Morgan Stanley reported fourth-quarter results that fell short of analyst estimates as revenue was hit by the same trading slowdown that hammered rivals and progress stalled on a key measure in the firm's wealth management business.
Shares dropped about 2% in premarket trading as both per-share earnings and revenue fell short of what analysts were expecting.
The bank reported a profit of $1.04 billion compared with a year-earlier profit of $84 million. Stripping out one-time items and accounting adjustments, profits fell to 39 cents from 50 cents a year earlier. Analysts polled by Thomson Reuters had expected earnings of 48 cents a share.
Among other items, the latest quarter's results include a tax gain of $1.4 billion and a compensation expense of $1.1 billion, while the year-earlier quarter included a pretax legal expense of $1.2 billion.
Revenue fell 1% to $7.76 billion, while revenue excluding accounting adjustments dropped 2.5% to $8 billion, coming in below analyst estimates for $8.08 billion.
25 Canada Square, Level 33, office 50, Canary Wharf London, E14 5LQ +44 20 3608 6256
World Financial Markets - 0700 17 600 Varchev Exchange - 0700 115 44
Varchev Finance Ltd is registered in the FCA (FINANCIAL CONDUCT AUTHORITY) with a passport in the United Kingdom: FCA, United Kingdom - registration number: 494 045, which allows provision of financial services in the United Kingdom.
Varchev Finance Ltd strictly comply with the statutes of the European directive MiFID (Markets in Financial Instruments). targeting increased efficiency, transparency and uniformity of financial instruments.
Varchev Finance Ltd is authorized and regulated by the Financial Supervision Commission - Sofia, Bulgaria: License number RG-03-02-05 / 15.03.2006
The information on this site is not intended for distribution or use by any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.
Disclaimer:
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 63,41% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.