Goldman Sachs beats by $1.86, beats on revs (377.75)
- Reports Q4 (Dec) earnings of $5.48 per share, excluding non-recurring items, $1.86 better than the FactSet Consensus of $3.62; revenues rose 6.9% year/year to $11.32 bln vs the $10.8 bln FactSet Consensus.
- Return on average common shareholders' equity (ROE) was 7.5% for 2023 and annualized ROE was 7.1% for the fourth quarter of 2023. Return on average tangible common shareholders' equity (ROTE)1 was 8.1% for 2023 and annualized ROTE was 7.6% for the fourth quarter of 2023.
- Global Banking & Markets generated net revenues of $30.00 billion, driven by strong performances in both Fixed Income, Currency and Commodities (FICC), which included the second highest net revenues in FICC financing, and Equities, which included record net revenues in Equities financing. Provision for credit losses was $577 million for the fourth quarter of 2023, compared with $972 million for the fourth quarter of 2022 and $7 million for the third quarter of 2023.
- Provisions for the fourth quarter of 2023 reflected net provisions related to both the credit card portfolio (primarily driven by net charge-offs and seasonal portfolio growth, partially offset by a reserve reduction of $160 million related to the transfer of the General Motors card portfolio to held for sale) and wholesale loans (driven by impairments).