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Goldman Sachs profit jumps as bankers cash in on big deals
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Goldman Sachs profit jumps as bankers cash in on big deals
Oct 14, 2025 4:38 AM

Oct 14 (Reuters) - Goldman Sachs' ( GS ) quarterly

profit jumped more than 37% on Tuesday as its investment bankers

earned higher advisory fees and traders capitalized on active

markets.

Its prediction for a banner year for dealmaking has

materialized as corporations revive plans for mergers and

listings.

Investment banking fees rose to $2.66 billion in the quarter

ended September 30, compared with $1.87 billion a year ago.

The growth was fueled by a 60% surge in advisory fees, while

debt and equity underwriting fees also gained. Rival JPMorgan

Chase ( JPM ) also reported robust investment banking numbers

earlier in the day.

Global M&A volumes for the first nine months of the year

crossed $3.43 trillion, with nearly 48% of it in the U.S.,

according to data from Dealogic.

The period also saw the highest average M&A volume globally

and in the U.S. since 2015, in line with CEO David Solomon's

prediction at last year's Reuters NEXT conference.

Goldman was among the joint book-running managers on marquee

initial public offerings in the quarter, including design

software firm Figma ( FIG ), Swedish fintech Klarna ( KLAR ),

and space tech firm Firefly Aerospace ( FLY ).

Overall quarterly profit stood at $4.1 billion, or $12.25

per share, compared with $2.99 billion, or $8.40 per share, a

year ago.

Goldman executives have been increasingly optimistic around

dealmaking in recent months, with Solomon saying in September it

had one of its busiest weeks for IPOs in more than four years.

SUSTAINED TRADING RESILIENCE

Wall Street trading desks have reaped rewards from record

volatility as clients rejig portfolios to keep pace with changes

in President Donald Trump's trade, foreign and fiscal policies.

The third quarter, however, remained one of Wall Street's

calmest quarters in nearly six years as a interest-rate cut from

the Federal Reserve and robust AI investment pushed major U.S.

stock indexes to record highs.

Still, Goldman's equities trading revenue rose 7% to $3.74

billion as investors took on more risk. Fixed income, currency

and commodities hauled in $3.47 billion, 17% higher than a year

ago.

(Reporting by Ateev Bhandari in Bengaluru and Saeed Azhar in

New York; Editing by Lananh Nguyen and Arun Koyyur)

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