Jefferies Profit Rises on Capital-Markets Strength, Deal Rebound

Jefferies Financial Group Inc.’s earnings rose in its fiscal first quarter on strength in capital markets and renewed activity in the investment-banking business.

Revenue jumped 35% to $1.74 billion in the three months through February on improved debt and equity underwriting, the New York-based firm said in a statement Wednesday, as concerns about inflation and interest rates started to stabilize. The company’s capital-markets business had its third-best quarter on record, helping lift profit, while investment-banking revenue increased 31% to $739.7 million in a sign of a possible return of dealmaking.