Goldman Sachs Q3 Profit: What Are the Key Numbers?
Goldman Sachs reported third-quarter profit of US$5.1 billion (RM20.84 billion) for the July-September period. That topped analyst estimates, even as activity moderated from the booming second quarter.
- Net profit: US$5.1 billion, up 33% year on year and down 20% from the second quarter
- Revenue: US$18.7 billion, up 23% year on year
- Equities trading net revenue: up 72% from a year earlier
- Fixed income, currencies and commodities: revenues “essentially unchanged”
- Shares: up 2.9% in pre-market trading
Why Did Goldman Sachs Equities Trading Jump 72%?
Equities was the standout line in the quarter. Net revenue rose 72% from a year earlier, while fixed income and commodities showed little change.
Investment banking fees also climbed, citing increases in completed mergers and an elevated level of initial public and secondary equity offerings. Like JPMorgan Chase, which reported earlier the same day, Goldman saw muted activity in parts of its markets business.
Is the Goldman Sachs Deal Backlog Shrinking?
Goldman said its investment banking fees backlog decreased compared with the end of the second quarter. That is the number to track, because it shows the pipeline of pending fee income cooled even as completed deals lifted the quarter.
What Can Bursa Investors Learn from Goldman Sachs Q3 Results?
Goldman Sachs is a New York financial firm, not a Bursa Malaysia counter, so this is a read-across rather than a local result. The clearest lesson is that IPO and secondary equity offerings drove fee income in the quarter.
CEO David Solomon praised the results “in light of the backdrop of a complicated operating environment.” He added: “we remain very well positioned to continue to deliver for our clients.”
Bursa-listed investment banks and brokers with exposure to IPO activity are worth monitoring against this backdrop. Our IPO Investing with M+ Global guide explains how Malaysian listings work.
Key Takeaways
- Goldman Sachs Q3 profit: US$5.1 billion (RM20.84 billion), up 33% year on year
- Revenue rose 23% to US$18.7 billion, with equities trading up 72%
- Investment banking fees rose on completed mergers and equity offerings
- The fee backlog fell from the end of the second quarter
- Shares rose 2.9% in pre-market trading
Disclaimer: This article is for information only and is not investment advice. Do your own research and read the company’s official filings before making any investment decision.
Frequently Asked Questions
What was Goldman Sachs Q3 profit?
Goldman Sachs reported third-quarter profit of US$5.1 billion, equal to RM20.84 billion. That was up 33% from a year earlier but down 20% from the second quarter.
How much did Goldman Sachs equities trading revenue rise?
Net revenue in equities trading rose 72% from the year-ago level. Fixed income, currencies and commodities revenues were described as essentially unchanged.
Is Goldman Sachs listed on Bursa Malaysia?
No. Goldman Sachs is a New York financial firm, and this report does not cover a Bursa Malaysia listing. Malaysian investors can use its results as a read-across for investment banking activity.
Did Goldman Sachs revenue grow in the third quarter?
Yes. Revenue rose 23% to US$18.7 billion in the July-September period. The firm attributed higher investment banking fees to completed mergers and elevated equity offerings.
Source: View Original Article — The content is based on the original publisher. Refer to the original content for accurate info. Contact us for any changes.
Research Note: Analysis referenced in this article is based on research published by Goldman Sachs. This blog summarises publicly available information for educational purposes only.
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Disclaimer: This article is for informational purposes only and does not constitute financial advice. Always do your own research before making investment decisions.
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