Goldman Sachs Profit Beats Expectations

Goldman Sachs Group Inc. said earnings easily beat Wall Street expectations in its fiscal third quarter on profit from underwriting initial public stock offerings and its advisory role in mergers and acquisitions. The 131-year-old investment firm, which went public last year, said earnings grew 29% to $824 million, or $1.62 a share, despite an overall downturn in the U.S. stock markets this year. Analysts had forecast earnings of $1.51 a share, according to First Call/Thomson Financial. Net revenue jumped 32% to $4.53 billion. Revenue in Goldman’s trading and investing business climbed 46%. Goldman said it plans to increase its worldwide staff 20% annually during the next few years to meet the demands of expanding global markets. Goldman, which employs 18,666 people, said about 40% of its revenue is generated outside the U.S. Goldman shares rose $1.38 to close at $119.94 on the New York Stock Exchange.