Goldman Sachs Group Inc (NYSE:GS, ETR:GOS) shares jumped 3.5% in premarket trading after it beat expectations for third-quarter earnings, helped by a rebound in dealmaking.
The Wall Street bank reported third-quarter earnings of $8.40 per share a 53% jump from a year ago and smashing the $6.89 consensus estimate.
Net revenue came in at $12.7 billion, up 7% year-on-year and essentially unchanged compared with the second quarter, but above the $11.8 billion consensus forecast.
This was on the back of a 20% rise in investment banking fees, with a rebound in dealmaking as Goldman was ranked number one worldwide for announced and completed mergers & acquisitions and common stock offerings for the year to date.
The Global Banking & Markets division generated quarterly net revenues of $8.55 billion, including strong performance in equities and record quarterly net revenues in fixed income, currency and commodities (FICC) financing.
CEO David Solomon hailed "The strength of our world-class franchise in an improving operating environment".