The Goldman Sachs Group (GS) Q3 2024 earnings summary

Executive summary

• Net earnings for Q3 2024 were $2.99B, with diluted EPS of $8.40, up 54% year-over-year, and annualized ROE of 10.4%; book value per share rose 6.2% year-to-date to $332.96.

• Net revenues reached $12.70B, up 7% year-over-year, driven by strong performance in Global Banking & Markets and Asset & Wealth Management.

• Record assets under supervision of $3.10T, with 27 consecutive quarters of long-term net inflows and record management and other fees of $2.62B.

• Results were impacted by select items, including narrowing the consumer footprint and GM card platform transition, reducing ROE by 80 basis points and EPS by $0.62.

• Continued focus on strategic priorities, durable revenue growth, and capital returns to shareholders.

Financial highlights

• Q3 2024 net revenues: $12.70B (+7% YoY); net earnings: $2.99B (+45% YoY); diluted EPS: $8.40 (+54% YoY).

• Net interest income for Q3 2024 was $2.62B (+70% YoY); provision for credit losses was $397M, mainly from credit card portfolio.

• Operating expenses for Q3 2024 were $8.32B, down 8% year-over-year; efficiency ratio improved to 65.5%.

• Book value per share increased to $332.96, up 6.2% year-to-date.

• For the first nine months of 2024: net revenues $39.64B (+13% YoY), net earnings $10.17B (+56% YoY), diluted EPS $28.64 (+65% YoY).

Outlook and guidance

• Management targets through-the-cycle ROE of 14–16% and ROTE of 15–17%; 2024 annual effective tax rate expected to be ~22%.

• Asset & Wealth Management aims for over $10B in annual management and other fees and mid-teens ROE in the medium term.

• Platform Solutions targets pre-tax profitability by end of 2025; closure of GM card platform transfer expected in Q3 2025.

• 2024 fundraising in alternatives expected to exceed $60B.

• Forward-looking statements highlight uncertainties in economic conditions, regulatory changes, and geopolitical risks.