Net income attributable to common shareholders
rose to $1.86 billion, or 94 cents per share, in the three
months to June 30 from $803 million, or 41 cents per share, a
The net income figures exclude accounting adjustments to reflect
the changing value of Morgan Stanley's own debt, which investors
and analysts typically ignore.
Analysts on average had expected earnings of 55 cents per share,
according to Thomson Reuters I/B/E/S. It was not immediately
clear if the reported figure was comparable.
Morgan Stanley's shares were up 2.6 percent at $33.33 before the
bell. Up to Wednesday's close, the stock had risen 3.6 percent
this year, just outperforming the KBW Bank Index.
Excluding an accounting adjustment, net revenue rose 1 percent
to $8.61 billion.
Revenue from fixed-income, currency and commodities (FICC)
trading fell 17 percent to $1 billion as a lack of volatility
discouraged trading during the quarter.
Goldman Sachs Group Inc, JPMorgan Chase & Co and Citigroup Inc
earlier reported that their revenue from FICC trading fell 10-15
percent in the quarter.
Bank of America Corp, alone among the big U.S. banks, reported
an increase in revenue from the business, helped by a slight
pickup in activity late in the quarter.
Morgan Stanley, ranked No. 2 globally in
mergers-and-acquisitions, benefited from a strong equities
market in the quarter. Advisory revenue rose 26 percent to $418
Revenue from equity underwriting rose 50 percent to $489
million, while debt underwriting revenue rose 26 percent to $525
Revenue from the bank's fast-growing wealth management business
rose 5 percent to $3.72 billion.
(Reporting by Lauren Tara LaCapra and Tanya Agrawal; Editing by
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