Net Earnings Rise At Goldman Sachs In Q1

Tom Burroughes Group Editor 18 April 2017

Net Earnings Rise At Goldman Sachs In Q1

Goldman Sachs reported a rise in net earnings for the first three months of the year.

Goldman Sachs today reported net earnings attributable to common shareholders of $2.162 billion in the first three months of 2017, surging 80 per cent from a year earlier. 

Net revenues, including net interest income, rose to $8.026 billion in the latest quarter, a rise of 27 per cent a year before. In the investment management segment, revenues were $1.397 billion, rising 11 per cent, the Wall Street-listed firm, which provides wealth management to ultra-high net worth individuals, said. Pre-tax net earnings at Goldmans were $2.539 billion in the quarter, a rise of 61 per cent year-on-year.

Within its investment management arm, Goldmans said net revenues were $1.50 billion for the first quarter of 2017, 12 per cent higher on a year earlier but 7 per cent below Q4, 2016. The year-on-year gain was mainly driven by higher incentive and management fees.

During the quarter, total assets under supervision decreased $6 billion to $1.37 trillion. Long-term assets under supervision increased $29 billion, including net market appreciation of $24 billion, primarily in equity and fixed income assets, and net inflows of $5 billion, reflecting inflows in fixed income assets.

Commenting on its investment and lending activities, Goldmans said the rise in net revenues compared with a “weak first quarter of 2016” was primarily due to a “significant increase” in net gains from investments in both private and public equities, which were positively impacted by corporate performance and an increase in global equity prices. 

Register for WealthBriefing today

Gain access to regular and exclusive research on the global wealth management sector along with the opportunity to attend industry events such as exclusive invites to Breakfast Briefings and Summits in the major wealth management centres and industry leading awards programmes