Profit beats estimates

Goldman Sachs Group Inc, facing a fraud lawsuit from US regulators, reported first-quarter earnings that surpassed analysts’ estimates on record fixed- income trading revenue.

Net income almost doubled to $3.46 billion, or $5.59 a share, from $1.81 billion, or $3.39, a year earlier, the New York-based bank said today in a statement. The average estimate of 23 analysts surveyed by Bloomberg was for $4.14 per share. Predictions ranged from $3.33 to $5.97.

The results showed Goldman Sachs maintained its dominance in fixed-income trading, the biggest source of Wall Street’s revenue. Chief Executive Officer Lloyd Blankfein is trying to preserve the bank’s place as the most profitable investment bank in Wall Street history while defending it against regulators’ claims that the company misled investors in 2007.

“Goldman is continuing to take market share, and I think that’s the key move for them coming out of the financial crisis,” Jason Tyler, senior vice president at Ariel Investment LLC said in a Bloomberg Television interview. “Goldman is a clear winner as people are trying to figure out who they are going to do business with.”