Goldman Sachs (NYSE: GS) is shining. The nation's largest investment bank is cheering this week, following the announcement of its 2Q results. The company posted quite impressive numbers and silenced many Wall street analysts.While others are losing the battle against the deterioration in market conditions, Goldman Sachs seems to be heading in the right direction. During the 2nd quarter, the bank made $2 billion, or $4.58 per share, in profits, as it managed to overcome all hurdles throughout the quarter, including a revenue decline of 7% to $9.42 billion from $10.18 billion a year earlier. Fueled by the strong results, shares in Goldman Sachs were driving high at $183 in the afternoon trading.
Goldman's chairman and chief executive, Lloyd Blankfein, said yesterday: "Given the difficult market conditions, we are particularly pleased to be able to report strong results for the second quarter."
Fighting the credit crunch
The New York-based bank said it did not face any major write-downs, though it lost $500m from hedges, which went the wrong way and $775m relating to sub-investment grade credit.
The investment guru proved its strength. A challenging market environment isn't scary for Goldman Sachs. It stayed cool in the present waters and delivered fantastic results. Let's see, if Goldman Sachs will able to keep such pace in the next quarter.
Reference
http://www2.goldmansachs.com/our-firm/press/press-releases/current/pdfs/2008-q2-earnings.pdf
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