The company’s net income of $8.52 billion for 2023 marked a 24% slump from the previous year, which is also its worst performance since David Solomon’s first year as CEO, when the company earned $8.46 billion. Still, the firm’s profit rose during the final quarter of 2023, with Goldman Sachs earning $2 billion over the three months ended December. This is a colossal 51% rise from the fourth quarter of 2022.

Goldman’s investment banking revenues for the fourth quarter were $3.6 billion; a 6% rise from Q3 yet still 12% lower than the fourth quarter of 2022. Data from Dealogic showed that full-year investment banking revenue was at its lowest point since 2013. Still, 2023 proved to be a challenging year economically for the industry at large, with Goldman Sachs still outperforming Wall Street rivals JPMorgan, Bank of America, Morgan Stanley, and Citi in terms of Q4 investment banking earnings.

The post Goldman Sachs Posts 51% Gain in Year-On-Year Quarterly Earnings appeared first on theprimarymarket.com.

Earnings for the third quarter stood at $7.8 billion while total revenue was $25.2 billion; a 3% rise from the previous year. Net interest income, which described the difference between income on loans and deposit payouts, rose by 4% from the previous year.

While the investment and trading revenues of Bank of America rose as well, CEO Brian Moynihan acknowledged that a slump had begun. “We did this in a healthy but slowing economy that saw US consumer spending still ahead of last year but continuing to slow,” the Bank of America CEO observed.

The post Bank of America Profits Rise By 10% in Q3 appeared first on theprimarymarket.com.

JPMorgan Chase, Wells Fargo, and Citigroup all posted higher profits for the third quarter than were expected. JPMorgan reported third-quarter earnings of $13.2 billion—a 35% year-over-year rise—while its revenue of $40.7 billion was up 21% compared to last year. Wells Fargo’s revenues for the quarter were up by 20% compared to last year on the back of higher interest rates on loans.

Oil prices surged after Israel ramped up its counter-offensive in Gaza following deadly terror attacks by Hamas. Crude oil futures surged by 4% as did Brent crude futures.

The post Nasdaq & S&P Sink, Dow Rises Following Big Bank Earnings appeared first on theprimarymarket.com.

Net income overall rose to $5.77 billion, or $1.48 per share, over the third quarter from $3.59 billion, or 86 cents per share, the previous year, the bank reported on Friday.

The rampant rise in interest rates on US loans comes after the swiftest monetary policy tightening in 40 years in an effort to get resiliently steep inflation under control. The Federal Reserve revealed that its monetary policy will need to remain highly restrictive over the near term as it aims to cool inflation down to its 2% target.

The post Wells Fargo Profits Rise, Spurred By Loan Repayments appeared first on theprimarymarket.com.

This comes after the company’s attempt to secure a merger deal with MindMaze, a Swiss mental health company, broke down. The deal was suggested by Albacore, a company to which Babylon owes more than $300m (£236m).

On Friday, the healthcare provided revealed that it spent $84 million during the second quarter, down from $113 million a year earlier. Still, the company warned that it may not be able to secure enough cash in order to keep the business running.

With its U.S. business drawing to a close, Babylon Health is fighting to keep its UK unit alive by finding a buyer. The company’s GP at Hand app is used by the NHS in Fulham, serving around 300,000 patients.

The post Babylon Health Hires Wall Street Banks in Last-Ditch Effort to Save Company appeared first on theprimarymarket.com.

Italy’s government decided to introduce a 40% tax on “extra” bank profits, igniting fears that other financially stretched European governments could decide to implement similar measures as a means of recovering cash.

UniCredit SpA and Intesa Sanpaolo SpA both slumped by more than 5% following the announcement, thereby bringing the Stoxx Europe 600 index down by 0.3% at 9:50 a.m. London time. Futures on the S&P 500 index were down 0.3% while those on the Sow Jones Industrial Average and the Nasdaq 100 fell 0.2% and 0.4% respectively.

“This news is a strong headwind for the banking sector which is an important component of European indexes.” Rajeev De Mello, a global macro portfolio manager at Gama Asset Management SA said of the new Italian tax.” Such actions increase the risk that other cash-strapped European governments seek similar or other ways to raise fiscal revenues from their banks.”

The post Bank Stocks Slide Following New Italian Tax and Weak Chinese Economic Data appeared first on theprimarymarket.com.

Credit Suisse bankers are expected to take on larger roles in the combined company, with others expected to leave, the sources concerned explained. Some UBS bankers are also expected to leave the firm due to the restructuring.

One team lead who is reportedly expected to exit the firm is Jeff Rose, global head of consumer products and retail deals. Jon Levin, Credit Suisse’s head of retail investment banking, is believed to be in line to replace him.

Matt Eilers, UBS’s global head of financial sponsors is also believed to be one of the senior employees potentially departing from the firm. Rob DiGia, UBS’s global head of healthcare, is set to remain with the company and is in talks over a chairman role.

The post UBS Undergoes Restructuring Following Credit Suisse Deal appeared first on theprimarymarket.com.

This development is a reversal of the trend seen in the first three months of the year. Following the collapse of Silicon Valley Bank, Signature Bank, and First Republic Bank, account holders withdrew their funds from regional banks en masse in favor of depositing with the largest players in the banking sector.

Now that concerns of failure are subsiding, CFRA equity analyst Alexander Yokum feels that depositors are heading to those banks that pay the highest rates. “The regionals are winning the deposit battle right now because they’re willing to pay the most.”

“Ironically,” Yokum added, “the deposit outflows from the big banks is “actually a sign of strength”. For the week ending July 12, deposits at the largest U.S. banks fell by $78 billion; the largest drop since the week ending March 22.

The post Major U.S. Banks Showed Largest Q2 Deposit Declines appeared first on theprimarymarket.com.

Compared to a year ago, Barclays’ total income rose by 14%. Still, the bank insisted that macroeconomic developments such as the expected ending of the Bank of England’s fiscal tightening policy convinced it to reduce its net interest margin outlook from 3.2% to 3.15%.

Barclays’ trading revenue plunged by 41% to £1.75 billion ($2.3 billion) compared to a year ago, falling short of expectations. The bank’s fixed-income trading division declined by 22% to £1.2 billion while equities trading revenue plummeted by 60% to £563 million.

The UK lender announced plans to buy back a further £750 million of stock, beating expectations as it follows up from its £500 million buyback program that occurred in April.

The post Barclays Shares Decline as Bank Signals End of Rates Boom appeared first on theprimarymarket.com.

While EY continues to audit the UBS takeover of Credit Suisse, rival Big Four firm PricewaterhouseCoopers (PwC) will be charged with auditing Credit Suisse’s bank accounts for 2023.

Swiss banking giant UBS came to the decision in March to acquire its local rival in a government-backed purchase worth 3 billion Swiss francs ($3.48 billion). Credit Suisse crashed after a slew of panicked account holders decided to withdraw their savings from their accounts given the bank’s precarious financial situation.

PWC was tasked with compiling Credit Suisse’s 2022 annual report, during which the auditor expressed doubt regarding the effectiveness of the bank’s internal controls over its reporting. Still, PWC maintained that Credit Suisse’s reporting appeared fairly presented for the period of 2020 until 2022.

The post UBS Decides to Retain EY as Auditor Following Credit Suisse appeared first on theprimarymarket.com.

The company’s net income of $8.52 billion for 2023 marked a 24% slump from the previous year, which is also its worst performance since David Solomon’s first year as CEO, when the company earned $8.46 billion. Still, the firm’s profit rose during the final quarter of 2023, with Goldman Sachs earning $2 billion over the three months ended December. This is a colossal 51% rise from the fourth quarter of 2022.

Goldman’s investment banking revenues for the fourth quarter were $3.6 billion; a 6% rise from Q3 yet still 12% lower than the fourth quarter of 2022. Data from Dealogic showed that full-year investment banking revenue was at its lowest point since 2013. Still, 2023 proved to be a challenging year economically for the industry at large, with Goldman Sachs still outperforming Wall Street rivals JPMorgan, Bank of America, Morgan Stanley, and Citi in terms of Q4 investment banking earnings.

The post Goldman Sachs Posts 51% Gain in Year-On-Year Quarterly Earnings appeared first on theprimarymarket.com.

Earnings for the third quarter stood at $7.8 billion while total revenue was $25.2 billion; a 3% rise from the previous year. Net interest income, which described the difference between income on loans and deposit payouts, rose by 4% from the previous year.

While the investment and trading revenues of Bank of America rose as well, CEO Brian Moynihan acknowledged that a slump had begun. “We did this in a healthy but slowing economy that saw US consumer spending still ahead of last year but continuing to slow,” the Bank of America CEO observed.

The post Bank of America Profits Rise By 10% in Q3 appeared first on theprimarymarket.com.

JPMorgan Chase, Wells Fargo, and Citigroup all posted higher profits for the third quarter than were expected. JPMorgan reported third-quarter earnings of $13.2 billion—a 35% year-over-year rise—while its revenue of $40.7 billion was up 21% compared to last year. Wells Fargo’s revenues for the quarter were up by 20% compared to last year on the back of higher interest rates on loans.

Oil prices surged after Israel ramped up its counter-offensive in Gaza following deadly terror attacks by Hamas. Crude oil futures surged by 4% as did Brent crude futures.

The post Nasdaq & S&P Sink, Dow Rises Following Big Bank Earnings appeared first on theprimarymarket.com.

Net income overall rose to $5.77 billion, or $1.48 per share, over the third quarter from $3.59 billion, or 86 cents per share, the previous year, the bank reported on Friday.

The rampant rise in interest rates on US loans comes after the swiftest monetary policy tightening in 40 years in an effort to get resiliently steep inflation under control. The Federal Reserve revealed that its monetary policy will need to remain highly restrictive over the near term as it aims to cool inflation down to its 2% target.

The post Wells Fargo Profits Rise, Spurred By Loan Repayments appeared first on theprimarymarket.com.

This comes after the company’s attempt to secure a merger deal with MindMaze, a Swiss mental health company, broke down. The deal was suggested by Albacore, a company to which Babylon owes more than $300m (£236m).

On Friday, the healthcare provided revealed that it spent $84 million during the second quarter, down from $113 million a year earlier. Still, the company warned that it may not be able to secure enough cash in order to keep the business running.

With its U.S. business drawing to a close, Babylon Health is fighting to keep its UK unit alive by finding a buyer. The company’s GP at Hand app is used by the NHS in Fulham, serving around 300,000 patients.

The post Babylon Health Hires Wall Street Banks in Last-Ditch Effort to Save Company appeared first on theprimarymarket.com.

Italy’s government decided to introduce a 40% tax on “extra” bank profits, igniting fears that other financially stretched European governments could decide to implement similar measures as a means of recovering cash.

UniCredit SpA and Intesa Sanpaolo SpA both slumped by more than 5% following the announcement, thereby bringing the Stoxx Europe 600 index down by 0.3% at 9:50 a.m. London time. Futures on the S&P 500 index were down 0.3% while those on the Sow Jones Industrial Average and the Nasdaq 100 fell 0.2% and 0.4% respectively.

“This news is a strong headwind for the banking sector which is an important component of European indexes.” Rajeev De Mello, a global macro portfolio manager at Gama Asset Management SA said of the new Italian tax.” Such actions increase the risk that other cash-strapped European governments seek similar or other ways to raise fiscal revenues from their banks.”

The post Bank Stocks Slide Following New Italian Tax and Weak Chinese Economic Data appeared first on theprimarymarket.com.

Credit Suisse bankers are expected to take on larger roles in the combined company, with others expected to leave, the sources concerned explained. Some UBS bankers are also expected to leave the firm due to the restructuring.

One team lead who is reportedly expected to exit the firm is Jeff Rose, global head of consumer products and retail deals. Jon Levin, Credit Suisse’s head of retail investment banking, is believed to be in line to replace him.

Matt Eilers, UBS’s global head of financial sponsors is also believed to be one of the senior employees potentially departing from the firm. Rob DiGia, UBS’s global head of healthcare, is set to remain with the company and is in talks over a chairman role.

The post UBS Undergoes Restructuring Following Credit Suisse Deal appeared first on theprimarymarket.com.

This development is a reversal of the trend seen in the first three months of the year. Following the collapse of Silicon Valley Bank, Signature Bank, and First Republic Bank, account holders withdrew their funds from regional banks en masse in favor of depositing with the largest players in the banking sector.

Now that concerns of failure are subsiding, CFRA equity analyst Alexander Yokum feels that depositors are heading to those banks that pay the highest rates. “The regionals are winning the deposit battle right now because they’re willing to pay the most.”

“Ironically,” Yokum added, “the deposit outflows from the big banks is “actually a sign of strength”. For the week ending July 12, deposits at the largest U.S. banks fell by $78 billion; the largest drop since the week ending March 22.

The post Major U.S. Banks Showed Largest Q2 Deposit Declines appeared first on theprimarymarket.com.

Compared to a year ago, Barclays’ total income rose by 14%. Still, the bank insisted that macroeconomic developments such as the expected ending of the Bank of England’s fiscal tightening policy convinced it to reduce its net interest margin outlook from 3.2% to 3.15%.

Barclays’ trading revenue plunged by 41% to £1.75 billion ($2.3 billion) compared to a year ago, falling short of expectations. The bank’s fixed-income trading division declined by 22% to £1.2 billion while equities trading revenue plummeted by 60% to £563 million.

The UK lender announced plans to buy back a further £750 million of stock, beating expectations as it follows up from its £500 million buyback program that occurred in April.

The post Barclays Shares Decline as Bank Signals End of Rates Boom appeared first on theprimarymarket.com.

While EY continues to audit the UBS takeover of Credit Suisse, rival Big Four firm PricewaterhouseCoopers (PwC) will be charged with auditing Credit Suisse’s bank accounts for 2023.

Swiss banking giant UBS came to the decision in March to acquire its local rival in a government-backed purchase worth 3 billion Swiss francs ($3.48 billion). Credit Suisse crashed after a slew of panicked account holders decided to withdraw their savings from their accounts given the bank’s precarious financial situation.

PWC was tasked with compiling Credit Suisse’s 2022 annual report, during which the auditor expressed doubt regarding the effectiveness of the bank’s internal controls over its reporting. Still, PWC maintained that Credit Suisse’s reporting appeared fairly presented for the period of 2020 until 2022.

The post UBS Decides to Retain EY as Auditor Following Credit Suisse appeared first on theprimarymarket.com.