JP Morgan has reported a net income of $3.3bn or $0.74 earnings per share for first quarter of 2010, compared with $2.1bn or $0.40 earnings per share in the first quarter of 2009.

The managed net revenue was $28.2bn, an increase of $1.3bn, or 5%, from the prior year. Non-interest revenue was $14.4bn, up by $2.9bn. The increase was driven by higher principal transactions revenue, including higher trading revenue and higher private equity gains (compared with losses in the prior year), partially offset by lower MSR risk management results.

Net interest income was $13.8bn, down by $1.7bn, or 11%, largely driven by lower loan balances. Partially offsetting these declines were wider loan spreads and higher investment portfolio net interest income. Retail Financial Services reported a net loss of $131mn, compared with net income of $474mn in the prior year.

Jamie Dimon, chairman and CEO of JP Morgan, said: “The firm’s net income of $3.3bn reflected another strong quarter for the investment bank, particularly in fixed income markets, and continued solid performance across asset management, commercial banking and retail banking. Unfortunately, these good results were partially offset by high losses in the consumer credit portfolios.

“Our first-quarter earnings generated additional capital, resulting in a very strong Tier 1 Capital ratio of 11.5% and a Tier 1 Common ratio of 9.1%. Total firm wide credit reserves were more than $39bn, or 5.6% of total loans. We continued to see delinquencies stabilize, and in some cases improve, in our credit portfolios. Ultimately, the health of these portfolios will track the health of the economy.”