Goldman focuses on higher figures

Goldman Sachs (NYSE: GS) saw its shares enjoy slight gains Tuesday on higher quarterly figures.

The bank said profit surged 40% to $2.57 billion, exceeding analysts’ estimates on better-than-expected revenue from investment management and investing & lending divisions.

Earnings of $5.98 per share exceeding the $4.66 estimate of analysts surveyed by Thomson Reuters. Company-wide revenue rose 19% to $9.40 billion, beating the $8.74 billion estimate.

Revenue came in at $8.74 billion, an 11% increase, according to the average estimate compiled by Thomson Reuters.

The firm said that non-compensation expenses surged 24% to $2.66 billion from a year earlier after setting aside more money for litigation and regulatory proceedings. That was about $200 million more than analysts had been expecting.

“Solid performance across all of our major businesses drove the strongest first-half returns in nine years," Chief Executive Officer Lloyd Blankfein said in the statement.

"With a healthy economic backdrop and deep client franchises, the firm is well-positioned to invest in attractive opportunities to meet the needs of our clients and continue to generate earnings growth.”

After 12 years running the investment bank, Blankfein is set to announce that David Solomon, the bank's current president, will soon take over the top role.

Last month, Goldman was forced to maintain its dividend and share buyback plans unchanged from last year after fumbling a key part of its annual stress test. Its shares are 9.2% lower this year, under-performing rivals including J. P. Morgan Chase and Morgan Stanley and the broader indexes.

Shares picked up $1.62 to $233.06 Tuesday.