7/16/2019, 1:27 PM (Source: TeleTrader)
more TeleTrader news

Goldman's earnings fall 2.8% to $5.81 per share

The financial giant led by chairman and chief executive David Solomon reported a decline in revenue of 1.8% to $9.46 for the second quarter. The report published on Tuesday by Goldman Sachs Group Inc. reveals net income tumbled 5.6% on an annual basis to $2.42 billion or 2.8% to a diluted $5.81 per common share. The results surprised to the upside and the stock rallied 0.5% in premarket.

"We continue to invest in new businesses and growth to serve a broader array of clients. Given the strength of our client franchise, we are well positioned to benefit from a growing global economy," the CEO said. The lender said the fall in top line was the result of a worsening in investment management and investment banking. The latter brought $1.86 billion in total or 9.3% less than one year before but still above forecasts. Goldman added assets under supervision jumped $61 billion in the reporting quarter alone to hit a record $1.66 trillion.

The board lifted the quarterly dividend to $1.25 from $0.85 per share. Operating expenses came in marginally lower on an annual scale, at $6.12 billion. The decline in net provisions for litigation and regulatory proceedings and slightly weakened compensation and benefits expenses contrasted the rise in costs for technology and consolidated investments.

Breaking the News / IT