Jane Fraser, CEO of Citigroup, speaks at the Milken Institute Global Conference in Beverly Hills, California, on May 1, 2023.
PATRICK T. FALLON | AFP | GETTY IMAGES
City Group Apple Inc. on Friday reported second-quarter results that beat expectations on earnings and revenue thanks to a rebound in Wall Street activity.
This is what the company said:
Earnings: $1.52 per share vs. $1.39 per share expected, according to LSEGRevenue: $20.14 billion vs. $20.07 billion expected
The bank said net income rose 10 percent from a year earlier to $3.22 billion, or $1.52 per share. Revenue rose 4 percent to $20.14 billion.
Equity trading revenue rose 37% to $1.5 billion, driven by stronger derivatives and higher hedge fund balances, about $300 million above StreetAccount’s estimate.
Fixed income revenue fell 3% to $3.6 billion, essentially in line with analyst expectations, due to lower activity in the interest rate and currency markets.
Investment banking revenues increased 60% to $853 million, driven by strong investment-grade bond issuance and a rebound in IPO and M&A activity from lows in 2023.
The bank's shares fell about 2%.
“Our results demonstrate the progress we have made in executing our strategy and the benefits of our diversified business model,” said Jane Fraser, CEO of Citigroup, in a press release. “Markets had a strong end to the quarter, resulting in better-than-expected performance.”
Citigroup came under fire this week for failing to fix its regulatory shortcomings.
Last year, Fraser announced plans to streamline management and cut costs at the third-largest U.S. bank by assets. But profits will take a back seat if Citigroup can’t allay regulators’ concerns about its data and risk management.
J.P. Morgan Chase The results were announced earlier on Friday, while Goldman Sachs, American bank And Morgan Stanley Next week's report.
Correction: This article has been updated to correct the fact that Citigroup reported revenue of $20.14 billion in the second quarter. The previous version misstated the figure due to a rounding error.
