<\/p>\n
Net income climbed to US$3.2 billion, in the three months ended June 30.<\/p>\n
Citi\u2019s profit rose in the second quarter, boosted by a 60 per cent jump in investment banking revenue and gains in its services division, sending the bank\u2019s shares up 2 per cent before the bell.<\/p>\n
Net income climbed to US$3.2 billion, in the three months ended June 30, the third largest US lender said . That compares with US$2.9 billion.<\/p>\n
\u201cOur results show the progress we are making in executing our strategy and the benefit of our diversified business model,\u201d Citi CEO Jane Fraser said in a statement.<\/p>\n
CEO Jane Fraser is carrying out a sweeping overhaul in an effort to improve the bank\u2019s performance, cut costs and simplify its sprawling businesses.<\/p>\n
Revenue in the second quarter came in at US$20.1 billion, up 4 per cent from a year earlier, buoyed by a US$400 million gain from the conversion and partial sale of Visa stock in May.<\/p>\n
Citi now breaks out earnings individually for its five businesses \u2013 services, markets, banking, US personal banking and wealth, which were previously housed under broader divisions.<\/p>\n
The new structure is part of Fraser\u2019s efforts to cut bureaucracy and increase profits. Under it, the leaders of the segments report directly to the CEO.<\/p>\n
Investment banking fees jumped 60 per cent in the second quarter to US$853 million. The surge comes as a prolonged industry-wide slump in deals finally shows signs of a meaningful recovery. The gains fuelled a 38 per cent climb in broader revenue for the banking division to US$1.6 billion, which also includes corporate lending.<\/p>\n
Services revenue increased 3 per cent to US$4.7 billion. The unit houses Citi\u2019s treasury and trade solutions business, which the company touts as its crown jewel. The business had flat revenue this quarter, at US$3.4 billion. It processes US$5 trillion of payments a day for multinational corporations across 180 countries.<\/p>\n
Markets revenue climbed 6 per cent to US$5.1 billion, lifted by a 37 per cent jump in equities trading revenue.<\/p>\n
Operating expenses fell 2 per cent to US$13.4 billion, as the bank saved money from the reorganisation that simplified its structure.<\/p>\n
The wealth management division, a key part of Fraser\u2019s growth strategy, has yet to grow significantly, with revenue up 2 per cent this quarter to US$1.8 billion.<\/p>\n
US personal banking revenue grew 6 per cent, reaching US$4.9 billion, mainly due to growth in branded cards.<\/p>\n
Analysts have called 2024 a transitional year for Citi as it becomes leaner under Fraser\u2019s turnaround.<\/p>\n
Investors have also cheered the efforts and rewarded Fraser with a 28 per cent jump in the bank\u2019s stock this year, far outperforming closest rivals JPMorgan Chase and Bank of America , as well as the broader equity markets.<\/p>\n
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Net income climbed to US$3.2 billion, in the three months ended June 30. Citi\u2019s profit rose in the second quarter, boosted by a 60 per cent jump in investment banking revenue and gains in its services division, sending the bank\u2019s shares up 2 per cent before the bell. Net income climbed to US$3.2 billion, in […]<\/p>\n","protected":false},"author":1,"featured_media":2165,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-2164","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-bez-rubriki"],"featured_image_src":{"landsacpe":["https:\/\/relinvestmentsgroup.com\/wp-content\/uploads\/2024\/07\/Citi-Bank-11-1140x445.jpeg",1140,445,true],"list":["https:\/\/relinvestmentsgroup.com\/wp-content\/uploads\/2024\/07\/Citi-Bank-11-463x348.jpeg",463,348,true],"medium":["https:\/\/relinvestmentsgroup.com\/wp-content\/uploads\/2024\/07\/Citi-Bank-11-300x200.jpeg",300,200,true],"full":["https:\/\/relinvestmentsgroup.com\/wp-content\/uploads\/2024\/07\/Citi-Bank-11.jpeg",2000,1334,false]},"_links":{"self":[{"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/posts\/2164","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/comments?post=2164"}],"version-history":[{"count":1,"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/posts\/2164\/revisions"}],"predecessor-version":[{"id":2166,"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/posts\/2164\/revisions\/2166"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/media\/2165"}],"wp:attachment":[{"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/media?parent=2164"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/categories?post=2164"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/tags?post=2164"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}