Goldman Sachs experienced a 33% decline in profits during the three months ending September, due to fewer transactions in a subdued market environment.
The bank’s expenses surged in the third quarter, largely because of the need to write down its stake in the lending platform GreenSky and its real estate holdings.
For this period, Goldman reported earnings of $2.06 billion (£1.69 billion) or $5.47 per share, a significant drop from $3.07 billion (£2.52 billion) or $8.25 per share a year prior.
Goldman’s performance this quarter was anticipated to be low by analysts, especially after the bank announced its decision to exit its emerging consumer lending segment earlier in the year.
Furthermore, Goldman is in the process of divesting its GreenSky division, which was written off this quarter.
CEO David Solomon expressed optimism, stating, “We believe the initiatives we’re undertaking now will set us up for a more robust 2024.”
