Stock Market News
Goldman Sachs posts first quarterly loss since 2011
US-banking giant Goldman Sachs beat Wall Street estimates with the release of its fourth-quarter profits on Wednesday, but sweeping tax code changes signed into law by the President in December dragged the group to its first quarterly loss in six years.
A strong performance from Goldman Sach's investment banking helped soften the blow from lower levels of trading elsewhere, but a one-time charge of $4.40bn from the Republican tax package pushed the Manhattan-based lender into the red to the tune of $2.14bn, compared to a net profit of $2.15bn it had seen at the same time twelve months earlier.
However, taking away the tax charge, Goldman Sachs ended the quarter with earnings per share of $5.68, topping analysts' estimates of $4.91, as revenue from investment banking, including fees charged for underwriting, IPOs and merger and acquisitions advisory, leapt 44.1% throughout the quarter to $2.14bn.
The bank's bonds, currencies and securities trading wing earned a total of $1bn over the quarter, a 50% year-on-year decrease.
Revenue fell 4.1% over the quarter to $7.83bn, which still trumped expectations of $7.61bn on the Street, as Goldman Sachs shifted its energy away from its bond and equity trading divisions to less market-sensitive units like investment management and consumer lending.
As of 1340 GMT, shares had fallen 1.45% in pre-market trading to $258.46 each.
A strong performance from Goldman Sach's investment banking helped soften the blow from lower levels of trading elsewhere, but a one-time charge of $4.40bn from the Republican tax package pushed the Manhattan-based lender into the red to the tune of $2.14bn, compared to a net profit of $2.15bn it had seen at the same time twelve months earlier.
However, taking away the tax charge, Goldman Sachs ended the quarter with earnings per share of $5.68, topping analysts' estimates of $4.91, as revenue from investment banking, including fees charged for underwriting, IPOs and merger and acquisitions advisory, leapt 44.1% throughout the quarter to $2.14bn.
The bank's bonds, currencies and securities trading wing earned a total of $1bn over the quarter, a 50% year-on-year decrease.
Revenue fell 4.1% over the quarter to $7.83bn, which still trumped expectations of $7.61bn on the Street, as Goldman Sachs shifted its energy away from its bond and equity trading divisions to less market-sensitive units like investment management and consumer lending.
As of 1340 GMT, shares had fallen 1.45% in pre-market trading to $258.46 each.
Related share prices |
---|
Stock News headlines are gathered from financial news sources around the web. Views and opinions on each item are from their respective authors and website. They are not opinions of LiveCharts.co.uk
Get a free widget for your website with our latest headlines.
You can now add our live prices and new headlines to your website.The news widget features quotes for Oil prices, spot Gold price and Indices plus a choice of news channel for healines.
Top Shares pages
- Share price quotes
- Share charts
- Share watch list
- Company Results Calendar
- Top Large UK Shares
- UK Market Sectors
- Stock market news
- Company news
- Share tips
- A-Z company search
More share features
POPULAR Share Prices
- Royal Mail share price
- Lloyds share price
- HSBC share price
- Barclays share price
- Prudential share price
- Santander share price
- NEXT share price
- Diageo share price
- BP share price
- Vodafone share price
- British Airways
- Centrica share price
- Tesco share price
- Taylor Wimpey Share Price
- National Grid
- GKP Share Price
- Marks and Spencer
- Rolls Royce
- Rio Tinto
- THG Share Price
- Aviva Share Price
- Boil Share price
- Easyjet Share Price
- Genedrive Share Price
- SSE Share Price
- IAG Share Price
- Boohoo share price
- HE1 share price
- AVCT share price
- BOOM share price