Goldman Sachs, one of the world’s leading investment banks, has reported better-than-expected results for the April–June quarter, thanks to a strong performance in its trading business amid ongoing trade tariffs-related uncertainty.Goldman Sachs net profit surged 22% to $3.72 billion, compared to the same period last year, while its total revenue gained 15% YoY to $14.58 billion. The bank earned $10.91 per share, compared to analyst expectations of $9.53, and reported revenue of $14.58 billion.
Most of the growth came from its trading division. The bank made $4.3 billion from equities trading, a 36% jump compared to last year and $650 million more than analysts had predicted.
Fixed income trading (which includes bonds, currencies, and credit) also grew by 9% to $3.47 billion, beating expectations by $190 million. Analysts say recent market volatility, partly driven by US presidential candidate Donald Trump’s proposed tariffs, helped boost trading activity.Goldman’s investment banking division also performed well, with revenue rising 26% to $2.19 billion due to more advisory deals being closed.
The asset and wealth management division brought in $3.78 billion—3% lower than last year and below expectations—due to weaker performance in private equity and debt investments.The bank’s platform solutions division, which handles newer technology-driven financial services, posted a modest 2% rise in revenue to $685 million.”The dealmaking environment has been remarkably resilient,” Yahoo Finance quoted Goldman CEO David Solomon as telling analysts, and “we are optimistic on the overall investment banking outlook.”Two Goldman rivals, JPMorgan Chase and Citigroup, also posted higher dealmaking and trading revenue on Tuesday.At 11.02 IST, Goldman Sachs share price quoted at $703.45, up 0.21% on the NYSE, after opening near the day’s high price. The scrip has surged over 22% so far this year.With inputs from Reuters
