PaineWebber Profit Up 39 Percent
NEW YORK (AP) _ PaineWebber Group Inc. today posted a 39 percent increase in second-quarter profit, led primarily by strong gains in revenues from investment banking and asset management.
The company earned $129.5 million, or 82 cents per diluted share, during the three months ended June 30, compared with $93.1 million, or 58 cents per diluted share, during the same period a year ago.
Chairman Donald B. Marron said the gains were enhanced by improved productivity and effective cost control efforts. Revenues after interest expenses rose to $1.2 billion from $976 million a year ago.
The gains were led by a 60 percent rise in investment banking revenues to $176 million, reflecting strong fees from underwritings as well as advising companies on mergers and acquisitions.
Asset management fees rose 46 percent to $182 million. Commission revenues, a big source of earnings for PaineWebber, rose 15 percent to $402.1 million. Trading revenues fell 4 percent to $244.1 million.