The Goldman Sachs Group (GS) Q2 2024 earnings summary

Executive summary

• Net earnings for Q2 2024 were $3.04 billion, up 150% year-over-year, with EPS of $8.62 and annualized ROE of 10.9%; book value per share increased 1.9% to $327.13.

• Net revenues for Q2 2024 rose 17% year-over-year to $12.73 billion, driven by strong performance in Global Banking & Markets and Asset & Wealth Management.

• Quarterly dividend increased 9% to $3.00 per share, effective Q3 2024.

• $4.43 billion was returned to shareholders in Q2 2024 through repurchases and dividends.

• Asset and Wealth Management delivered record management and other fees, with assets under supervision reaching $2.93 trillion and wealth management client assets at $1.5 trillion.

Financial highlights

• Q2 2024 net revenues: $12.73 billion (+17% YoY); H1 2024 net revenues: $26.94 billion (+17% YoY).

• Q2 2024 net earnings: $3.04 billion; H1 2024 net earnings: $7.18 billion.

• Diluted EPS: $8.62 for Q2 2024, $20.21 for H1 2024.

• Efficiency ratio improved to 63.8% for H1 2024, nearly 10 points better year-over-year.

• Provision for credit losses was $282 million in Q2 2024, down from $615 million in Q2 2023.

Outlook and guidance

• Management targets through-the-cycle ROE of 14–16% and ROTE of 15–17%.

• Expect to exceed $50 billion in alternatives fundraising for 2024, driven by strong pipeline and client demand.

• 2024 annual effective tax rate expected to be ~22%.

• Buybacks to be moderated in the near term due to higher SCB requirements, but capital flexibility remains.

• Operating environment in the U.S. remains favorable, with expectations for a soft landing and ongoing AI-driven opportunities.