Lehman Earnings Bolstered by Mortgages

$875 million 1st quarter income
By MortgageDaily.com staff
3/17/2005

Mortgage activity contributed to records in capital market revenue as well as net income for Lehman Brothers Holdings Inc.

The New York-based company announced that its capital markets division achieved milestone revenue of $2.7 billion in its fiscal first quarter ending Feb. 28 -- an annual boost of 21% -- due to record results in fixed income capital markets and strong results in equities capital markets.

The accomplishment in fixed income capital markets particularly reflected strong demand of mortgages and interest rate products, Lehman said.

The former parent of reverse mortgage lender Financial Freedom reported net income of $875 million for the quarter, soared 50% above the previous quarter.

"We have never been stronger than we are today and are very well-positioned for the future," said Lehman chief executive Richard Fuld Jr. in the announcement.

Special Programs