Jane Fraser speaks at the Milken Institute Global Conference in Beverly Hills, California, USA, on Monday, April 29, 2019.
Kyle Grillot | Bloomberg via Getty Images
Citi Group reported its fourth-quarter earnings Wednesday morning before Wall Street’s opening bell, beating expectations on the top and bottom lines.
The bank’s shares rose more than 2% in premarket trading.
Here’s how the company fared compared to LSEG analyst consensus estimates:
- Earnings: $1.34 per share, versus $1.22 expected
- Revenue: $19.58 billion, versus $19.49 billion expected
Citi’s net income was $2.86 billion for the quarter, an improvement from a net loss of $1.84 billion a year ago. Year-over-year comparisons for fourth-quarter earnings numbers may be complicated by Citi’s costs booked in the latter part of 2023.
The bank reported growth in several business units during the fourth quarter. Investment banking in particular was a bright spot, with revenues rising 35% year over year. As a result, total bank revenues increased by 12%, which grew to 27% when the impact of credit hedges is included.
Markets revenues rose 36% year on year, with both fixed income and equities businesses growing. Fixed income revenues of $3.48 billion were well above the $2.95 billion expected by analysts, according to StreetAccount.
Income from the wealth and services sectors increased year-on-year by 20% and 15% respectively.
“2024 was a pivotal year and our results show that our strategy is delivering the intended results and driving stronger performance in our operations. Our net income rose nearly 40% to $12.7 billion and we exceeded our full-year revenue target, including record years in Services, Wealth and US Personal Banking,” CEO Jane Fraser said in a press release.
During the analyst call later Wednesday, investors will also look for progress updates on Fraser’s turnaround efforts. Fraser took over the bank in March 2021 and focused on downsizing the business, including selling some international units.
Citi shares performed strongly in 2024, rising nearly 37% from the year before. The stock is up more than 4% so far this year on Wednesday.