logo
  

Citigroup Q3 Net Income Rises On Credit Benefit; Adj. Revenues Up 3%

Citigroup Inc. (C) reported that its third quarter net income increased 48% year-on-year driven by a lower cost of credit, partially offset by the lower revenues and higher expenses. Excluding the impact of the sale of consumer business in Australia, third quarter revenues improved 3% from prior year. The company said the revenue growth was largely driven by growth across the Institutional Clients Group.

Third quarter earnings per share was $2.15 compared to $1.36, previous year. Excluding impact of Australia sale, earnings per share was $2.44, for the quarter. On average, 14 analysts polled by Thomson Reuters expected the company to report profit per share of $1.65, for the quarter. Analysts' estimates typically exclude special items. Excluding impact of Australia sale, adjusted net income was $5.2 billion, for the quarter.

Net income increased to $4.6 billion from $3.2 billion. The company recorded credit benefit of $0.2 billion in the third quarter 2021 compared to a cost of credit of $2.4 billion in the prior-year period, reflecting a release of allowance for credit loss reserves and an improvement in net credit losses, driven by continued improvement in portfolio credit quality.

Third quarter reported revenues were $17.2 billion, down 1% from last year. Adjusted revenues were $17.8 billion, for the quarter. Analysts expected revenue of $16.97 billion, for the quarter. Institutional Clients Group recorded revenues of $10.8 billion, up 4%.

"We remain committed to returning excess capital over and above the amount necessary to invest in our franchise and to maintain our safety and soundness," Jane Fraser, Citi CEO, said.

For comments and feedback contact: editorial@rttnews.com

Business News

Editors Pick
Alexander & Hornung, a business unit of Perdue Premium Meat Co., Inc., is recalling around 234,391 pounds of fully cooked pork products citing possible contamination with Listeria monocytogenes, the U.S. Department of Agriculture's Food Safety and Inspection Service or FSIS announced. The recall involves ham and pepperoni products that come under various brands and produced on various dates. Sandoz, Inc., an unit of Novartis AG, is recalling one lot of deep vein thrombosis (DVT) medication Enoxaparin Sodium in the form of injection for the potential exposure to high temperatures that may have impacted product effectiveness, the U.S. Food and Drug Administration or FDA said in a statement. Livia Global, Inc., a health and wellness company, is recalling two lots of its Liviaone liquid probiotics citing the possibility of contamination by Pseudomonas aeruginosa, the U.S. Food and Drug Administration said. Pseudomonas aeruginosa is a microorganism found in the environment that, if ingested, can cause life-threatening infection in immunocompromised individuals.
Follow RTT