UPDATE: Deutsche Bank Posts Drop In Q2 Profit

Deutsche Bank AG

reported a 29% fall in its second-quarter net profit. The Frankfurt-based bank posted a quarterly net profit of 238 million euros ($320 million), compared to a year-ago profit of 335 million euros. Its revenue declined 4% to 7.86 billion euros from 8.215 billion euros. Its pre-tax profit rose 16% y/y to EUR 917 million. The bank paid a 73% tax ratio in the period, versus a 50% ratio in the year-ago period. Analysts were expecting a profit of EUR545 million on revenue of about EUR7.9 billion. Its noninterest expenses shrank 4% to EUR 6.7 billion. Deutsche Bank's Corporate Banking & Securities income before income taxes rose 17% y/y to EUR 885 million, while Private & Business Clients IBIT declined 21% to EUR 403 million. Global Transaction Banking's IBIT tumbled 29% to EUR 228 million, while Deutsche Asset & Wealth Management's IBIT rose to EUR 204 million from EUR 80 million. Jürgen Fitschen and Anshu Jain, Co-Chief Executive Officers, said: “Deutsche Bank delivered a quarter of strong underlying performance with pre-tax profit up 16% year-on-year.” Deutsche Bank shares closed at $35.87 yesterday.