Morgan Stanley is planning to cut more staff this year and expects its workforce to fall by 7%. These job cuts come as the bank prepares for weaker economic growth across the world and lower trading volume.
Morgan Stanley reported a 24% drop in second quarter revenue to $6.95 billion, but the bank’s second quarter earnings mostly beat what analysts were predicting. Morgan Stanley posted a profit of $564 million, $0.29 per share. In the same quarter last year, the bank posted a loss of $558 million or $0.38 per share.
Revenue from its other businesses also dropped due to weak trading. Merger advisory revenue fell more than 50% to $263 million and equity and debt underwriting revenue fell 34% to $621 million.
Shares of Morgan Stanley are trading down 5.37% right now at $13.24 on heavy volume. More than 33 million shares have been traded so far today, about 6 million more than it usually trades.