Goldman Sachs Profit, Revenue Beat Expectations

Goldman Sachs Group Inc. said its quarterly earnings rose as the Wall Street firm rebounded from a brutal start to the year.

Earnings and revenue easily beat expectations.

The New York-based bank's second-quarter net income climbed to $1.82 billion, or $3.72 a share, from $1.05 billion, or $1.98, a share a year earlier. Profit in the year-earlier quarter was weighed down by $1.45 billion in legal expenses that went toward an eventual mortgage-related settlement with the U.S. Department of Justice.

Revenue dropped to $7.93 billion from $9.07 billion.

The Wall Street firm was expected to earn $3 a share on revenue of $7.58 billion, the average estimates of analysts polled by Thomson Reuters.

Revenue in the bank's investment banking division declined 11% to $1.79 billion, hurt by a drop from the financial advisory and equity underwriting segments. The bank highlighted that its revenue from debt underwriting rose 20% amid asset-backed activity.

Goldman shares, which were little changed premarket, have fallen 9.4% since the start of 2016, worse than the 7.7% fall in the KBW Nasdaq Bank index of large commercial lenders.

Write to Peter Rudegeair at [e-mail] and Liz Hoffman at [e-mail]

(END) Dow Jones Newswires

July 19, 2016 08:05 ET (12:05 GMT)

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