Goldman said Tuesday that it reported a net profit of nearly $5.5 billion, or $15.02 a share, in the second quarter. That was up sharply from earnings of $373 million in the same quarter a year ago and easily topped analysts’ forecasts.
The Wall Street giant’s strong results were led by solid gains in revenue for its investment banking business, which posted its second best quarter ever, and its asset management unit, which had a record quarter. Overall revenue rose 16% from a year ago to $15.4 billion.
Goldman Sachs has benefited from the stunning comeback in the stock market. Business is booming for the bank’s merger advisory services and Goldman Sachs is also generating big gains in revenue from initial public offerings and debt offerings as companies look to raise cash.
Solomon expressed cautious optimism about the comeback in the company’s earnings release though, saying that “while the economic recovery is underway, our clients and communities still face challenges in overcoming the pandemic.”