Morgan Stanley (NYSE: MS) reported fourth-quarter earnings that exceeded analyst expectations, supported by strong performance across several business segments.
The firm posted net revenues of $17.9 billion and earnings per share of $2.68, surpassing consensus estimates of $17.72 billion and $2.41, respectively. Quarterly revenue increased 10.3% from $16.2 billion in the prior-year period.
Investment banking revenue jumped 47% year over year to $2.41 billion, while equity revenues increased 10% to $3.67 billion. These gains were partially offset by a 9% decline in fixed income revenues, which fell to $1.76 billion.
For full-year 2025, Morgan Stanley reported record net revenues of $70.6 billion, up 14.3% from 2024. Net income totaled $16.9 billion, or $10.21 per diluted share, and the firm generated a return on tangible common equity of 21.6%.
The Wealth Management division posted net revenues of $8.43 billion, up 13% year over year, while Investment Management revenues increased 5% to $1.72 billion. The firm ended the year with a standardized CET1 capital ratio of 15.0%.
