Goldman Sachs Set to Announce Q1 2025 Earnings Amid Economic Uncertainty

NEW YORK—Goldman Sachs BDC, Inc. is preparing to release its financial results for the first quarter of 2025 on Thursday, May 8, after market close. This announcement comes at a time when analysts are closely scrutinizing the firm’s performance amid turbulent market conditions.

The earnings call is scheduled for Friday, May 9, at 9:00 a.m. Eastern Time. Participants can access the call via telephone or through an audio webcast available on Goldman Sachs BDC’s website.

The bank’s previous report revealed a 15% increase in profit from the prior year, reaching $4.74 billion, or $14.12 per share. Revenue, however, experienced a modest rise of 6%, totaling $15.06 billion. This increase was largely driven by a significant uptick in equities trading, which rose by 27% to $4.19 billion, surpassing analysts’ projections by approximately $540 million.

“While we are entering the second quarter with a markedly different operating environment than earlier this year, we remain confident in our ability to continue to support our clients,” stated CEO David Solomon during the last earnings report.

Despite the strong performance in equities trading, which reflected a trend among rival banks, Goldman Sachs experienced a decline in its asset and wealth management revenue. This segment fell slightly compared to the previous year due to lower advisory fees, which dropped by 8% to $1.91 billion.

Goldman Sachs’ Global Banking and Markets division reported a 10% increase in revenue to $10.71 billion. However, the fixed income division saw limited growth, with revenue rising by only 2% to $4.4 billion, missing an estimate of $4.56 billion. These mixed results have raised concerns about the bank’s reliance on investment banking fees, which constitute over 60% of its revenue.

As Goldman Sachs gears up for the upcoming earnings report, market analysts are forecasting a decrease in overall revenues to $14.77 billion, reflecting a 54% drop compared to the same quarter last year. Expectations for earnings per share stand at $12.32, indicating a need for the firm to navigate through ongoing economic challenges.

“Goldman relies heavily on investment banking, making it vulnerable to market fluctuations,” noted one market analyst. “The outlook for 2025 remains cautious as we anticipate lower returns on equity.”

The pressing economic landscape has prompted Goldman Sachs to adopt a careful approach as it prepares for the upcoming report, which could influence its operations moving forward.