J.P. Morgan Chase & Co. reported fourth-quarter net income rose 68% to US$4.53 billion, compared with net income of US$2.7 billion for the fourth quarter of 2005.

The bank’s reported results include a US$622 million after-tax gain related to exiting the corporate trust business in the fourth quarter of 2006. Income from continuing operations was US$3.9 billion in the current quarter, compared with US$2.6 billion for the fourth quarter of 2005. Current-quarter results also include US$359 million of benefits related to tax audit resolutions and after-tax merger expense of US$62 million.

Jamie Dimon, chairman and CEO, said, “During the fourth quarter, we posted both record revenue and income from continuing operations, reflecting increasingly strong results across most of our businesses, especially in investment banking, where fees were at a record level and markets results improved significantly from the prior year.”

Corporate segment results also continued to improve, Dimon noted. Commenting on 2007, Dimon added, “The firm is focused on driving improvement in performance through both continued cost discipline and investment in all areas of our franchise; converting and integrating The Bank of New York branches; and completing the wholesale deposit conversion, which is the last significant integration activity related to the Bank One merger.”