Отчет Morgan Stanley

Лучше ожиданий по EPS, но хуже по выручке. 

Morgan Stanley beats by $0.03, misses on revs Price: 18.49 Change: 
Reports Q3 (Sep) earnings of $0.28 per share (excluding DVA), $0.03 better than the Capital IQ Consensus Estimate of $0.25; revenues fell 46.1% year/year to $5.29 bln (including DVA) which may not be comaprable to the $6.27 bln consensus. Net Revenues included the negative impact of $2.3 bln from the tightening of Morgan Stanley's Debt-Related Credit Spreads (DVA); Including the DVA adjustment the loss from Continuing Operations was $0.55 per share, which may not compared to the Capital IQ GAAP consensus of -$0.36.  

Morgan Stanley reported net revenues of $5.3 bln for Q3 compared with $9.8 bln a year ago. For the current quarter, the loss from continuing operations applicable to Morgan Stanley was $1.0 billion, or a loss of $0.55 per diluted share, compared with income of $2.2 billion, or $1.14 per diluted share, for the same period a year ago. Excluding DVA, net revenues for the current quarter were $7.6 bln compared with $6.4 bln a year ago and income from continuing operations applicable to Morgan Stanley was $561 million, or $0.28 per diluted share, compared with income of $64 million, or $0.02 a year ago.

Compensation expense of $3.9 billion increased from $3.6 billion a year ago. Non-compensation expenses of $2.8 billion increased from $2.5 billion a year ago primarily due to litigation costs reported in Institutional Securities and non-recurring expenses associated with the Morgan Stanley Wealth Management integration. 

Institutional Securities
Institutional Securities reported a pre-tax loss from continuing operations of $1.9 billion compared with pre-tax income of $3.4 billion in the third quarter of last year. Net revenues for the current quarter were $1.4 billion compared with $6.4 billion a year ago. DVA resulted in negative revenue of $2.3 billion in the current quarter compared with positive revenue of $3.4 billion a year ago. Excluding DVA, net revenues for the current quarter were $3.6 billion compared with $3.0 billion a year ago. Advisory revenues were $339 million compared with $413 million a year ago reflecting lower completed market volumes.  Equity underwriting revenues were $199 million compared with $239 million a year ago. Fixed income underwriting revenues were $431 million compared with $212 million a year ago reflecting increased bond issuance volumes and higher market share in investment grade debt. Fixed Income & Commodities sales and trading net revenues were $1.5 billion compared with $1.1 billion a year ago. Equity sales and trading net revenues were $1.2 billion compared with $1.3 billion in the prior year quarter primarily reflecting lower market volumes. Compensation expense was $1.6 billion compared with $1.5 billion a year ago. Non-compensation expenses of $1.7 billion increased from $1.4 billion a year ago primarily due to increased litigation costs of approximately $280 million. Morgan Stanley's average trading Value-at-Risk (VaR) was $63 million compared with $76 million in second quarter of 2012 and $99 million in the third quarter of the prior year. 

Global Wealth Management Group
Global Wealth Management Group reported pre-tax income from continuing operations of $239 million compared with $356 million in the third quarter of last year. Net revenues for the current quarter were $3.3 billion compared with $3.2 billion a year ago. The quarter's reported pre-tax margin was 7%; excluding $193 million of non-recurring costs associated with the MSWM integration and purchase of an additional 14% stake in the Joint Venture, the pre-tax margin was 13%.

Asset Management
Asset Management reported pre-tax income from continuing operations of $198 million compared with a pre-tax loss of $118 million in last year's third quarter. The quarter's reported pre-tax margin was 31%. 

Capital 
Morgan Stanley's Tier 1 capital ratio under Basel I was approximately 16.7% and Tier 1 common ratio was approximately 13.