DWS is optimistic about the future after a successful start to the year

DWS is optimistic about the future after a successful start to the year

Deutsche Bank subsidiary DWS is confident about its financial goals through 2025 after a positive start to the year. The company's boss, Stefan Hoops, announced that they are aiming to increase earnings per share to 4.50 euros, which is significantly higher than last year. This increase should be achieved through higher yields, the elimination of one-off costs and increases in efficiency. In the first quarter of the year, DWS recorded a five percent increase in profits compared to the same period last year to 146 million euros.

In addition, adjusted earnings before taxes increased by twelve percent to 231 million euros, while income increased by five percent to 653 million euros. Despite a slight underperformance in terms of adjusted pre-tax profits, net inflows in long-term assets under management surprised at €7.9 billion. Assets under management reached a record 941 billion euros, up 12 percent compared to March 2023, with the majority coming from long-term deals.

DWS shares fell on Thursday after rising sharply in previous months. The shares of the Deutsche Bank subsidiary temporarily fell by 3.76 percent to 39.46 euros. Analysts attributed this to the asset manager's pre-tax profit missing expectations by two percent, mainly due to less profitable fees and slightly higher costs. Despite higher than expected cash flows, capital flowed increasingly into passively managed funds.