NEW YORK -Morgan Stanley (MS) has returned to profitability for the first time in a year on the strength of its investment banking operations.
Morgan Stanley has reported Wednesday that stock and debt underwriting by its investment banking division more than offset $400 million in losses from commercial real estate . It also cited growing profit from its retail brokerage business, which includes the Morgan Stanley Smith Barney joint venture it owns with Citigroup Inc.
The commercial real estate losses are a reminder that the broader economy continues to struggle even as financial companies profit from their investment banking and trading operations.
The New York-based bank says it earned $498 million, or 38 cents per share.
Analysts were expecting earnings of 27 cents per share.
Copyright 2009 The Associated Press. The information contained in the AP news report may not be published, broadcast, rewritten or otherwise distributed without the prior written authority of The Associated Press. Active hyperlinks have been inserted by AOL
Want to succeed? Then you need goals!View Course »