Shares of Morgan Stanley rose 0.5% in premarket trading Thursday, after the banking and brokerage services company reported a second-quarter profit that rose above expectations, amid strength in the trading and investment banking businesses.
Net income increased to $3.20 billion, or $1.96 a share, from $2.20 billion, or $1.23 a share, in the year-ago period.
The FactSet consensus for earnings per share was $1.12. Revenue 30.9% to $13.41 billion.
Non interest revenue grew 28% to $11.81 billion, to beat the FactSet consensus of $9.36 billion and net interest income rose 31% to $1.60 billion to top expectations of $985.2 million.
Within noninterest revenue, trading revenue soared 71% to $4.68 billion and investment banking revenue jumped 35% to $2.14 billion.
"The second quarter tested the model and we performed exceedingly well, delivering record results," said Chief Executive James Gorman.
"This builds on the momentum of a very strong first quarter, while more than 90% of our employees continue to work from home, demonstrating the ongoing operational resilience of our platform."
The stock has rallied 33.9% over the past three months through Wednesday, while the SPDR Financial Select Sector ETF has advanced 13.5% and the S&P 500 has gained 15.3%.
This article originally appeared on MarketWatch.
