Citigroup’s net income rises 2% to $3.5b in Q3

Revenue was 9% higher at $20.1b during the quarter.

Citigroup has reported a net income of $3.5b for the third quarter of 2023 or $1.63 per diluted share, a 2% rise from a year ago, the bank’s latest financial report showed.

The increase in net income was primarily driven by higher revenue, partially offset by higher expenses and higher cost of credit, The world’s 11th largest bank by total assets said.

Revenue was 9% higher at $20.1b in Q3 compared to the $18.5b in revenue reported for Q3 2022. This was largely driven by strength across Services and Markets in Institutional Clients Group (ICG) and US Personal Banking within Personal Banking and Wealth Management (PBWM), Citi said.

The bank, however, saw revenue decrease from its legacy franchises.

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Amongst notable financial moves in Q3 include the divestiture or $299m in earnings before taxes or $214m after tax, primarily on the sale of Citi’s Taiwan business. Excluding these divestiture-related impacts, earnings per share was $1.525. 

Citi’s US Personal Banking business, meanwhile, saw double-digit growth, whilst Wealth revenues also grew. 
 
“Our discipline of growing operating deposits has enabled us to maintain a stable deposit base. Taken with our high-quality asset portfolio, strong reserve levels, ample liquidity and diversified earnings base, we are proving to our clients that we truly are a bank for all seasons,” said Citi CEO Jane Fraser, commenting on their latest financial results.

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“Last month we announced consequential changes that align our organizational structure with our strategy and changes how we run the bank. When completed, we will have a simpler firm that can operate faster, better serve our clients and unlock value for our shareholders,” Fraser said.