Steve Schaefer
Germany’s Deutsche Bank reported fourth-quarter profits that dropped nearly 70% Thursday, on the combination of a difficult quarter for investment banking, litigation charges and fallout from Greece’s debt quagmire.
The bank booked net income of €186 million euro ($244 million), down 69.3% from a year ago. The reasons for the loss included a €373 million hit from the firm’s exposure to Greek bonds and €700 million in litigation-related charges.
Both profit and revenue, which came in at €6.9 billion ($9.1 billion), were short of the Street’s consensus forecast. Hope for a debt deal out of Greece, which faces a crucial bond payment due in mid-March, may have limited the sting of Deutsche Bank’s rough numbers Thursday, but more important may have been the bank’s ability to fill a sizable capital hole.
Read more: http://www.forbes.com/sites/steveschaefer/2012/02/02/deutsche-bank-dented-as-trading-greek-debt-hammer-earnings/
Germany’s Deutsche Bank reported fourth-quarter profits that dropped nearly 70% Thursday, on the combination of a difficult quarter for investment banking, litigation charges and fallout from Greece’s debt quagmire.
The bank booked net income of €186 million euro ($244 million), down 69.3% from a year ago. The reasons for the loss included a €373 million hit from the firm’s exposure to Greek bonds and €700 million in litigation-related charges.
Both profit and revenue, which came in at €6.9 billion ($9.1 billion), were short of the Street’s consensus forecast. Hope for a debt deal out of Greece, which faces a crucial bond payment due in mid-March, may have limited the sting of Deutsche Bank’s rough numbers Thursday, but more important may have been the bank’s ability to fill a sizable capital hole.
Read more: http://www.forbes.com/sites/steveschaefer/2012/02/02/deutsche-bank-dented-as-trading-greek-debt-hammer-earnings/
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