=Goldman Sachs (GS) reported earnings on Tue 15 Oct 2019 (b/o)

Goldman Sachs misses by $0.10, reports revs in-line

Reports Q3 (Sep) earnings of $4.79 per share, excluding non-recurring items, $0.10 worse than the S&P Capital IQ Consensus of $4.89; revenues fell 3.8% year/year to $8.32 bln vs the $8.33 bln S&P Capital IQ Consensus.

RoE 9.0%; RoTCE 9.5%.

Trading Revenue $3.29 bln, expectations approximately $3.17 bln

• FICC Revenue $1,41 bln
• Equities $1.88 bln

Net revenues in Financial Advisory were $716 million, 22% lower compared with a strong third quarter of 2018, reflecting a decrease in completed mergers and acquisitions transactions.

Net revenues in Underwriting were $971 million, 9% lower than the third quarter of 2018, due to lower net revenues in equity underwriting, reflecting a significant decline in industry-wide initial public offerings, and in debt underwriting, reflecting a decrease in industry-wide leveraged finance transactions.

Provision for credit losses was $291 million for the third quarter of 2019, 67% higher than the third quarter of 2018 and 36% higher than the second quarter of 2019. The increase compared with the third quarter of 2018 primarily reflected higher impairments.