The review of Net Profit Margin witnessed a mixed trend. The Net Profit Margin moved from 23.17% in 2019 to 18.41% in 2023.
The average EBIT Margin for the period under analysis was 1.69% with 2019 and 2022 performing the worst and best, respectively.
In the current year, Goldman Sachs Interest Cover was 2.69 times in the current year- compared to 2019 when it was 3.43 times
The Asset Turnover stood at 0.13 times in 2023 from 0.12 in 2019, implying a good performance or Assets of the business in relation to revenue.
Profitability
The revenue of Goldman Sachs has shown a mixed trend year on year. The revenue increased by 21.93 between 2019 and 2020 and a further 33.17% increase was recorded between 2020 and 2021. There also occurred a decrease of 2.35% between 2022 and 2023 (the current period).
Goldman Sachs performance in profitability looks good as the return on capital employed also recorded good performance during the period of analysis.
Liquidity
The company’s result in liquidity looks fair, as its LD/LA decrease from 0.57:1/0.11:1 to 0.43:1/0.11:1 on the last year.
Capital Structure
Goldman Sachs is both equity and debt financed.
The debt-to-equity (D/E) ratio has been falling year on year. The gearing position of the company appears to be low as it stood at 2.07 in the current year.
