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Deutsche Bank Reports Net Profit Tripled in Fourth Quarter

Germany's Deutsche Bank's profit tripled in the fourth quarter over the same period the previous year, part of a sharp rise in full-year profits, the Frankfurt-based bank said Thursday.

The bank, the country's biggest, reported fourth quarter net profit of 1.8 billion euros ($2.33 billion) compared to 487 million euros in the same quarter last year.

Full-year income before taxes came in at 8.1 billion euros ($10.49 billion), up 33% compared to 6.1 billion euros in 2005, while net income was 6 billion euros ($7.77 billion), up 70% over 3.5 billion euros the previous year.

"These are our best-ever fourth quarter results and they complete an exceptional year for Deutsche Bank," CEO Josef Ackermann said in a statement.

"We have excellent prospects for continued success in 2007."

Strong market conditions resulted in a recovery in investment banking revenue and in strong growth in trading income, which jumped 46.9% to 2.02 billion euros ($2.62 billion) from 1.38 billion euros ($1.79 billion) in the year earlier.

The bank also benefited from a 350 million euros ($453.39 million) exceptional gain, announced in December, as a result of Germany's revised corporate income tax code.

Deutsche Bank said late Wednesday that it would propose a 60% increase in its dividend to 4 euros ($5.18) a share for 2006, up from 2.5 euros ($3.24) paid per share in 2005.

Deutsche Bank shares started the day's trading at 108.44 euros ($140.47).