Goldman Sachs delivered its strongest quarter on record, reporting net revenues of $17.23 billion and net income of $5.63 billion for the three months ended 31 March 2026. Earnings per share came in at $17.55, up from $14.12 a year earlier and well above the $16.49 consensus estimate.
Why it matters: the results confirm that Wall Street’s biggest trading desks are profiting from the extreme market volatility created by the US-Iran conflict and shifting interest rate expectations.
Trading powers the beat
The Global Banking and Markets division generated $12.74 billion in revenue, a 19% increase year on year, with equities trading hitting an all-time record. Fixed income also outperformed as bond markets swung on ceasefire speculation and oil price moves.
The asset and wealth management division posted $4.08 billion in revenue, up 10% from a year earlier. Assets under supervision reached a record $3.65 trillion.
Capital returns accelerate
Goldman returned $6.38 billion to common shareholders during the quarter. Share repurchases accounted for $5 billion of that total, with $1.38 billion paid in dividends. The annualised return on common equity hit 19.8%, with return on tangible equity at 21.3%.
Market reaction muted
Despite beating on every major metric, shares fell 3% in pre-market trading on 14 April. Analysts attributed the sell-off to profit-taking after the stock’s strong run and lingering uncertainty over the Strait of Hormuz blockade’s impact on global markets.
CEO David Solomon said the firm was well positioned to navigate the current environment. Goldman’s performance mirrors the trend seen at JPMorgan, which also posted record trading revenue last week.
What happens next
Morgan Stanley reports on 15 April, completing the major Wall Street earnings cycle. Investors will be watching whether the trading boom extends across the sector or remains concentrated at the top two firms.