Goldman Sachs $GS reported second-quarter earnings of $20.98 per diluted share on Tuesday, a figure that was roughly double the $10.91 per share the bank earned in the year-ago period, as a surge in equities trading and dealmaking drove records across the firm.
Total net revenue reached $20.34 billion for the three months ended June 30, up 39% from a year earlier, the company said. Net earnings came in at $6.63 billion, compared with $3.72 billion in the second quarter of 2025. Analysts had expected earnings of $14.48 per share, according to Reuters.
Goldman's equities desk pulled in $7.42 billion, up 72% year over year, with strength spread across derivatives and cash products on the intermediation side as well as prime services within equities financing. It was the third straight quarter that Goldman's equities operation had surpassed every prior benchmark set by any bank, according to Bloomberg.
The fixed income, currency and commodities unit brought in $4.59 billion, a 32% jump from a year earlier, with rates products and commodities accounting for the biggest share of gains on the intermediation side.
Investment banking fees reached $3.40 billion, a 55% year-over-year gain, led by a 130% surge in equity underwriting and a 75% rise in debt underwriting. Goldman led the initial public offering of SpaceX in late June, according to Barron's. The bank advised on more than $1 trillion worth of announced mergers and acquisitions in the first half of 2026, according to Bloomberg.
"Momentum has accelerated throughout our businesses. Clients are turning to us to lead their most strategic and consequential transactions, which are often the genesis of activity across the franchise," CEO David Solomon said in a statement.
The asset and wealth management division generated $4.60 billion, a 20% increase from the prior year, as climbing assets under supervision lifted management fees and private equity holdings contributed additional gains. Total assets under supervision reached $4.04 trillion at the end of the quarter, up from $3.29 trillion a year earlier.
Operating expenses rose 26% to $11.67 billion, driven by higher compensation and transaction-based costs. The firm's efficiency ratio improved to 58.8% for the first half of 2026, from 62.0% in the same period of 2025. Headcount fell 2% from the end of the first quarter to 46,200.
The bank's board raised its quarterly dividend to $5.00 per common share from $4.50, payable on September 29 to shareholders of record on September 1, the company said. During the quarter, Goldman returned $5.36 billion to common shareholders, including $4.00 billion in share repurchases and $1.36 billion in dividends.
Goldman stock was up 1% in premarket trading.