Goldman Sachs reported fourth-quarter earnings that handily surpassed analysts’ expectations, buoyed by significant gains in equities trading and asset and wealth management that produced close to $900 million more in revenue than projected.
The New York-based bank posted earnings of $14.01 per share and revenue of $13.45 billion for the final quarter of 2025. While these figures deviate from LSEG’s $11.67 per-share and $13.79 billion revenue estimates, it remains unclear whether the consensus earnings per share included a previously disclosed 46-cent gain from the sale of Goldman’s Apple Card business.
Net income rose 12% year-on-year to $4.62 billion, fueled by robust performance across Goldman’s capital markets divisions. Despite a 3% dip in revenue, which the bank attributed to the divestiture of its Apple Card loan book to JPMorgan Chase and an early contract termination with Apple, its Wall Street-focused operations thrived amid buoyant stock prices, softening interest rates, increased institutional activity, and volatile global markets.
Goldman Sachs CEO David Solomon, during the company’s earnings presentation, noted that the company continues to experience heightened client engagement and anticipates that momentum will build even further in 2026, unlocking a cycle of increased activity across the entire firm.
According to the bank, it now expects the current rebound in capital markets and industry deregulation to allow Goldman to exceed its near-term targets of mid-teen returns and an efficiency ratio near 60%.
Equities trading led the quarter’s outperformance, with revenue in the segment soaring 25% from the year before to $4.31 billion—$610 million above StreetAccount’s forecast. Fixed income trading revenue also advanced 12% to $3.11 billion, surpassing estimates by $180 million.
Investment banking fees mirrored StreetAccount projections, up 25% year-on-year to $2.58 billion, as increased activity in merger advisory and debt underwriting provided a lift. Goldman also reported that its backlog of deals rose at the end of 2025 compared with the third quarter.
The asset and wealth management division generated $4.72 billion in revenue, nearly flat versus the prior year but comfortably above StreetAccount expectations by $270 million. Higher management fees from an expanding asset base offset net losses on public equities and slimmed gains from private equity holdings.
Conversely, the platform solutions unit, Goldman’s smallest segment, booked a revenue loss of $1.68 billion in the quarter—down from a $592 million profit in the same period last year. The bank attributed this setback to its exit from the Apple Card business.
