Goldman Sachs misses Q4 earnings as investment banking revenue sinks

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Goldman Sachs misses 4th-quarter earnings forecasts as investment banking, asset management revenue sink

Goldman Sachs reported fourth-quarter earnings Tuesday that fell short on analysts' estimates, with the Wall Street giant seeing declines in investment banking and asset management revenue.

Asset management revenue tumbled 27% to $3.56 billion, and investment banking fees sank 48% to $1.87 billion. Equity trading revenue rose 5% to $2.07 billion, while fixed income trading jumped 44% to $2.69 billion. Consumer platform revenue shot up 171% to $513 million led by higher credit card balances.

"Against a challenging economic backdrop, we delivered double-digit returns for our shareholders in 2022. Our clear, near term focus is realizing the benefits of our strategic realignment which will strengthen our core businesses, scale our growth platforms and improve efficiency," said CEO David Solomon.Here are some key numbers:$3.32 versus the average forecast of $5.48

Across Wall Street, the business of underwriting stocks and bonds, as well as advising on deals, has dried up, which has dragged investment banking revenues down.

 

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