JP Morgan Chase 2005 Annual Report Download - page 24

22 JPMorgan Chase & Co. /2005 Annual Report
(unaudited)
(in millions, except per share, headcount and ratio data) Heritage JPMorgan Chase only
As of or for the year ended December 31, 2005 2004(e) 2003 2002 2001
Selected income statement data
Noninterest revenue $ 34,702 $ 26,336 $ 20,419 $ 17,436 $ 17,943
Net interest income 19,831 16,761 12,965 12,178 11,401
Total net revenue 54,533 43,097 33,384 29,614 29,344
Provision for credit losses 3,483 2,544 1,540 4,331 3,182
Noninterest expense before Merger costs and Litigation reserve charge 35,549 29,294 21,716 20,254 21,073
Merger and restructuring costs 722 1,365 — 1,210 2,523
Litigation reserve charge 2,564 3,700 100 1,300 —
Total noninterest expense 38,835 34,359 21,816 22,764 23,596
Income before income tax expense and effect of accounting change 12,215 6,194 10,028 2,519 2,566
Income tax expense 3,732 1,728 3,309 856 847
Income before effect of accounting change 8,483 4,466 6,719 1,663 1,719
Cumulative effect of change in accounting principle (net of tax) —— — — (25)
Net income $ 8,483 $ 4,466 $ 6,719 $ 1,663 $ 1,694
Per common share
Net income per share: Basic $ 2.43 $ 1.59 $ 3.32 $ 0.81 $ 0.83(f)
Diluted 2.38 1.55 3.24 0.80 0.80(f)
Cash dividends declared per share 1.36 1.36 1.36 1.36 1.36
Book value per share 30.71 29.61 22.10 20.66 20.32
Common shares outstanding
Average: Basic 3,492 2,780 2,009 1,984 1,972
Diluted 3,557 2,851 2,055 2,009 2,024
Common shares at period-end 3,487 3,556 2,043 1,999 1,973
Selected ratios
Return on common equity (“ROE”) 8% 6% 16% 4% 4%
Return on assets (“ROA”)(a) 0.72 0.46 0.87 0.23 0.23
Tier 1 capital ratio 8.5 8.7 8.5 8.2 8.3
Total capital ratio 12.0 12.2 11.8 12.0 11.9
Tier 1 leverage ratio 6.3 6.2 5.6 5.1 5.2
Selected balance sheet data (period-end)
Total assets $ 1,198,942 $ 1,157,248 $770,912 $ 758,800 $693,575
Securities 47,600 94,512 60,244 84,463 59,760
Loans 419,148 402,114 214,766 216,364 217,444
Deposits 554,991 521,456 326,492 304,753 293,650
Long-term debt 108,357 95,422 48,014 39,751 39,183
Common stockholders’ equity 107,072 105,314 45,145 41,297 40,090
Total stockholders’ equity 107,211 105,653 46,154 42,306 41,099
Credit quality metrics
Allowance for credit losses $ 7,490 $ 7,812 $ 4,847 $ 5,713 $ 4,806
Nonperforming assets(b) 2,590 3,231 3,161 4,821 4,037
Allowance for loan losses to total loans(c) 1.84% 1.94% 2.33% 2.80% 2.25%
Net charge-offs $ 3,819 $ 3,099 $ 2,272 $ 3,676 $ 2,335
Net charge-off rate(c) 1.00% 1.08% 1.19% 1.90% 1.13%
Headcount 168,847 160,968 96,367 97,124 95,812(g)
Share price(d)
High $ 40.56 $ 43.84 $ 38.26 $ 39.68 $ 59.19
Low 32.92 34.62 20.13 15.26 29.04
Close 39.69 39.01 36.73 24.00 36.35
(a) Represents Net income divided by Total average assets.
(b) Excludes wholesale purchased held-for-sale (“HFS”) loans purchased as part of the Investment Bank’s proprietary activities.
(c) Excluded from the allowance coverage ratios were end-of-period loans held-for-sale; and excluded from the net charge-off rates were average loans held-for-sale.
(d) JPMorgan Chase’s common stock is listed and traded on the New York Stock Exchange, the London Stock Exchange Limited and the Tokyo Stock Exchange.The high, low and closing prices of
JPMorgan Chase’s common stock are from The New York Stock Exchange Composite Transaction Tape.
(e) 2004 results include six months of the combined Firm’s results and six months of heritage JPMorgan Chase results.
(f) Basic and diluted earnings per share were each reduced by $0.01 in 2001 because of the impact of the adoption of SFAS 133 relating to the accounting for derivative instruments and hedging activities.
(g) Represents full-time equivalent employees, as headcount data is unavailable.
Five-year summary of consolidated financial highlights
JPMorgan Chase & Co.