GOLDMAN SACHS GROUP INC Annual Report, Year Ended Dec 31, 2022

Goldman Sachs Group, Inc. reported net earnings of $11.26 billion for 2022, a significant decrease from $21.64 billion in 2021, reflecting a challenging macroeconomic and geopolitical environment characterized by persistent inflation and rising interest rates. Net revenues declined by 20% to $47.37 billion, primarily driven by lower performance in Global Banking & Markets and Asset & Wealth Management segments, although the Platform Solutions segment saw significant revenue growth. The company's Global Banking & Markets segment experienced a notable drop in investment banking fees, down 48%, due to a decline in industry-wide underwriting volumes and M&A transactions. However, Fixed Income, Currency, and Commodities (FICC) intermediation revenues increased by 38%, driven by higher client activity in a volatile market. Asset & Wealth Management revenues decreased by 39%, mainly due to lower net revenues from equity and debt investments, impacted by market conditions. The Platform Solutions segment, which includes consumer platforms and transaction banking, saw revenues more than double to $1.50 billion, driven by growth in its credit card and point-of-sale financing businesses. Despite the year-over-year decline in profitability, Goldman Sachs maintained a strong capital position, with a CET1 capital ratio of 15.1% under Standardized Capital Rules. The firm returned $6.70 billion to shareholders through repurchases and dividends, underscoring its commitment to capital management. Provisions for credit losses increased substantially to $2.72 billion, primarily due to the growth of the credit card portfolio and broader economic concerns, indicating a more cautious outlook for credit quality.