Goldman Sachs CEO David Solomon testified at a Senate Banking Committee hearing on December 6, 2023 in the Hart Senate Office building in Washington, DC.
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Goldman Sachs On Monday, it recorded its first quarter results that surpassed analyst expectations of stock trading revenues that were stronger than expected.
Here’s what the company reported:
Revenue: $14.12 per share and $12.35 LSEG estimate: $15.06 billion vs. forecast $148.1 billion
The bank said profits rose 15% from the previous year to $4.74 billion, or $14.12 per share, as revenues reached a more modest 6% to $150.6 billion. The bank said the quarterly rising trade revenue offset a slight decline in assets and wealth management revenue compared to a year ago.
Goldman’s Global Banking and Market Division increased its revenue to $10.71 billion as stock trading revenues rose 27% to $419 billion. That’s about $540 million more than the stock trades than the analysts surveyed by StreetAccount projected this quarter.
This performance helped to cover signs of weakness elsewhere. In Goldman’s bond division, revenues rose to just 2% from the previous year to $4.4 billion, missing an estimate of $4.56 billion. Investment bank fees fell 8% below $1.94 billion and below $1.94 billion, down 8% due to lower advisory revenues.
Goldman CEO David Solomon hinted at the confusion caused by the escalation of trade tensions in President Donald Trump’s remarks this month.
“We are confident in our ability to continue supporting our clients while enrolling in the second quarter in a significantly different operating environment than we did earlier this year,” Solomon said in the release.
Meanwhile, in the company’s assets and asset management division, revenues fell 3% from the previous year to $3.68 billion. Goldman said the decline came from “significantly low” revenues from investments such as private equity, public equity and debt.
Finally, the company’s Platform Solutions Division took between 3% and $676 million, with revenues below the estimated $677.5 million.
Friday, the rival jpmorgan chain and Morgan Stanley Each has surpassed its expectations for first quarter results on booming stock trading.
Stock trading revenues have skyrocketed at 48% and 45% in banks, thanks to volatility in the opening months of President Trump’s tenure in the wake of 48% and 45% respectively, in an effort to restructure the World Trade Agreement.
This story is developing. Please check for updates.
