Summary
Goldman Sachs Group, Inc. (GS) reported strong financial performance for the fiscal year ended December 31, 2021. The company saw a significant increase in net earnings to $21.64 billion, a substantial rise from $9.46 billion in 2020, with diluted earnings per share reaching $59.45. This robust performance was driven by higher net revenues across all segments, particularly in Asset Management, Investment Banking, and Consumer & Wealth Management, reflecting a favorable economic backdrop with increased client activity and strong market performance. The company's strategic acquisitions of NN Investment Partners and GreenSky are expected to further accelerate its strategy for durable returns. Goldman Sachs maintained strong capital ratios, with a CET1 capital ratio of 14.2% under Standardized Capital Rules. Management remains focused on deploying capital for clients where returns are attractive and returning excess capital to shareholders through dividends and share repurchases, while also targeting medium-term ROE and ROTE within specific ranges and aiming for an efficiency ratio of approximately 60%.
Financial Highlights
36 data points| Interest Expense | $5.65B |
| Net Income | $21.64B |
| EPS (Basic) | $60.25 |
| EPS (Diluted) | $59.45 |
| Shares Outstanding (Basic) | 350.50M |
| Shares Outstanding (Diluted) | 355.80M |
Key Highlights
- 1Net earnings significantly increased to $21.64 billion in 2021, up from $9.46 billion in 2020.
- 2Diluted earnings per share (EPS) rose to $59.45 in 2021 from $24.74 in 2020.
- 3Net revenues grew by 33% to $59.34 billion in 2021 compared to $44.56 billion in 2020.
- 4Strong performance across all business segments, with notable growth in Asset Management, Investment Banking, and Consumer & Wealth Management.
- 5The company announced two strategic acquisitions: NN Investment Partners (Asset Management) and GreenSky (Consumer Banking) to drive durable returns.
- 6Goldman Sachs maintained a strong CET1 capital ratio of 14.2% (Standardized Rules) as of December 31, 2021.
- 7Capital was returned to shareholders through $5.20 billion in common share repurchases and $2.29 billion in common stock dividends during 2021.