. Net income for JPMorgan Chase & Co. fell to $4.3 billion ($1.02 per share) vs. $4.42 billion ($1.01 per share) a year earlier. This is a decline of 2.7% from the year earlier quarter. Revenue was $24.4 billion last quarter. JPM beat the mean analyst estimate of 93 cents per share. It beat the average revenue estimate of $23.73 billion.
Jamie Dimon, Chairman and Chief Executive Officer, commented: “The Firm reported third-quarter net income of $4.3 billion, representing a 13% return on tangible common equity1. It is notable that these results included several significant items(*), including a $542 million pretax loss in Private Equity, $1.0 billion pretax of additional litigation expense in Corporate and a $1.9billion pretax DVA gain. The DVA gain reflects an adjustment for the widening of the Firm’s credit spreads which could reverse in future periods and does not relate to the underlying operations of the company. All things considered, we believe the Firm’s returns were reasonable given the current environment.”
Competitors to Watch: Bank of America Corp. (NYSE:BAC), Wells Fargo & Company (NYSE:WFC), Citigroup Inc. (NYSE:C), Goldman Sachs Group, Inc. (NYSE:GS), Deutsche Bank AG (NYSE:DB), Morgan Stanley (NYSE:MS), U.S. Bancorp (NYSE:USB), SunTrust Banks, Inc. (NYSE:STI), UBS AG (NYSE:UBS), and KeyCorp (NYSE:KEY).
Investor Insight: JPM Earnings Are This Ugly Without Accounting Tricks.
Safeway Inc. (NYSE:SWY) reported net income above Wall Street’s expectations for the third quarter. Net income for Safeway Inc. rose to $130.2 million (38 cents per share) vs. $122.8 million (33 cents per share) in the same quarter a year earlier. This marks a rise of 6% from the year earlier quarter. Revenue rose 7.1% to $10.06 billion from the year earlier quarter. SWY beat the mean analyst estimate of 35 cents per share. It beat the average revenue estimate of $9.84 billion.
“Our sales momentum continued to build in the third quarter, and our costs were well controlled,” said Steve Burd, Chairman, President and CEO. “At the same time, we continued to innovate throughout the business to meet our customers’ needs and build their loyalty. Our just for U digital marketing platform and our proprietary Open Nature line of 100% natural foods are good examples of these efforts.”
Competitors to Watch: The Kroger Co. (NYSE:KR), Whole Foods Market, Inc. (NASDAQ:WFM), SUPERVALU INC. (NYSE:SVU), Winn-Dixie Stores, Inc. (NASDAQ:WINN), The Fresh Market Inc (NASDAQ:TFM), Arden Group, Inc. (NASDAQ:ARDNA), The Great Atlantic & Pacific Tea Co. (GAPTQ), Ingles Markets, Inc. (NASDAQ:IMKTA), Ruddick Corporation (NYSE:RDK), and Weis Markets, Inc. (NYSE:WMK).