Deutsche Bank surprised with great profit

Deutsche Bank surprised investors with good news – something that happens less and less, CNN reported. Germany's largest bank said on Monday that the second quarter was much stronger than the badysts expected.

This should give a bit of air to the new managing director Christian Sueing while implementing the cost-cutting and profit strategy

The bank announced a pre-tax profit of $ 700 million. euros ($ 820 million) in the second quarter, up 62% from the previous quarter. Revenues also exceed expectations, reaching 6.6 billion euros ($ 7.7 billion).

Deutsche Bank shares rose by more than 7% after the preliminary financial forecasts required by German regulators when the results differ from market expectations. The bank will release its full profit statement on July 25.

The bank reports losses three years in a row, trailing behind its global competitors, and struggling to find a direction after the global financial crisis. Serious losses forced lender to accelerate restructuring, which critics say is long overdue

Bank says second-quarter results show plan works

"Management believes these results demonstrate sustainability of the franchise, "said in a statement

Restructuring reduced the number of employees from 1700 in the second quarter to just over 95,400, according to the bank. Non-interest expenses were lower than badysts' forecasts at around 5.8 billion euros ($ 6.8 billion).

Despite rising stocks on Monday, the bank still can not recover nearly two-thirds of its market value over the past three years . ] If you liked this article, you can subscribe to our Facebook pages and Twitter or use our RSS feed channel to avoid missing something of interest from Economic.bg