Goldman Sachs posted a strong increase in third-quarter profit, buoyed by volatile market conditions that supercharged its trading desks and boosted equities revenue, even amidst a wider slowdown in M&A dealmaking.
Key Financial Highlights
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Net Profit: Rose to $5.29 billion ($17.01 per share) for the quarter ended September 30, up from $4.10 billion ($12.25 per share) a year earlier.
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Total Revenue: Increased by 23% to $18.68 billion.
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Equities Revenue: Surged 72% year-over-year to $6.44 billion, driven by heavy portfolio reshuffling by investors amid market volatility (fueled by Federal Reserve rate decisions, rising fuel costs, and tech stock selloffs).
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FICC (Fixed Income, Currency, and Commodities): Revenue came in at $3.47 billion, down 1% from a year earlier.
Investment Banking & Asset Management
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Investment Banking Fees: Grew 21% year-over-year to $3.22 billion, defying a broader market slowdown where overall M&A activity dropped 41% sequentially below $1 trillion. Growth was supported by strong equity and debt underwriting.
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Notable Advisory Deals: Goldman acted as joint lead bookrunner for Intel’s $23 billion equity offering, global coordinator for SK Hynix’s $26.5 billion U.S. offering, and advised Nvidia on its $3.5 billion investment in MediaTek.
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Asset & Wealth Management: Division revenue jumped 14%, supported by stable performance and strong momentum in its private credit segment, helping the bank reduce its reliance on traditional volatile trading units.
