Investing.com - Morgan Stanley (NYSE:MS) reported second quarter earnings and revenue that topped analysts expectations on Wednesday.
The bank reported second quarter earnings per share of 87 cents on revenue of $9.5 billion, compared with $8.9 billion a year ago.
Analysts had expected EPS of 76 cents on revenue of $9.09 billion.
For the current quarter, net income applicable to Morgan Stanley was $1.8 billion, compared with net income of $1.6 billion for the same period a year ago.
The bank attributed the increase to a strong performance in investment banking and solid results in sales and trading.
Wealth management net revenues were $4.2 billion and the pre-tax margin was 25%.
Overall sales and trading revenue decreased by $100 million from a year ago, but equity sales and trading net revenues increased by $100 million.
The bank said it plans to declare a 25 cent quarterly dividend in the third quarter, an increase of 5 cents.
The bank also said it will increase share repurchases from $3.5 billion to up to $5 billion of outstanding common stock for the four quarters, also beginning in the third quarter.
“Our second quarter results demonstrated the resilience of our franchise in a subdued trading environment. Our wealth management business produced a 25% margin and our strong investment banking results attest to the diversity of our global business," said James P. Gorman, Chairman and Chief Executive Officer.
"We continue to deliver on our strategic goals and grow shareholder returns.”
After Morgan Stanley's earnings report, its stock rose 2.5% in premarket trade.