HomeFinance NewsFinanceGoldman Sachs Triumphs: Soaring Asset Management Rockets Revenue Past Forecasts

Goldman Sachs Triumphs: Soaring Asset Management Rockets Revenue Past Forecasts


Goldman Sachs tops revenue estimates on better-than-expected asset management results


Goldman Sachs’ financial results for the fourth quarter of 2023 overall surpassed analysts’ expectations.

Earnings per share came in at $5.48, while revenue reached $11.32 billion, exceeding estimates of $3.51 and $10.80 billion, respectively.

The primary driver of this success was the company’s asset and wealth management division, which experienced a 23% revenue increase to $4.39 billion.

However, the trading division saw mixed results, with equities trading revenue rising by 26% but fixed income revenue declining by 24%.

The article mentions that Goldman Sachs CEO David Solomon remains optimistic about a potential recovery in mergers and capital markets activity later in 2024.

The company also reduced its headcount by 7% in 2023, eliminating approximately 3,200 positions.

Goldman Sachs’ CEO David Solomon sees 2024 as a year of opportunity for the company, especially in the asset and wealth management division, which has benefited from the rise of alternative assets in recent times.

The ongoing weakness in investment banking and trading activities remains a concern, but Solomon expressed optimism about a possible rebound in the second half of the year.

  • Overall sentiment: neutral
  • Positive

    “Goldman Sachs on Tuesday posted fourth-quarter results that topped analysts’ expectations on better-than-expected asset and wealth management revenue.”

    “Goldman said earnings for the quarter jumped 51% to $2.01 billion, or $5.48 per share, from a year ago, when the bank was weighed down by loan loss provisions and surging expenses.”


    “The growth engine for the bank, according to Solomon, is now its asset and wealth management division, which is benefiting from the rise in private credit and other alternative assets.”

    “With everything we achieved in 2023 coupled with our clear and simplified strategy, we have a much stronger platform for 2024,” Solomon said in the earnings release.”

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