Early Access

10-QPeriod: Q3 FY2024

MORGAN STANLEY Quarterly Report for Q3 Ended Sep 30, 2024

Filed November 4, 2024For Securities:MSMS-PKMS-POMS-PQMS-PAMS-PFMS-PIMS-PLMS-PPMS-PEMSTLW

Summary

Morgan Stanley reported a strong third quarter of 2024, with net revenues increasing by 16% year-over-year to $15.4 billion and net income applicable to Morgan Stanley common shareholders rising by 32% to $3.2 billion. Diluted earnings per common share saw a 36% increase to $1.88. These results reflect robust performance across all key business segments: Institutional Securities, Wealth Management, and Investment Management. The Institutional Securities segment benefited from higher client activity in Equity and Fixed Income, along with increased underwriting revenues in Investment Banking. Wealth Management demonstrated strong net revenue growth, driven by higher asset management and transactional revenues, and continued to grow client assets to $6 trillion. Investment Management also saw increased net revenues, primarily due to higher average Assets Under Management (AUM). The firm maintained a solid capital position, with a Standardized Common Equity Tier 1 capital ratio of 15.1%. The reported Return on Equity (ROE) was 13.1% and Return on Tangible Common Equity (ROTCE) was 17.5% for the quarter. Expenses were managed effectively, with an expense efficiency ratio of 72%. The provision for credit losses decreased significantly compared to the prior year quarter, indicating improved credit conditions.

Financial Highlights

33 data points
Beta

Net Income

$3.19B

EPS (Diluted)

$1.88

Total Assets

$1.26T

Cash & Equivalents

$91.08B

Free Cash Flow

-$17.32B

Financial Statements
Beta
Net Income$3.19B
EPS (Basic)$1.91
EPS (Diluted)$1.88
Shares Outstanding (Basic)1.59B
Shares Outstanding (Diluted)1.61B

Key Highlights

  • 1Net revenues increased 16% year-over-year to $15.4 billion.
  • 2Net income applicable to Morgan Stanley common shareholders increased 32% year-over-year to $3.2 billion.
  • 3Diluted earnings per common share rose 36% year-over-year to $1.88.
  • 4Institutional Securities net revenues grew 20% year-over-year, driven by strong Equity and Fixed Income performance.
  • 5Wealth Management net revenues increased 14% year-over-year, with total client assets reaching $6 trillion.
  • 6Investment Management net revenues increased 9% year-over-year, with AUM reaching $1.6 trillion.
  • 7The Standardized Common Equity Tier 1 capital ratio remained strong at 15.1%.

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