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Thursday, June 14, 2007

Goldman Quarterly Earnings Beat Estimates

NEW YORK, June 14 (Reuters) - Goldman Sachs Group reported higher quarterly profit on Thursday, beating estimates, on record investment banking fees and strong stock trading.

The world's largest investment bank by profit and market value said net earnings rose to $2.33 billion, or $4.93 a share, in the second quarter ended on May 25, from $2.29 billion, or $4.78 a share, a year earlier.

Analysts on average expected profit of $4.76 a share, according to Reuters Estimates. Goldman shares were down 2.8 percent in premarket trading.

Revenue rose to $10.2 billion from $10.1 billion. The analysts' average estimate was $10.1 billion.

The results come two days after rival Lehman Brothers Holdings Corp. reported a 27 percent jump in profit, trouncing expectations and sparking a rebound in brokerage stocks.

Goldman stock, which hit an all-time high of $233.94 at the end of May, rose 4 percent during the fiscal quarter, outperforming the 1.3 percent gain in the AMEX Securities Broker-Dealer Index but slightly lagging the S&P 500.

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