Goldman Sachs stated its first quarter earnings fell from a year earlier, hurt by a slowdown in trading.
The investment bank got a profit of $2.25 billion, or $5.71 per share, down from a gain of $2.83 billion, or $6.95 a share, in the same period a year earlier. The results did beat analysts’ expectations, nevertheless. The average estimate of six analysts surveyed by Zacks Investment Research was for earnings of $4.74 per share.
Goldman’s profits were hurt by their own trading desks. Goldman’s trading desks have fought under trading together, After a place of record profitability for your lender.
David Solomon,” Goldman’s chairman and chief executive officer, explained the quarter as a”muted beginning to this year,” in a written statement.
Parts of Goldman’s businesses struggled as well. The bank reported a decline in revenues in its own investment management companies, and a 14% decline in revenues in its investment and business.
Goldman has undertaken considerable efforts in recent years to diversify the business into new forms of financial and banking services. The bank has a growing consumer franchise which provides high-interest online savings account and CDs as well as debt consolidation private loans. Goldman recently jumped to the credit card company, becoming the issuing bank for Apple’s new credit card.
The bank still doesn’t split its own customer bank , or Marcus out, as a line item. No matter how the lender did see a significant leap in interest income in the quarter, reporting net interest income of $1.22 billion, up 33% from a year before.
Goldman’s return on equity fairness, a measurement which describes how well a bank is doing with inherent assets, has been 11.7 percent. Banks such as Goldman and its rival Morgan Stanley goal for a return on equity.
Firm-wide Goldman said it had net revenues of $8.81 billion, down 13% from last year, under analysts’ estimates, based on Zachs.