- Goldman Sachs Group (NYSE:GS) moves up 1.4% in premarket trading after Q3 EPS of $6.28 blows past consensus estimate of $5.38; the most recent quarter compares with $5.98 in Q2 and $5.02 in the year-ago quarter.
- Q3 annualized return on average common shareholders' equity of 13.1%
- "We delivered solid results in the third quarter driven by contributions from across our diversified client franchise," says CEO David M. Solomon.
- Investment banking Q3 net revenue of $1.98B, 3% lower than Q2 and 10% higher than Q3 2017, with financial advisory net revenue $916M--essentially unchanged from a year ago, and underwriting net revenue up 20% Y/Y.
- Institutional client services Q3 net revenue of $3.10B, down 13% from Q2 and unchanged from Q3 2017, with net revenue in fixed income, currency and commodities down 10% Y/Y and net revenue in equities up 8%.
- Investing & lending net revenue of $1.86B fell 4% from Q2 and unchanged Y/Y, with net revenue in equity securities down 20% Y/Y and net revenue in debt securities up 52% Y/Y.
- Investment Management Q3 revenue of $1.70B was 8% lower than Q2 and 12% higher than Q3 2017; the Y/Y increase was due to higher management and other fees, reflecting higher average assets under supervision and the impact of a recently adopted revenue recognition standard.
- Book value per common share of $197.33.
- Previously: Goldman Sachs beats by $0.90, beats on revenue (Oct. 16)
- Now read: Economic Data, Earnings Give U.S. Futures A Bump (Wall Street Breakfast Podcast)
Original article