NEW YORK — Banking conglomerate Citigroup mentioned its first quarter income rose by a comparatively quiet 2% from a yr earlier, as larger curiosity earnings helped offset a decline in buying and selling income.
Citi’s outcomes have been just like these of its Wall Avenue rivals, JPMorgan Chase and Goldman Sachs, who each reported related declines in buying and selling income within the quarter.
Citi mentioned Monday that it earned $4.71 billion, or a revenue of $1.87 per share, in contrast with a revenue of $4.62 billion, or $1.68 per share, in the identical interval a yr in the past. Analysts have been on the lookout for Citigroup to report a revenue of $1.78 a share, in line with Zacks Funding Analysis.
Citi reported a 24% decline in inventory buying and selling income, whereas bond and foreign money buying and selling income fared higher, up 1% from a yr earlier. Citi’s buying and selling operations focus extra on currencies and international alternate, which was much less risky final quarter than the inventory and bond markets. That allowed Citi’s buying and selling income in that division to do higher than its friends.
Citi’s shopper banking enterprise reported a modest 4% improve in income from a yr earlier, because the financial institution was in a position to develop curiosity income whereas conserving bills in test. Like different banks with a shopper banking franchise, Citi has benefited from final yr’s rise in rates of interest, which has allowed banks to cost extra for loans and bank cards.
Complete income throughout Citi was $18.58 billion, down 2% from a yr earlier. That’s largely according to analysts’ expectations.