Goldman Sachs Report $4.74 Billion Net Earnings for Q1-2025

The Goldman Sachs Group on Monday reported net revenues of $15.06 billion, 6% higher than the first quarter of 2024 and 9% higher than the fourth quarter of 2024 and net earnings of $4.74 billion for the first quarter ended 31 March 2025.

The diluted earnings per common share (EPS) was $14.12 compared with $11.58 for the corresponding period last year and $11.95 for the last quarter of 2024.

The company said that annualised return on average common shareholders’ equity (ROE) was 16.9% and annualised return on average tangible common shareholders’ equity (ROTE) was 18.0% for the first quarter of 2025.

During the quarter, the firm supported clients and continued to execute on strategic priorities, which contributed to the firm’s third highest quarterly net revenues of $15.06 billion, as well as strong net earnings of $4.74 billion and diluted EPS of $14.12.

The global banking & markets generated net revenues of $10.71 billion, 10% higher than the first quarter of 2024 and 26% higher than the fourth quarter of 2024. This was driven by record net revenues in Equities (including record net revenues in financing) and strong performances in fixed income, currency and commodities (including record net revenues in financing) and debt underwriting.

The increase in net revenues for the first quarter this year compared with Q1-2024 reflected higher net revenues in Global Banking & Markets, partially offset by slightly lower net revenues in Asset & Wealth Management.

The investment banking fees were $1.91 billion, 8% lower than the first quarter of 2024, primarily due to significantly lower net revenues in advisory compared with a strong prior year period, partially offset by higher net revenues in debt underwriting, primarily driven by asset-backed and investment-grade activity.

Net revenues in Equity underwriting remained unchanged. The firm’s Investment banking fees backlog increased compared with the end of 2024. Likewise, net revenues in fixed income, currency and commodities (FICC) were $4.4 billion, 2% higher than the first quarter of 2024, reflecting higher net revenues in FICC financing, driven by significantly higher net revenues from mortgages and structured lending.

Net revenues in FICC intermediation were slightly lower, reflecting lower net revenues in credit products, interest rate products and commodities, largely offset by higher net revenues in currencies and slightly higher net revenues in mortgages.

Asset & Wealth Management

Net revenues in Asset & Wealth Management were $3.68 billion in Q1-2025, 3% lower than the corresponding period in 2024, and 22% lower than Q4 of last year. The decrease compared with the first quarter of 2024 reflected significantly lower net revenues in Equity investments and Debt investments, partially offset by higher Management and other fees. Net revenues in Private banking and lending and Incentive fees were also higher.

The decrease in equity investments net revenues reflected significantly lower net gains from investments in private equities and higher net losses from investments in public equities.

The decrease in debt investments net revenues reflected significantly lower net interest income due to a reduction in the debt investments balance sheet and net losses compared with net gains in the prior year period.

The increase in management and other fees primarily reflected the impact of higher average assets under supervision. The increase in private banking and lending net revenues primarily reflected higher net interest income from lending.

Chairman and CEO of Goldman Sachs David Solomon said that the strong results this quarter have demonstrated that in times of great uncertainty, clients turn to Goldman Sachs for execution and insight.

“While we are entering the second quarter with a markedly different operating environment than earlier this year, we remain confident in our ability to continue to support our clients,” he added.