Goldman earnings top estimates on gains from own investments
By Lauren Tara LaCapra and Tanya Agrawal
(Reuters) - Goldman Sachs Group Inc reported a stronger-than-expected 5.5 percent rise in quarterly profit as it earned more from underwriting fees and its own investments.
Net income applicable to common shareholders at the top Wall Street bank rose to $2.19 billion, or $4.29 per share, in the first quarter from $2.07 billion, or $3.92 per share, a year earlier.
Analysts on average had expected earnings before unusual items of $3.88 per share, according to Thomson Reuters I/B/E/S.
Chief Executive Lloyd Blankfein characterized the results as "generally solid".
"Still, the potential for macro-economic instability was felt in the quarter and constrained overall corporate and investor activity," Blankfein said in a statement.
Goldman Sachs' shares were up 0.8 percent at $147.65 before the bell on Tuesday.
Total revenue increased 1.4 percent to $10.09 billion from a year earlier, while revenue from trading in fixed income securities, currencies and commodities on behalf of clients dropped 7 percent to $3.22 billion.
Goldman's investment banking revenue increased 36 percent to $1.57 billion. Continued...