Goldman Sachs posts weak Q4 due to drag from investment banking

Goldman Sachs posted weaker-than-expected profits and revenues for the last three months of 2022, due to the drag from investment banking as well as from its asset and wealth management arm.

The lender posted net income of $1.33bn for the fourth quarter of 2022 for a 69% drop in earnings per share versus a year ago to reach $3.32 (consensus: $5.56).

Total net revenues meanwhile fell by 16% to roughly $10.59bn, against the $10.76bn anticipated by analysts polled by FactSet.

Within Global Banking and Markets, investment banking fees nearly halved over the same period to $1.87bn, offset only in part by a 44% surge in those from Fixed Income, Commodities and Currencies to $2.69bn.

Revenues from equities intermediation and financing slipped 5% to $2.07bn.

Asset and Wealth Management revenues fell 27% to $3.56bn, but those from the Platform Solutions unit surged 171% to $513m.

As of 1518 GMT, shares of Goldman Sachs were down by 4.77% to $356.27.