New York
Mahaz News
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Goldman Sachs had a tough yr in 2022. And CEO David Solomon was punished for that. Sort of.
The funding banking big stated in a Securities and Exchange Commission submitting Friday that Solomon obtained $25 million in annual compensation final yr. While that’s nonetheless a really massive sum of money, it’s down practically 30% from the $35 million that Solomon raked in throughout 2021.
Solomon’s $2 million annual wage is unchanged. But the corporate stated that his “annual variable compensation,” paid in a mixture of performance-based restricted inventory models and money, was properly under 2021 ranges.
The cause: Weaker earnings in comparison with 2021’s outcomes. Goldman Sachs
(GS) shares additionally fell greater than 10% in 2022, though that wasn’t as huge of a drop as those suffered by rivals Morgan Stanley
(MS), JPMorgan Chase
(JPM) and Bank of America
(BAC).
Still, Goldman Sachs (like the remainder of Wall Street) was hit exhausting by the slowdown in dealmaking final yr. The firm reported a 16% drop in income within the fourth quarter and revenue plunge of 66% earlier this month, primarily because of the lack of merger exercise and preliminary public choices.
In truth, earnings for Goldman Sachs missed Wall Street’s consensus forecasts by the widest margin for the reason that third quarter of 2011. Solomon stated within the firm’s earnings launch that the corporate confronted “a challenging economic backdrop.”
Goldman Sachs is having a very powerful time making an attempt to department past its conventional companies of funding banking. The firm’s consumer-focused companies have been dropping cash and Goldman Sachs is pulling again on a few of its efforts to succeed in common banking clients consequently.
And if Solomon finds himself brief on money, he can all the time choose up extra DJ facet gigs.
Source web site: www.cnn.com
