12:56 PM EDT, 10/14/2025 (MT Newswires) -- Goldman Sachs ( GS ) on Tuesday posted third-quarter results above market estimates, buoyed by double-digit gains in investment banking fees on higher merger and acquisition activity.

The lender reported earnings of $12.25 a share for the September quarter, climbing from $8.40 a year earlier and topping the FactSet-polled consensus of $11.03. Net revenue jumped 20% to $15.18 billion, exceeding the Street's view for $14.12 billion.

"This quarter's results reflect the strength of our client franchise and focus on executing our strategic priorities in an improved market environment," Chief Executive David Solomon said in an earnings presentation.

Global banking and markets revenue advanced 18% year on year to $10.12 billion. Investment banking fees surged 42% amid "significantly" higher revenue in advisory, reflecting an increase in completed merger and acquisition volume, and debt underwriting, according to Goldman. Equity underwriting revenue increased 21%, boosted by initial public offerings.

Revenue in the asset and wealth management segment grew 17% to $4.4 billion, reflecting higher management and other fees and private banking and lending revenue.

Total assets under supervision reached $3.452 trillion as of the end of September, up from $3.103 trillion a year earlier.

"We know that conditions can change quickly and so we remain focused on strong risk management," Solomon said. "Longer term, we are prioritizing the need to operate more efficiently to seamlessly deliver the firm to our clients helped by new (artificial intelligence) technologies."

Goldman will "constrain headcount growth through the end of the year" and is planning a "limited reduction in roles across the firm" as it seeks further savings across its businesses, Bloomberg News reported Tuesday, citing a company memo to staff.

The company's shares were down 1.3% in afternoon trade. The stock has jumped about 36% so far this year.

On Monday, Goldman agreed to acquire venture capital platform Industry Ventures in a cash-and-equity deal worth up to $965 million.

On Tuesday, JPMorgan ( JPM ) and Wells Fargo ( WFC ) reported better-than-expected third-quarter results, while their CEOs said the US economy remained resilient.

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