Goldman Sachs(GS) ZACKS·2025-01-15 17:01Earnings Performance - Goldman Sachs' Q4 2024 adjusted EPS of 7.99, a significant increase from 40.54, up from 4.1 billion, a 37.5% increase from the prior-year quarter [4] - Full-year 2024 net earnings were 13.9 billion increased 22.5% year over year, surpassing the Zacks Consensus Estimate of 53.5 billion increased 15.7% year over year, exceeding the Zacks Consensus Estimate of 8.26 billion, driven by lower depreciation, amortization, and occupancy costs [6] - Provision for credit losses was 4.72 billion, up 7.6% year over year, driven by higher management and incentive fees [2] - Firmwide assets under supervision reached a record 8.5 billion, a 33.4% year-over-year increase, driven by strong IB business and equities revenues [7] - Platform Solutions division's Q4 2024 revenues were 2.27 billion, with equity underwriting fees jumping 98% and debt underwriting fees growing 50.6%, though advisory fees fell 4.4% [11] Capital and Shareholder Returns - Standardized Common Equity Tier 1 capital ratio improved to 15% as of Dec 31, 2024, up from 14.4% in the prior year [9] - Supplementary leverage ratio remained unchanged at 5.5% year over year [9] - Goldman returned 2 billion in share repurchases and 978 million in common stock dividends [12] Industry Context - M&T Bank Corporation (MTB) is expected to report Q4 2024 results on Jan 16, with a Zacks Consensus Estimate of 3.70 EPS, unchanged over the past seven days [3] - Fifth Third Bancorp (FITB) is scheduled to release Q4 2024 earnings on Jan 21, with a Zacks Consensus Estimate of 87 cents EPS, unchanged over the past seven days [3][8] Outlook - Goldman's focus on IB and trading businesses, along with strong deal-making pipelines, is expected to support future revenue growth [10] - Active client engagement and a solid position in global M&A activities are likely to act as tailwinds for the company [10]