Sometimes providing an early window into the results for publicly traded investment banks, Jefferies Group - owned by Leucadia National (LUK) - posted a 55% surge in earnings to $61.3M for the quarter ended May 31. Revenues gained 9.8%.
Fixed-income trading revenue fell just 5%, and overall trading revenue rose 6.5% thanks to a 25% jump in equities trading. Investors are bracing for double-digit declines from the larger banks.
Investment banking revenue of $331.M grew 19%, with capital markets revenue of $230.7M up 23%, and CEO Richard Handler says Jefferies is continuing to grow the headcount on its investment banking team.