Goldman Sachs tops first-quarter estimates fueled by trading, investment banking

Goldman Sachs on Monday posted first-quarter profit and revenue that topped analysts’ expectations, fueled by a surge in trading and investment banking revenue.

Here’s what the company reported:

• Earnings: $11.58 per share, vs. $8.56 expected, according to LSEG
• Revenue: $14.21 billion, vs. $12.92 billion expected

The bank said profit jumped 28% to $4.13 billion, or $11.58 per share, from the year earlier period, thanks to a rebound in capital markets activities. Revenue rose 16% to $14.21 billion, topping analysts’ estimates by more than $1 billion.

Goldman shares climbed about 3% Monday.

Fixed income trading revenue rose 10% to $4.32 billion, topping the StreetAccount estimate by $680 million, thanks to a jump in mortgage, foreign exchange, and credit trading and financing. Equities trading climbed 10% to $3.31 billion, about $300 million more than expected, on derivatives activity.

Investment banking fees surged 32% to $2.08 billion, topping the estimate by roughly $300 million, driven by higher debt and equity underwriting.

Source: CNBC