Deutsche Bank has reported a net income of EUR1.2bn or diluted earnings per share of EUR1.75, for the second quarter of the 2010, compared to EUR1.1bn or EUR1.64 for the second quarter of 2009.
Net revenues for the second quarter of 2010 were EUR7.2bn, compared to EUR7.9bn in the second quarter of 2009. Included were charges of approximately EUR270m related to Ocala Funding, a commercial paper vehicle, an impairment charge of EUR124m on The Cosmopolitan Resort and Casino property, and net mark-downs of EUR57m.
The bank said that these negative effects were partly counter balanced by a EUR208m gain representing provisional negative goodwill from the commercial banking activities acquired from ABN AMRO in the Netherlands.
The corporate and investment bank recorded net revenues of EUR4.7bn, compared to EUR5.3bn in the second quarter 2009.
In corporate banking & securities, net revenues were EUR3.6bn versus net revenues of EUR4.6bn in the second quarter 2009.
The bank’s Tier 1 capital ratio, was 11.3% at the end of the second quarter, compared with the 11% at the end of the second quarter 2009.
Josef Ackermann, chairman of the management board at Deutsche Bank, said: “In a quarter which was characterized by increased investor uncertainty and higher market volatility, Deutsche Bank’s investment banking business followed the industry-wide trend of weaker profitability.
“That said, our leading franchise continues to gain market share while keeping strict risk and balance sheet discipline. In addition, performance within private client and asset management as well as global transaction banking was very solid and partially showed improved profitability. The private & business client segment delivered the best quarterly result since the peak of the financial crisis. This demonstrates the strength of our diversified business portfolio.”