Wall Street investment bank Goldman Sachs (GS) has posted third-quarter financial results that cruised past analysts’ consensus forecasts.
Goldman Sachs reported earnings per share (EPS) of $17.01 U.S., which topped the $13.02 U.S. per share that had been expected on Wall Street.
Revenue of $18.68 billion U.S. beat the $16.71 billion U.S. that was expected among analysts who track the investment bank’s progress.
Profits in the latest quarter were up 29% from a year earlier, while sales increased 23% year-over-year during the summer quarter.
Management attributed the strong results to a continued boom in dealmaking and stock trading on Wall Street.
Goldman Sachs said revenue across its stock and bond trading divisions totaled $9.90 billion U.S., driven by a 96% increase in revenue from its equity financing business.
That total exceeded the $8.80 billion U.S. that analysts had expected, though it was down from the record $12 billion U.S. that the bank earned in the previous second quarter.
Investment banking fees rose 21% over the same period to $3.22 billion U.S., driven by a rise in revenue from mergers and acquisition (M&A) advisory services and underwriting.
Goldman Sachs’ advisory revenue reached a record $1.65 billion U.S. in Q3 of this year.
The investment bank has been a lead advisor and underwriter on some of the biggest deals on Wall Street this year, including SpaceX’s (SPCX) record initial public offering (IPO).
Prior to the latest financial results, GS stock had declined 2% this year to trade at $893.95 U.S. per share.
