Deutsche Bank reported Thursday a 10-percent jump in first-quarter profits on booming business at its investment banking division, offsetting declines elsewhere as the boost from higher interest rates fades.

Net profit attributable to shareholders at Germany's biggest bank came in at 1.28 billion euros ($1.37 billion), up from 1.16 billion a year earlier.

Sales rose one percent to 7.78 billion euros, better than analysts from FactSet had predicted.

Revenues at the group's investment banking jumped 13 percent, propelled by an increase in deal-making.

In contrast, sales at the retail banking division declined slightly year on year, as the effect of the European Central Bank's rate hikes fades

Banks globally had profited from rising borrowing costs but most central banks are now holding rates steady, and moving towards making cuts, as inflation eases.

"We again generated solid revenue momentum in an environment of normalising interest rates, thanks to a well-balanced business model," said Deutsche Bank CEO Christian Sewing.

He said the bank was "firmly committed to continued delivery on our path towards our 2025 goals".

Deutsche Bank's shares were down 0.4 percent in Frankfurt after the results were released.

Despite the rising profits, the bank has to contend with continued weakness in its home market -- the German economy shrank last year -- as factors such as ongoing problems in the property sector.

Deutsche Bank has undergone major restructuring in recent years, seeking to rely more on retail and corporate banking, after an aggressive shift in the early 2000s into investment banking saw it embroiled in multiple scandals.

The strategy has been largely paid off, with the bank reaping greater profits.

But investors can still be jittery about the bank -- its shares were hammered last year after the collapse of some US regional lenders and the enforced takeover of Credit Suisse by rival UBS.