Goldman Sachs (GS) Beats Lowered Q1 Expectations, Says Positioned Well for Economic Bounce
Revenue at Goldman Sachs fell 16 percent from $11.89 billion reported in the same period last year to $9.95 billion. Despite the drop in revs, net earnings improved 128 percent to $2.074 billion, or $3.92 per share.
The Street was looking for revs of $9.45 billion and EPS of $3.55.
Showing the least drop in sales was Investment Management, with an 8 percent decline to $1.18 billion. Sales at Goldman's Investing and Lending segment dipped 29 percent to $1.91 billion.
Operating expenses fell 14 percent to $6.77 billion.
"Stronger global markets, together with the firm’s deep and broad client franchise, drove improved results across most of our businesses," commented CEO Lloyd Blankfein. "Because client activity remains relatively low in certain areas, especially in parts of Investment Banking, we believe that our mix of businesses gives the firm significant room for revenue growth as economic and market conditions continue to improve."
Goldman also boosted its quarterly payout by 31.4 percent to 46 cents per share, for an annual yield of 1.6 percent.
The stock is down about 0.3 percent at last check.