Company Reports

JPMorgan was passionate in rebuilding bridges to the investor and regulatory community as it softened up its message to be more inclusive of the multi-stakeholder views. Viola Risk Advisors appreciated this turning of the page in its tone and approach, and find the company to have many franchise and competitive strengths.

Reported 4Q14 EPS of $1.24, but $1.37 on an adjusted basis which exceeds street consensus of $1.27.  The difference was primarily related to a charge to increase a legal accrual associated with indirect foreign exchange matters ($0.10) and a restructuring charge related to the completion of the Business Operations and Information Technology...

Reported 4Q14 EPS of $0.70, but $0.58 on an adjusted basis which fell short of street consensus of $0.59.  The difference was related to a tax benefit, net of litigation and restructuring charges ($0.12).

Reported 4Q14 EPS of $4.38, versus Street consensus of $4.29, for a beat of almost a dime.  There were several one-off items that could have impacted the beat, including:  (1) equity investment gains (private & public equity) of $982 million, (2) debt & loan gains ($358 million), (3) other net revenues from firm’s consolidated investments ($192 million); partly offset by charges related to...

Reported 4Q14 EPS of $0.47 that was below the Street consensus of $0.56.  We believe that the EPS miss was largely due to the drop-off in less emphasized activities related to the implementation of the Dodd Frank Act’s restrictions on private equity and other alternative investments.  We estimate a $0.09 negative impact for the reduction in merchant banking & carried interest, all of which are DFA restricted activities. MS Morgan Stanley

• Reported 4Q14 EPS of $0.14, but $0.21 on an adjusted basis which met street consensus of $0.21.  The difference was related to a contingent legal and regulatory accrual charge ($100mm, $0.07).
• Income Statement:  Quarterly: Net Negative:  Net revenues down, ex

• Reported 4Q14 EPS of $1.02, which met street consensus.  Full year EPS of $4.10 about in-line with Street estimates of $4.09. 
• Income Statement:  Quarterly:  Net Positive:  Net revenues up, credit costs down, partly offset by higher expenses

Reported 4Q14 EPS of $0.06, which fell short of the street consensus of $0.10.  The quarter registered yet another boatload of large legal and related expenses and repositioning charges totaling $3.5 billion. It seems that the only thing that is recurring at Citi is its large legal/repositioning charges which have muddied up results for the last seven to eight years.

With most mortgage settlements behind them, what is BAC’s core profitability picture going forward? BAC

• Reported 4Q14 EPS of $1.19, but $1.33 on an adjusted basis which beat street consensus of $1.31. Adjustments included the firm wide legal expense ($0.26) and other notable items that are a net add-back of ($0.12)