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Goldman Sachs beats on strength in bond trading, investment banking

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Reuters
Last Updated : Jul 17 2018 | 5:35 PM IST

(Reuters) - Goldman Sachs Group Inc reported a better-than-expected quarterly profit on Tuesday, driven by growth in bond trading and investment banking.

The fifth-largest U.S. bank by assets said net earnings applicable to shareholders rose to $2.35 billion, or $5.98 per share, in the second quarter ended June 30, from $1.63 billion, or $3.95 per share, a year earlier.

Analysts on average had forecast earnings per share of $4.66, according to Thomson Reuters I/B/E/S data.

Revenue from trading, its biggest business, rose 17 percent to $3.57 billion, as strength in commodities and interest rate products boosted fixed income trading revenue by 45 percent.

Equities trading revenue, however, was unchanged from last year, in contrast with other big banks such as JPMorgan Chase & Co and Citigroup, which have reported increases.

Total revenue rose 18.3 percent to $8.40 billion, with investment banking revenue rising 18 percent.

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(Reporting By Aparajita Saxena in Bengaluru; Editing by Saumyadeb Chakrabarty)

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First Published: Jul 17 2018 | 5:29 PM IST

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