Deutsche Bank reports increase in profits in the first quarter

Deutsche Bank reports increase in profits in the first quarter

Deutsche Bank started the year with an increase in profits. This increase was due to lower costs and a significant increase in revenues in the investment bank. Pre-tax profit rose 10 percent to 2.04 billion euros, while profit attributable to shareholders also rose 10 percent to 1.28 billion euros. Revenues rose slightly by 1 percent to 7.8 billion euros. In particular, growth of 13 percent in the investment bank offset the decline in earnings in the retail and corporate banks, which were struggling with weaker net interest income.

Deutsche Bank shares rose sharply after an analyst conference and reached their highest level since the beginning of 2018, exceeded the 16 euro mark and most recently recorded an increase of 8.18 percent at 16.66 euros. Analysts praised the company's strong performance in investment banking, with higher than expected revenue and lower costs and provisions for loan losses. This led to forecasts of price gains for the shares.

Savings efforts and bubbling earnings in the capital market business brought Deutsche Bank billions in profit at the beginning of the year. Despite setbacks in the commercial real estate market and IT breakdowns at Postbank, management expects these burdens to decrease over the course of the year. Overall, Deutsche Bank appears to be profitable at the start of the year and optimistic for the future.