- Goldman Sachs set a Wall Street record in Q4 2025 with US$4.31B in equities trading revenue.
- Stronger trading and a ~25% rise in investment-banking fees to ~US$2.6B helped lift Q4 net income ~12% to ~US$4.6B (US$14.01/share).
- For 2025, revenue totaled ~US$58.3B (second-highest ever), equities trading fees rose ~16%, and the quarterly dividend increased to US$4.50/share.
- Management is refocusing on core markets and dealmaking while scaling steadier wealth/asset-management fees, but results remain sensitive to volatility and deal flow.
Read More
Goldman Sachs has closed 2025 with a powerful demonstration of the earnings leverage from its Markets division, especially the equities trading business. In Q4 2025, the bank’s equities trading revenue of US$4.31 billion topped prior records (including its own from Q2 2025), indicating both a well-tuned trading operation and favourable external conditions such as market volatility and strong client activity. Fixed income, currencies, and commodities (FICC) trading revenues also rose, though not at the same headline rate; together, these trading segments provided much of the upside versus analyst expectations.
On the Investment Banking side, the 25% YoY increase in fees (to about US$2.58-2.60 billion in Q4) reflects a revival in dealmaking and M&A, which Goldman led globally with ~US$1.48 trillion in advised deals in 2025. This strength bolstered overall revenues and, when combined with trading gains, lifted net income and shareholder returns. Full-year revenue of US$58.3 billion was achieved even after a drag from the Apple Card portfolio divestment, suggesting base business strength.
Meanwhile, the wealth and asset management divisions are increasingly central to Goldman’s strategic positioning: the bank raised margin targets, pushed toward fee income growth through acquisitions such as Innovator Capital, and is emphasizing predictable earnings streams to complement volatile trading results. Dividend increase to US$4.50 per share further signals management’s confidence in sustainable cash flow.
Strategic risks and open questions remain. First, whether equity trading revenues can be sustained—or whether market volatility slows—will be critical to performance going forward, especially given tougher YoY comparisons. Second, investment banking, particularly debt underwriting, shows signs of softness at some competitors; Goldman must defend growth in these areas. Third, expense pressures (especially compensation) and regulatory or macroeconomic headwinds (interest rate shifts, geopolitical events) could erode margin gains. Lastly, the focus on wealth & alternatives requires continued execution and successful acquisition integration.
Supporting Notes
- Equities trading revenue in Q4 2025 was US$4.31 billion—a record for any Wall Street bank in a single quarter.
- Fixed income, currencies, and commodities trading revenue rose ~12.5% YoY in Q4 to roughly US$3.1 billion.
- Q4 investment banking fees rose ~25% YoY to about US$2.58-US$2.60 billion.
- Net income for Q4 2025 was approximately US$4.6 billion, or US$14.01 per share, up about 12% vs Q4 2024.
- Full-year 2025 revenue was US$58.3 billion, second only to 2021 in GS history; equities trading fees for full year up ~16% over 2024.
- Dividend lifted to US$4.50/share.
- Asset-and wealth-management division posted a quarterly record in fees, with management aiming for pretax margins of ~30% and top-line returns in the high-teens.
- Full-year M&A advisory: Goldman advised on ~US$1.48 trillion in deals across 2025.