By Tom Sims and Matthias Inverardi
FRANKFURT (Reuters) -Deutsche Bank on Tuesday posted a 39% rise in first-quarter profit after its global investment banking division generated a big increase in revenue in bond and currency trading during volatile markets. Deutsche, Germany’s largest lender, recorded net profit attributable to shareholders of 1.78 billion euros ($2.03 billion) in the quarter, up from 1.28 billion euros a year earlier.
It exceeded analysts’ expectations for a profit of around 1.64 billion euros.
The figures kick off a crucial year for Deutsche as it winds up a three-year plan and attempts to meet a series of targets that some analysts deem overly ambitious.
The results “put us on track for delivery on all our 2025 targets”,” CEO Christian Sewing said.
The investment bank was Deutsche’s biggest earnings source. Revenue for its fixed-income and currency trading, one of the bank’s largest businesses, rose 17%, better than expectations for a 10.3% gain.
Origination and advisory, after making big gains in recent quarters, saw an 8% drop in revenue. It posted a 90-million-euro writedown for an unnamed position in its leveraged finance business.
($1 = 0.8782 euros)
(Reporting by Tom Sims and Matthias Inverardi, editing by Thomas Seythal)
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