The Goldman Sachs Group, Inc. reported quarterly earnings of $10.81 per share which missed the analyst consensus estimate of $11.73 by 7.84 percent. This is a 10.51 percent decrease over earnings of $12.08 per share from the same period last year. The company reported quarterly sales of $12.64 billion which beat the analyst consensus estimate of $12.01 billion by 5.25 percent. This is a 7.66 percent increase over sales of $11.74 billion the same period last year.
Goldman Sachs shares slid over 2% premarket after the announcement of the fourth-quarter financial report.
Diluted earnings per common share (EPS) was $59.45 for the year ended December 31, 2021 compared with $24.74 for the year ended December 31, 2020, and was $10.81 for the fourth quarter of 2021 compared with $12.08 for the fourth quarter of 2020 and $14.93 for the third quarter of 2021. For the year ended December 31, 2020, net provisions for litigation and regulatory proceedings reduced diluted EPS by $9.51.
During the year, the firm generated record net revenues of $59.34 billion, record net earnings of $21.64 billion and record diluted EPS of $59.45, each significantly surpassing the previous record. In addition, ROE1 of 23.0% was the highest since 2007.
Investment Banking generated record net revenues of $14.88 billion, driven by record net revenues in each of Financial advisory, Equity underwriting and Debt underwriting.
The firm ranked #1 in worldwide announced and completed mergers and acquisitions, and in worldwide equity and equity-related offerings, common stock offerings and initial public offerings for the year.
Global Markets generated net revenues of $22.08 billion, the highest annual net revenues in 12 years, reflecting strength in both Equities and Fixed Income, Currency and Commodities (FICC). Equities produced its second highest net revenues and FICC had record financing net revenues.
Asset Management generated record net revenues of $14.92 billion, including record net revenues in Equity investments and the second highest net revenues in Lending and debt investments.
Consumer & Wealth Management generated record net revenues of $7.47 billion, reflecting record net revenues in both Wealth management and Consumer banking.
Firmwide assets under supervision3,4 increased $325 billion during the year, including record long-term net inflows of $130 billion, to a record $2.47 trillion. Firmwide Management and other fees were a record $7.57 billion in 2021.
Book value per common share increased by 20.4% during the year to $284.39.