Deutsche Bank profits BOOM16 Jul 2018 11:55
Deutsche Bank profits blast past market estimates
German lender releases second-quarter results 9 days ahead of schedule
https://www.ft.com/content/fd64d474-88d2-11e8-bf9e-8771d5404543
Deutsche Bank made twice as much money as analysts expected in the second quarter of the year, offering a rare reprieve for the lender and a welcome boost to new chief executive Christian Sewing.
The German lender made second-quarter profits of around €700m, so far in excess of analysts’ expectations that the German bank announced the results nine days ahead of schedule. Shares jumped almost 7 per cent in response, to €10.29.
The €700m in expected pre-tax profits, and €400m in expected net income, were more than double the €321m pre-tax profits and €159m net income predicted by the average of analysts’ estimates. Both are lower, however, than the €822m of pre-tax profits and €466m of net income recorded in the second quarter of 2017.
“Management believes that these results demonstrate the resilience of the franchise,” Deutsche said. The surprise beat comes three months after Mr Sewing took over from Briton John Cryan.
Mr Sewing, who formerly headed Deutsche’s retail bank, vowed to cut costs faster and take deeper action to reshape Deutsche’s investment bank.