Citigroup

Citigroup (C) on Friday posted better-than-expected results for the second quarter, aided by a surge in investment banking revenue. Earnings rose to $1.52 a share for the quarter through June 30 from $1.33 a year earlier, while revenue increased 4% to $20.14 billion, topping Wall Street’s views for $1.41 and $20.09 billion, respectively. The company said revenue growth included a roughly $400 million gain tied to an exchange of shares in credit card giant Visa (V) completed during the quarter. “Our results show the progress we are making in executing our strategy and the benefit of our diversified business model,” Citigroup Chief Executive Jane Fraser said. “Markets had a strong finish to the quarter leading to better performance than we had anticipated.” Banking revenue surged 38% to $1.63 billion, led by a 60% jump in investment banking amid “strong” issuance activity in debt capital markets and an increase in initial […]

Citigroup Inc (NYSE:C) reported a second-quarter fiscal 2024 revenue growth of 4% year-over-year to $20.14 billion, beating the analyst consensus estimate of $20.07 billion. GAAP EPS of $1.52 beat the analyst consensus estimate of $1.39. Net credit losses were $2.28 billion, up 52% year-over-year. Services revenue grew 3% year-over-year to $4.7 billion, primarily reflecting strength in Securities Services and the impact of continued underlying momentum in Treasury and Trade Solutions. Markets revenue increased by 6% Y/Y to $5.1 billion, driven by Equity market revenue growth. Banking revenue increased 38% Y/Y to $1.6 billion, driven by Investment Banking and Corporate Lending. U.S. Personal Banking revenue grew 6% Y/Y to $4.9 billion, driven by higher net interest income. Wealth revenue grew 2% to $1.8 billion, driven by a 13% increase in non-interest revenue. All other revenue declined 22% year over year to $2.0 billion, primarily due to closed exits and winddowns and

Citigroup (C) on Friday posted better-than-expected results for the second quarter, aided by a surge in investment banking revenue. Earnings rose to $1.52 a share for the quarter through June 30 from $1.33 a year earlier, while revenue increased 4% to $20.14 billion, topping Wall Street’s views for $1.41 and $20.09 billion, respectively. The company said revenue growth included a roughly $400 million gain tied to an exchange of shares in credit card giant Visa (V) completed during the quarter. “Our results show the progress we are making in executing our strategy and the benefit of our diversified business model,” Citigroup Chief Executive Jane Fraser said. “Markets had a strong finish to the quarter leading to better performance than we had anticipated.” Banking revenue surged 38% to $1.63 billion, led by a 60% jump in investment banking amid “strong” issuance activity in debt capital markets and an increase in initial

We raise our 12-month target to $71 from $67 on a wider P/E multiple of 11.5x our 2024 EPS estimate, below the 12.5x peer average. We still value C as one of the few large U.S. banks trading below net tangible book value (NTBV) – C’s at $81.65, currently trading at a 23% discount to NTBV. We keep our EPS at $6.20 in 2024 and $7.25 in 2025. C is executing on its new strategy and we like how the bank will be positioned for growth across institutional markets. C has leading franchises in corporate treasury services, technology platforms, and expanded global wealth. We think C can execute and close the gap on price to NTBV, driven by the Services segment (treasury and trade solutions), which had 8% fee revenue growth in Q1 comps, and a continued upturn in Banking, which includes investment banking fees from all areas. Net interest

Citigroup (C) could surpass market expectations on earnings in the coming year or two after making progress in its cost-cutting program, Oppenheimer said in a note Monday. “While Citi has some headwinds to earnings we think that expectations have been beaten down so low, and progress on expenses sufficient that we think the probabilities are very high that they will beat street expectations in the coming year or two,” Oppenheimer analysts Chris Kotowski and Kevin Tripp said. After a long period of guiding that the “cost curve” would “bend” between Q3 and Q4 of 2024, the management effectively said it had bent already and that costs would be sequentially lower from here for the next few quarters, the analysts said. “There is significant upside to this level of earnings over the next 2-3 years,” they said. Oppenheimer trimmed its price target to $87 from $88 while keeping its outperform rating.

CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows: We raise our target $2 to $67 on a forward P/E of 10.8x, below the 11.5x peer average. Our target is a 23% discount to net tangible book value (NTBV) at $86.67, while peers trade at a premium to NTBV. This speaks to C in a multi-year transformation with new leadership that we are confident will succeed. We lift our 2024 EPS view $0.20 to $6.20 and 2025’s $0.20 to $7.25. C reported Q1 EPS of $1.58, a $0.31 earnings beat to the consensus estimate, and $21.1B revenue was $1.1B higher than consensus. C posted 1% Y/Y NII growth and loans were +3%, while deposits were -2%. Services (Treasury and Trade solutions) had +8% fee revenue with North America +3% and International +10%. Markets (or trading) saw

The following is a summary of the Citigroup Inc. (C) Q1 2024 Earnings Call Transcript: Financial Performance: Citigroup reported a Q1 net income of roughly $3.4 billion and earnings per share of $1.58. The company observed a 3% year-over-year rise in revenues to over $21 billion, excluding divestitures. Expenses rose 7% to $14.2 billion while average loans increased by $4 billion, boosted mostly by markets spread products, and card and mortgage loans in U.S. Personal banking. The financial institution returned $1.5 billion in capital, with $500 million in share buybacks, and maintained a preliminary CET1 ratio of 13.5%. Corporate lending revenues saw a 34% increase, whereas loan hedges saw expenses reduce by 4%. The company’s Q1 net income amounted to approximately $536 million while the RoTCE rate was noted at 9.9%. Business Progress: Citigroup carried out significant business simplifications eliminating around 7,000 positions, saving about $1.5 billion in annual expenses.

New York, April 12, 2024 Citigroup Inc. today reported net income for the first quarter 2024 of $3.4 billion, or $1.58 per diluted share, on revenues of $21.1 billion. This compares to net income of $4.6 billion, or $2.19 per diluted share, on revenues of $21.4 billion for the first quarter 2023. 1Q24 Financial Overview Highlights Revenues decreased 2% from the prior-year period, on a reported basis. Excluding divestiture-related impacts of $1 billion, primarily consisting of the gain from the sale ofthe India consumer business in the prior-year period, revenues were up 3% year over year. This increase in revenues was driven by growth across Banking, U.S. Personal Banking (USPB) and Services, partially offset by declines in Markets and Wealth. Net income of $3.4 billion decreased from $4.6 billion in the prior-year period, primarily driven by higher expenses, higher cost of credit and the lower revenues. Earnings per share of

Citigroup (NYSE:C) reported quarterly sales of $21.104 billion which beat the analyst consensus estimate of $20.393 billion by 3.49 percent. This is a 1.60 percent decrease over sales of $21.447 billion the same period last year.

Citigroup Sees FY24 Revenues $80B-$81B Vs $73.69B Est.

By Justin Baer Citigroup reported a 27% drop in its first-quarter profit as expenses, including from the banks restructuring plans, offset revenue gains by some of its biggest businesses. The third-biggest U.S. banks shares rose 1% in early trading after the results were announced. Here are the numbers you need to know: — Citi reported net income of $3.37 billion, or $1.58 a share, compared with net income of $4.61 billion, or $2.19 a share, a year earlier. Analysts expected $1.18 per share, according to FactSet. — Revenue fell 2% to $21.1 billion from $21.45 billion. Wall Street was looking for $20.46 billion, according to FactSet. Citis revenue tally a year ago included a $1 billion gain on the sale of its consumer-banking arm in India. — Citis Services business, which provides a range of banking and treasury services for companies and investment managers, posted revenue of $4.8 billion, up