Shares of Goldman Sachs Group (NYSE: GS) climbed as much as 2% on Tuesday after the Company blew past Wall Street’s earnings and revenue expectations. Goldman posted earnings of USD 5.81 a share for Q2, topping the average estimate of USD 4.89. Revenue came in at USD 9.46 Billion, versus USD 8.83 expected.
For the first half of fiscal 2019, the investment bank delivered revenues of USD 18.27 Billion. EPS shrank to USD 11.52 for the period compared with USD 12.93 for the first half of 2018.
Compared to the year-quarter prior, Goldman Sachs saw net sales decline in the majority of its business segments. Investment Management, Investment Banking, and Institutional Client Services revenue fell 14%, 9% and 3% respectively. The Company said these declines were partly offset by a 16% revenue increase in its Investing & Lending business
“We’re encouraged by the results for the first half of the year as we continue to invest in new businesses and growth to serve a broader array of clients,” said David M. Solomon, Chairman and Chief Executive Officer of Goldman. “Given the strength of our client franchise, we are well positioned to benefit from a growing global economy. And, our financial strength positions us to return capital to shareholders, including a significant increase in our quarterly dividend in the third quarter.” The Company increased its quarterly dividend 47% to USD 1.25 a share.
Shares of Goldman Sachs have gained nearly 28% this year versus competitors like Morgan Stanley (NYSE: MS), up 12% and Deutsche Bank AG (NYSE: DB), down 2%.