Goldman Sachs profit falls on investment banking weakness, higher costs

Goldman Sachs Group Inc reported a 26% drop in quarterly profit on Wednesday, hurt by weakness in its investment banking business and higher operating costs. The bank's net earnings applicable to common shareholders fell to $1.72 billion in the quarter ended Dec. 31 from $2.32 billion a year earlier. Earnings per share fell to $4.69 from $6.04.

Total net revenue, however, jumped 23% to $9.96 billion. Earlier in January, Goldman reshuffled most of its major reporting lines and, for the first time, unveiled the size of its consumer business, responding to long-standing requests for more transparency from analysts and investors.