On March 16, investment bank Bear Stearns (NYSE:BSC) released fourth-quarter earnings for the period ended Feb. 28, 2006.

  • The SEC announced that it has accepted a $250 million settlement related to improper mutual-fund trading practices.
  • The company ended the quarter as the No. 1 underwriter of mortgage-backed securities.
  • Assets under management increased 14%.

(Figures in millions, except per-share data)

Income Statement Highlights

Avg. Est.

Q1 2006

Q1 2005

% Change

Sales

$2,050

$2,185

$1,838

18.9

Net Profit

--

$514

$379

35.7

EPS

$2.95

$3.54

$2.64

34.1



Get back to basics with a look at the income statement.

Segment Results

Q1 2006

Q1 2005

% Change

Capital Markets

$1,674

$1,396

19.9

Global Clearing

$264

$270

(2.4)

Wealth Mgmt.

$223

$169

32



Financial Ratios

Q1 2006

Q1 2005

% Change

Annualized ROAE

20.1%

17.8%

2.3

Pre-tax profit margin

34.4%

31.5%

2.9

Compensation / revenue

47.9%

49.3%

(1.4)

Book value / share

75.46

62.88

20



Related Companies:

  • Goldman Sachs (NYSE:GS)
  • Lehman Brothers (NYSE:LEH)
  • Merrill Lynch (NYSE:MER)
  • Morgan Stanley (NYSE:MS)

Fool by Numbers is designed to give you the raw earnings information in a timely fashion, putting all the numbers you need in one easy-to-read place. But at The Motley Fool, we believe numbers tell only part of the story, so check Fool.com for more of our in-depth discussion of what the numbers mean.

Fool contributor Stephen Simpson has no financial interest in any stocks mentioned (that means he's neither long nor short the shares).