Morgan Stanley (MWD: chart) posted before market open Wednesday quarterly profits that tumbled 34% from a year ago, falling short of Wall Street estimates, hurt by a decrease in fixed-income and trading revenue. The New York-based investment bank announced net income of $837 million, or 76 cents a share, for the third quarter of fiscal 2004. This compares to net income of $1.27 billion, or $1.15 per share, for the 2003 equivalent. Excluding discontinued operations, earnings came in at $862 million, or 78 cents per share, for the quarter ended August 31, well short of the average analysts’ estimate of 95 cents per share. Net revenue in the quarter inched up 3% to $5.43 billion from $5.25 billion, a year ago. Fixed-income and trading net revenue plunged 19% from a year earlier to $1.2 billion. Morgan Stanley said quarterly profits were also negatively impacted by increased non-interest expenses, which rose 23% to $4.1 billion.

Lehman Brothers Holdings Inc. (LEH: chart) announced Tuesday that its quarterly earnings rose 5% from last year, aided by strength in bond-trading and investment banking growth. The New York-based financial services company reported a net profit of $487 million, or $1.71 a share, for its fiscal 2004 third quarter, up from a net profit of $469 million, or $1.81 a share, for the prior-year period. The per-share earnings slipped from a year ago, as the company had fewer shares outstanding in 2004. The average analysts’ forecast was for third-quarter earnings of $1.55 a share. Net revenues for the quarter ended August 31 climbed 12% to $2.62 billion from $2.35 billion, for the third quarter of fiscal 2004. Revenues from capital markets inched up 2%, with a 16% rise in fixed-income revenue, driven by growth in mortgage and asset-backed bonds businesses. Investment banking revenues advanced 16% in the quarter to $526 million.

Lehman shares rose 4.91% on Tuesday to $79.75. The stock dropped 5 cents to $79.70 in extended-hours trading.

The Goldman Sachs Group, Inc. (GS: chart) reported Tuesday a 30% increase in its quarterly profits, helped by improved results from nearly every business segment. The New York-based investment bank posted net income of $879 million, or $1.74 a share, for the fiscal 2004 third quarter, compared with net income of $677 million, or $1.32 a share, for the same period a year earlier. The earnings were well above Wall Street’s average forecast of $1.43 a share. For the quarter ended August 27, total revenue advanced 20% to $4.53 billion, while analysts had called for $4.15 billion. The company’s investment banking business recorded net revenue of $890 million in the quarter, a 30% jump from prior-year revenue of $687 million. Net revenue in principal investments climbed 15% to $2.7 billion, as revenue from fixed income, currencies and commodities more than doubled to $1.87 billion from $879 million, a year ago. Goldman Sachs said revenue from its equities business declined 17% in the third quarter to $910 million, hurt by weak summer trading activity.

Company shares gained $3.22 to $94.90 at market close Tuesday. The stock lost 5 cents to $94.85 in after-hours trading.

AutoZone, Inc. (AZO: chart) posted Tuesday higher quarterly profits, as sales improved slightly from a year ago. The Memphis, Tennessee-based U.S. No.1 auto parts retailer said that it earned $209.4 million, or $2.53 a share, in its fiscal fourth quarter, compared with earnings of $207.4 million, or $2.27 a share, for the 2003 corresponding quarter. The earnings were 2 cents a share below the mean analysts’ estimate. Sales in the quarter totaled $1.84 billion, up slightly from $1.83 billion a year earlier. Same-store sales dipped 3% in the quarter.

The stock edged up 9 cents to close Tuesday at $75.60. AutoZone shares slipped 1.46% to $74.50 in after-market trade.

Jabil Circuit, Inc. (JBL: chart) of St. Petersburg, Florida, said Tuesday that its fiscal fourth-quarter net income more than doubled to $44.3 million, or 22 cents per share, from year-ago net income of $20.1 million, or 10 cents per share. The contract electronics manufacturer had earnings, excluding items, of $54.7 million, or 27 cents per share, in the fourth quarter of 2004, beating by a penny a share Wall Street’s consensus forecast. Quarterly revenue advanced to $1.63 billion from $1.30 billion, last year. Jabil attributed the results to strong demand for electronic products.

Jabil shares gained 29 cents to $22.18 at market close Tuesday. The stock surged 6.63% to $23.65 in the extended session.

Syms Corp (SYM: chart) reported Tuesday a narrower quarterly loss despite weaker sales. The Secaucus, New Jersey-based apparel retailer announced a second-quarter net loss of $3.7 million, or 25 cents per share, in contrast to a net loss of $4.7 million, or 30 cents per share, for the year-ago equivalent. Sales in the quarter eased 1.4% to $61.3 million. Comparable-store sales were up 0.2% from last year.

The stock closed Tuesday at $10.74, up a penny, or 0.09%.

Christopher & Banks Corporation (CBK: chart) of Minneapolis, Minnesota, announced Tuesday that its second-quarter profits dropped 34% to $5.6 million, or 15 cents per share, from $8.5 million, or 22 cents per share, generated for the same period a year earlier. Results of the women's apparel retailer were in line with analysts’ projections. The company blamed the profit decline on a 6% decrease in same-store sales.

Company shares rose 3.60% on Tuesday to close at $19.27.

General Mills, Inc. (GIS: chart) posted Tuesday a 19% drop in its quarterly income, citing increased food ingredient costs and restructuring charges as main factors for the results. The Minneapolis, Minnesota-based cereal maker reported net earnings of $183 million, or 47 cents per share, for its first quarter, compared with net earnings of $227 million, or 59 cents per share, for the first quarter of fiscal 2004. Excluding items, profit came to 55 cents per share in the quarter, falling a nickel short of the average analysts’ forecast. Quarterly sales edged up 3% to $2.59 billion.

The stock dipped 2.12% to $45.35 at market close Tuesday.