NEW YORK (MarketWatch) -- Goldman Sachs Group Inc. reported Tuesday a second-quarter profit that jumped more than 60% as the investment powerhouse earned nearly $750 million from equity underwriting, helping battered financial-services firms sell stock to meet new government capital requirements. The quarterly performance from equity underwriting was a company record. GS 150.30, +0.86, +0.58% 100%50%0%-50%-100% JASON09FMAMJJ Goldman (GS 150.30, +0.86, +0.58%) also profited handsomely from its role as an intermediary, and sometimes a purchaser itself, for assets that troubled firms needed to sell quickly during the ongoing economic and market crises. "Our role as an intermediary focused on making markets for buyers and sellers helped drive our performance. We were also active as an underwriter of many significant debt and equity offerings for clients," Chairman and Chief Executive Lloyd Blankfein said in a press release. Goldman said that overall, net income rose to $3.44 billion, or $4.93 a share, in the latest three months, up from $2.05 billion, or $4.58 a share, earned a year ago. Goldman said equity underwriting produced record quarterly net revenues of $736 million, surpassing the previous record set in the second quarter of 2000. Excluding a payment under the government's Troubled Asset Relief Program, Goldman would have earned $5.71 a share for the latest quarter. Analysts polled by Thomson Reuters had expected the company to earn, on average, $3.54 a share in the quarter. 'There is definitely less risk capital available in the markets, for every dollar of risk we are taking there is less competition out there.' David Viniar, Goldman CFO Goldman's net revenues reached $13.76 billion in the second quarter, compared to $9.42 billion last year. Analysts had expected Goldman to report revenue of $10.66 billion. Goldman switched from a fiscal reporting schedule to a calendar schedule last year. This year's second quarter ended on June 26, while the year ago data is for the period ended May 31 2008. The company's shares moved fractionally higher in morning trading, topping the $150 mark. Profiting in a crisis "While markets remain fragile and we recognize the challenges the broader economy faces, our second-quarter results reflected the combination of improving financial market conditions and a deep and diverse client franchise," Blankfein added.

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