WELLINGTON: Goldman Sachs New Zealand Holdings has posted a 52 per cent drop in revenue and a full-year loss for 2014. The local unit of the Wall Street investment bank reported a $2.9 million loss for the 12 months to December 31, down from a $16 million profit in the same period a year earlier, according to financial statements lodged with the Companies Office.
Revenue – earned from fees, commissions and trading – fell from $48.9 million in 2013 to $23.4 million last year.Like other local investment banks, Goldman’s business was boosted in 2013 through its involvement in a number of big deals, including the floats of Z Energy, Meridian Energy, Mighty River Power, Synlait Milk and the block sell-down of Air New Zealand.
The firm’s 2014 transactions included the initial public offerings of Genesis Energy and childcare roll-up Evolve Education Group.It was another strong year for local capital markets activity, with more than $8 billion raised through 12 IPOs and 165 capital raisings by existing issuers.
Goldman’s operating expenses in New Zealand fell to $25.1 million last year from $29 million in 2013, while the company paid $1.7 million in tax compared with $4.6 million a year earlier.The firm reported cash and equivalents of $42.2 million at the end of last year, down from $78 million as at December 31, 2013.The financial statements also reveal that a number of Goldman’s local subsidiaries were amalgamated last year.
