Goldman Sachs is set to report third-quarter earnings — here’s what the Street expects

Goldman Sachs posted third-quarter results Tuesday that topped analysts’ expectations for profit and revenue on better-than-expected trading results.

Here are the numbers:

• Earnings: $8.25 a share. vs. $7.69 per share estimate according to Refinitiv
• Revenue: $11.98 billion, vs. $11.41 billion estimate

The company said profit fell 43% to $3.07 billion, or $8.25 a share, topping the $7.69 estimate of analysts surveyed by Refinitiv. Revenue declined 12% to $11.98 billion, topping the estimate by more than $500 million.

That’s the question after mixed bank reports so far. While Wall Street rivals including JPMorgan Chase and Morgan Stanley posted sharp declines in third-quarter investment banking revenue, better-than-expected fixed income results amid volatile markets helped buoy their institutional businesses.

Goldman’s traders tends to outperform other banks during periods of high volatility, which could help the firm. But falling markets could also result in markdowns in other divisions, which could offset some of that strength.

Another question is how long the bank’s consumer business will continue to lose money, a sore subject among investors because of its drag on the company while the stock has been depressed.

CEO David Solomon is set to announce a corporate reorganization that combines the bank’s four main divisions into three, according to people with knowledge of the plan. The move splits Goldman’s consumer operations and puts the parts into two new divisions, the people said.

Goldman shares trade for the lowest price to tangible book value ratio among the six biggest U.S. banks except for Citigroup, a situation that Solomon surely wants to address.

The bank’s shares have fallen almost 20% this year through Monday, compared with the 26% decline of the KBW Bank Index.

Last week, JPMorgan and Wells Fargo topped expectations for third-quarter profit and revenue by generating better-than-expected interest income. Citigroup also beat analysts’ estimates, and Morgan Stanley missed as choppy markets took a toll on its investment management business.

This story is developing. Please check back for updates.