Citigroup On Friday, it reported first-quarter revenues that beat analysts' estimates, helped by better-than-expected results in the bank's investment banking and trading operations.
Here's how the company performed, compared to estimates from LSEG, formerly known as Refinitiv:
Earnings: $1.86 per share, adjusted, versus $1.23 expected. Revenue: $21.10 billion, versus $20.4 billion expected.
The bank said profits fell 27% from the previous year to $3.37 billion, or $1.58 per share, due to higher expenses and credit costs. After adjusting for the impact of Federal Deposit Insurance Corporation (FDIC) fees as well as restructuring and other costs, Citi earned $1.86 per share, according to LSEG calculations.
Revenue fell 2% to $21.10 billion, mostly due to the impact of the sale of overseas businesses in the same period a year earlier.
Investment banking revenue jumped 35% to $903 million in the quarter, driven by higher debt and equity issuances, beating StreetAccount estimates of $805 million.
Fixed income trading revenue fell 10% to $4.2 billion, beating estimates of $4.14 billion, and equity revenue rose 5% to $1.2 billion, beating estimates of $1.12 billion.
The bank also posted an 8% gain to $4.8 billion in revenue in its services division, which includes companies that meet the banking needs of global companies, thanks to higher deposits and fees.
The bank's shares fell 2% after gaining earlier.
Citigroup CEO Jane Fraser previously said its overhaul of the company would be complete by March, and that the company would provide an update on severance expenses alongside first-quarter results.
“Last month marked the end of the regulatory simplification we announced in September,” Fraser said in the earnings release. “The result is a clearer, simpler management structure that perfectly aligns and facilitates our strategy.
Last year, Fraser announced plans to simplify the management structure and cut costs at the third-largest US bank by assets. The bank on Friday confirmed its medium-term goals to achieve returns of at least 11% and generate revenues of at least $80 billion this year.
C. B. Morgan Chase The results announced earlier on Friday, and Goldman Sachs Reports Monday.
