Financial Results
Goldman Sachs Sees Quarterly Profits, Net Revenues Rise
Goldman Sachs has reported net revenues of $9.13 billion for the second quarter ending 30 June, up 6 per cent from the same period a year ago.
Goldman Sachs
reported net revenues of $9.13 billion for the second quarter
ending 30 June, up 6 per cent from the same period a year
ago.
The firm said in a statement that net earnings for the quarter
were $2.04 billion, a rise of 5 per cent year-on-year.
Diluted earnings per common share were $4.10 compared with $3.70
for the second quarter of 2013 and $4.02 for the first quarter of
2014.
“We are pleased with our results for the quarter in the context
of mixed operating conditions during the period,” said Lloyd
Blankfein, chairman and chief executive.
“This performance was driven by the diversity, strength and
breadth of our global client franchise. Good client activity in
investment banking and investment management as well as a better
environment for our Investing & Lending activities helped offset
less favourable conditions for institutional client services,”
Blankfein added.
Investment management
Investment management net revenues were $1.44 billion for the
second quarter of 2014, 8 per cent higher than the second quarter
last year and 8 per cent lower than the first quarter of
2014.
“The increase in net revenues compared with the second quarter of
2013 was due to higher management and other fees, reflecting
higher average assets under supervision,” the firm said.
During the quarter, total assets under supervision increased $59
billion to $1.14 trillion, while long-term assets under
supervision increased $44 billion, including net inflows of $21
billion in fixed income assets.
Net market appreciation of $23 billion during the quarter was
primarily in equity and fixed income assets. In addition,
liquidity products increased $15 billion.
Investment banking net revenue rose 15 per cent to $1.78 billion,
while revenue in Institutional client services fell 11 per cent
to $3.83 billion. Net revenues in fixed income, currency and
commodities client execution were $2.22 billion, 10 per cent
lower than the second quarter of 2013.
The firm’s common equity Tier 1 ratio was 11.4 per cent as of 30
June, while global core excess liquidity was $170 billion.
