Can a modern Wall Street bank shrug off shedding a consumer credit business and still finish the year with momentum? Goldman Sachs did just that.
The firm reported net revenues of $58.28 billion and net earnings of $17.18 billion for the full year 2025, and delivered $13.45 billion in net revenues with $4.62 billion of net earnings in the fourth quarter. Diluted earnings per share were $51.32 for the year and $14.01 for Q4; return on average common shareholders’ equity came in at 15.0% for 2025 and an annualized 16.0% in the quarter. For the official release, see Goldman Sachs’ statement here.
Trading and fees carried the load
Goldman’s beat was driven by its capital markets businesses. Equities trading surged (up about 25% year-over-year), producing roughly $4.31 billion in revenue as the bank benefited from financing flows and increased derivatives activity with hedge funds and institutional clients. Fixed income also strengthened, rising around 12% to $3.11 billion, helped by interest-rate and commodities activity.
Investment banking fees were up sharply as well — about a 25% jump to $2.58 billion — with mergers advisory and debt underwriting both contributing and a growing deal backlog at year-end. Asset and wealth management produced steady revenue of roughly $4.72 billion, a result of rising fees on a larger asset base offsetting weaker marks in public equity stakes and private equity realizations.
Not every corner of the firm contributed. Platform solutions posted a $1.68 billion revenue loss in the quarter, reflecting the previously announced exit from the Apple Card arrangement and the sale of that loan portfolio to JPMorgan Chase — a move that trimmed revenue and produced a modest gain that analysts noted when comparing estimates.
Strategy, capital and the pitch for 2026
David Solomon framed the results as proof the firm’s strategic pivot is working. “Since our first Investor Day where we laid out our comprehensive strategy, the firm has grown its revenues by 60%, improved returns by 500 basis points and delivered total shareholder returns of more than 340%,” he said, adding that client engagement remains high and should fuel momentum into 2026. Goldman also reiterated a focus on disciplined risk management even as it considers deploying capital across the franchise and returning cash to shareholders.
Those figures suggest Goldman believes it can keep hitting mid-teens returns and an efficiency ratio near its targets if capital markets activity remains robust. Traders and dealmakers have the wind at their backs when equity prices are elevated, volatility offers trading opportunities, and companies tap debt and M&A markets.
What investors noticed
Markets reacted positively: shares moved higher in early trading after the results, reflecting relief that profit comfortably exceeded consensus estimates despite the hit from the consumer-card exit. Analysts flagged that part of the outperformance included a preannounced gain tied to the Apple Card sale (about $0.46 per share), but even stripping that out, core trading, investment banking and asset-management revenues came in ahead of expectations.
For the bank itself, the message is mixed-but-encouraging. The exit from a consumer-lending partnership narrows one line of business, but it also sharpened focus on Goldman’s traditional strengths — trading, underwriting and wealth management — which produced the bulk of the quarter’s upside. If those market conditions persist, Goldman looks positioned to press its advantage into 2026.
If you want to hear the firm walk through the numbers, Goldman has scheduled a public conference call and an audio webcast linked from its investor relations page.