Goldman Sachs profit jumps 45% on investment banking strength
Oct 15 (Reuters) -Goldman Sachs' GS.N profit jumped 45% in the third quarter as the investment bank benefited from a rebound in dealmaking.
It joined JPMorgan Chase JPM.N, which also gained from an investment banking revival, as corporate clients became more confident in the economic outlook, spurring debt and equity offerings.
"Our performance demonstrates the strength of our world-class franchise in an improving operating environment," CEO David Solomon said in a statement.
Investment banking fees rose 20% to $1.87 billion. Leveraged finance, which refers to loans made to risky ventures like funding buyouts, and investment-grade activity powered a jump in debt underwriting.
Equity underwriting also fetched higher revenue, thanks to a slew of secondary share sales. Revenue from fixed income, currency and commodities (FICC) trading fell 12%, while equities trading jumped 18%.
The bank, however, booked $397 million in provisions for credit losses compared with $7 million a year ago, driven by higher charge-offs in its credit card portfolio.
Goldman continues to take a hit from its ill-fated consumer business two years after stepping back from it. The company has since shifted its focus back on traditional mainstays of investment banking and trading.
Total profit was $2.99 billion, or $8.40 per share, for the three months ended Sept. 30, compared with $2.06 billion, or $5.47 per share, a year ago.
Goldman also benefited from easier comparisons with the year earlier, when it took sizeable writedowns on the consumer business and real estate investments.
The bank is exiting its credit card venture with automaker General Motors GM.N, which has signed a deal with Barclays BARC.L.
JPMorgan is in talks to replace Goldman as tech behemoth Apple's AAPL.O credit-card partner.
Reporting by Niket Nishant in Bengaluru and Saeed Azhar in New York; Editing by Lananh Nguyen and Arun Koyyur
免责声明: XM Group仅提供在线交易平台的执行服务和访问权限，并允许个人查看和/或使用网站或网站所提供的内容，但无意进行任何更改或扩展，也不会更改或扩展其服务和访问权限。所有访问和使用权限，将受下列条款与条例约束：(i) 条款与条例；(ii) 风险提示；以及(iii) 完整免责声明。请注意，网站所提供的所有讯息，仅限一般资讯用途。此外，XM所有在线交易平台的内容并不构成，也不能被用于任何未经授权的金融市场交易邀约和/或邀请。金融市场交易对于您的投资资本含有重大风险。
所有在线交易平台所发布的资料，仅适用于教育/资讯类用途，不包含也不应被视为用于金融、投资税或交易相关咨询和建议，或是交易价格纪录，或是任何金融商品或非应邀途径的金融相关优惠的交易邀约或邀请。
本网站上由XM和第三方供应商所提供的所有内容，包括意见、新闻、研究、分析、价格、其他资讯和第三方网站链接，皆保持不变，并作为一般市场评论所提供，而非投资性建议。所有在线交易平台所发布的资料，仅适用于教育/资讯类用途，不包含也不应被视为适用于金融、投资税或交易相关咨询和建议，或是交易价格纪录，或是任何金融商品或非应邀途径的金融相关优惠的交易邀约或邀请。请确保您已阅读并完全理解，XM非独立投资研究提示和风险提示相关资讯，更多详情请点击 这里。
