GS Goldman Sachs 10-Q 2026-09-30 section summaries

Goldman Sachs (GS) — September 2026 Form 10-Q, Part I, Item 1

Consolidated results

Revenue grew 23.0% in Q3 and 25.5% in 9M; higher activity and lower average diluted shares supported earnings and per-share growth. Q3 NII declined 2.1% as interest expense rose faster than interest income, while 9M NII increased 14.5%.

Market-making revenue reflected sharply mixed trading results: interest-rate results were losses of $1.306B in Q3 and $3.136B in 9M, while equities generated $4.757B and $13.082B, respectively. These product results often offset across economically hedged positions. Q3 transaction-based expenses rose to $3.021B from $1.968B.

Segments (Q3)

GBM growth was led by non-interest revenue; its Q3 credit-loss provision rose to $345M from $82M. AWM’s higher non-interest revenue was partly offset by lower NII. Platform Solutions’ negative non-interest revenue widened to $534M from $138M, amid the firm’s continued narrowing of consumer-related activities and transition of the Apple Card program to another issuer.

Cash flow and shareholder returns

Operating cash use reflected, among other items, a $184.916B increase in trading assets. The firm repurchased $12.000B of common stock and paid $4.844B in dividends during 9M. Common shares outstanding declined from 296.476742M at December 31, 2025 to 288.604588M at September 30, 2026. The declared common dividend was $5.00 per share in Q3, up from $4.00; an additional $5.00 dividend was declared in October.

Balance sheet, funding and credit

Balance-sheet growth included higher trading assets ($831.730B versus $656.796B) and loans. Amortized-cost loans were $249.039B gross, less a $2.310B allowance, versus $212.911B gross and a $2.148B allowance at year-end. The portfolio was 75% investment-grade, compared with 70%; 97% was rated pass/non-criticized, versus 95%. Past-due amortized-cost loans rose to $1.217B from $770M, including $902M at least 90 days past due versus $372M. Nonaccrual loans were $3.447B versus $3.387B.

The allowance increase reflects wholesale lending; the prior-year comparison is affected by the Apple Card portfolio’s transfer to held for sale. Industry Ventures and Innovator acquisitions completed in H1 added about $1.20B of identifiable intangibles, principally customer lists. Goodwill and intangible growth primarily reflects these acquisitions. No impairment indicators were identified in Q3 or 9M.

Valuation, capital and commitments

Fair-value financial assets reached $1.213858T, or 55.7% of total assets, versus $963.966B at December 2025; fair-value liabilities were $997.194B, or 48.5% of liabilities, versus $774.885B. Level 3 assets were $20.892B and Level 3 liabilities $46.417B. Valuations relying on significant unobservable inputs carry model and market-liquidity uncertainty. Large fair-value earnings swings were partly related to embedded derivatives in unsecured borrowings: fair-value-option gains were $4.024B in Q3 and $669M in 9M, versus losses of $4.787B and $11.016B in the comparable periods. The firm cautions that these instruments are often economically hedged. Net debt valuation adjustment was a $936M pre-tax gain in Q3 and a $1.421B gain in 9M.

Ratio declines primarily reflected higher risk-weighted assets and, at GS Bank USA, dividend distributions. Goldman’s standardized CET1 requirement rose to 11.4% from 10.9%, including a higher 3.5% G-SIB surcharge. Early adoption of modified enhanced SLR standards reduced the firm’s SLR buffer requirement from 2.0% to 0.75%.

Total commitments increased to $699.303B from $497.119B, including $363.459B of lending commitments versus $323.177B. Maximum exposure to loss from nonconsolidated VIEs was $30.723B versus $29.107B; this is not an expected-loss estimate. The firm agreed to acquire NEOS for up to approximately $2.250B and LCN Capital Partners for up to approximately $410M, subject to closing conditions.

Legal and other matters

For estimable legal matters, management put the upper end of reasonably possible aggregate losses at approximately $1.1B above reserves; many other matters could not be reasonably estimated. Antitrust, securities, regulatory and other proceedings remain ongoing. Goldman stated that it does not currently expect unresolved matters to materially affect its financial condition, though they could materially affect results in an individual period. PwC’s interim review identified no material modifications needed for GAAP conformity.

Goldman Sachs — Q3 and first nine months of 2026

Consolidated results

Revenue grew 23% in Q3 and 25% in 9M; earnings and returns improved, exceeding the firm’s through-the-cycle ROE and ROTE targets. Expense growth reflected higher compensation and transaction-based costs alongside stronger performance. A roughly $450M Q3 contribution to Goldman Sachs Gives increased non-compensation expense and reduced diluted EPS by about $1.00 and annualized ROE and ROTE by about 1.1 percentage points each. Headcount was 47,500 at September-end, down 2% year over year. Q3 credit provisions primarily reflected wholesale-loan impairments; the 9M comparison also benefited from credit-card provisions in 2025.

Segment and business-line performance

GBM revenue rose 32% in Q3 and 34% in 9M, led by Equities financing and intermediation, higher investment-banking fees and stronger transaction banking. FICC was nearly flat in Q3: financing and stronger currencies and commodities offset weaker mortgage, credit and interest-rate intermediation. AWM revenue rose 14% in Q3 and 15% in 9M, supported by higher average assets under supervision (AUS) and incentive fees; lower private-banking revenue and Q3 investment markdowns partly offset growth. AWM Q3 pre-tax earnings included a $23M provision, versus a $29M benefit a year earlier. Platform Solutions revenue fell 72% in Q3 and 56% in 9M, mainly reflecting Apple Card loan-portfolio markdowns; its 9M pre-tax loss was $68M versus $8M of earnings.

Operating metrics, capital and balance sheet

Q3 long-term AUS inflows were $97B—$50B fixed income, $34B alternatives and $13B equity—partly offset by $14B of liquidity-product outflows. 9M long-term inflows were $250B. The firm’s long-term management-fee rate averaged 30 bps, down from 31 bps in both comparative periods.

Assets increased mainly through growth in trading assets, investments, receivables and loans, funded in part by higher collateralized financing, unsecured borrowings and deposits. CET1 capital declined as goodwill and intangible-asset deductions and other adjustments rose. Goldman returned $4.490B to common shareholders in Q3 ($3.000B repurchases; $1.490B dividends), and $16.23B in 9M. It targets a 50–100 basis-point buffer above capital requirements. TLAC/RWAs were 42.5% against a 22.0% minimum; external long-term debt/RWAs were 26.5% against a 9.5% minimum.

Risk, liquidity and outlook

Total loans and lending commitments reached $641.414B, up from $563.059B; associated allowances were $3.111B versus $2.879B. Net OTC derivative credit exposure increased to $37.068B from $24.984B after netting and collateral. Average daily firmwide VaR was $126M, versus $91M a year earlier; period-end VaR was $145M. A hypothetical 100% adverse-scenario weighting would have increased the September allowance by approximately $0.6B, before possible qualitative-reserve changes.

The Iranian conflict, inflation, higher oil prices, interest rates and geopolitical uncertainty pose risks to markets, client activity and credit quality. Goldman cites AI investment as an opportunity and an uncertainty. The Apple Card transition to another issuer, agreed in December 2025, is expected to take approximately 24 months; closing may be delayed or fail if conditions are unmet. The firm also identifies funding, cyber, model, operational, legal and regulatory risks, and notes that future results and capital requirements may be affected by market conditions and regulatory changes.

Goldman Sachs provides no standalone market-risk metrics or updates in this section. For quantitative and qualitative market-risk disclosures, it directs readers to “Risk Management” in Part I, Item 2 of the Form 10-Q.

Disclosure Controls and Internal Control

Management, including the CEO and CFO, concluded that the company’s disclosure controls and procedures were effective as of the end of the reporting period. No change in internal control over financial reporting during the quarter ended September 2026 materially affected, or was reasonably likely to materially affect, those controls. This section reports no financial results or business developments.

For the three months ended September 2026, no Goldman Sachs director or executive officer entered into, modified, or terminated a Rule 10b5-1 trading plan or a non-Rule 10b5-1 trading arrangement for buying or selling company securities. This section reports no financial or other material business developments.