Citigroup Earnings Live: Stock Surging After Earnings Beat on EPS and Revenue

CitiGroup (NYSE: C | C Price Prediction) share are up 2.10% pre-market after earnings beat expectations, with adjusted EPS up 29% year over year increase and 8% jump in revenue. Analysts expected adj. EPS of $1.63 on $20.83 billion in revenue.

Citigroup Q2’25 Earnings Highlights:

• Adj. EPS: $1.96 ✅; UP +29% YoY
• Revenue: $21.7B; UP +8% YoY
• Net Income: $4.0B; UP +25% YoY

Q2’25 Outlook:

– Citigroup continues to focus on improving performance across its interconnected businesses, aiming for sustainable growth despite macroeconomic challenges. The company is committed to driving higher returns and taking market share.

Q2 Segment Performance:
• Services Revenue: $5.1B; UP +8% YoY
• Markets Revenue: $5.9B; UP +16% YoY
• Banking Revenue: $1.9B; UP +18% YoY
• Wealth Revenue: $2.2B; UP +20% YoY
• U.S. Personal Banking Revenue: $5.1B; UP +6% YoY
• All Other Revenue: $1.7B; DOWN -14% YoY

Other Key Q2 Metrics:
• Adj. Operating Expenses: $13.6B; UP +2% YoY
• Effective Tax Rate: 23% (vs. 24% YoY)
• Book Value per Share: $106.94; UP +7% YoY
• Tangible Book Value per Share: $94.16; UP +8% YoY
• CET1 Capital Ratio: 13.5%
• Supplementary Leverage Ratio: 5.5%
• Total Allowance for Credit Losses: $23.7B

CEO Commentary:
– Jane Fraser: “We reported another very good quarter and continue to demonstrate that our strong results are sustainable through different environments. We’re improving the performance of each of our businesses to take share and drive higher returns. With revenue up 8%, Services continues to show why this high-return business is our crown jewel. Markets had its best second quarter performance since 2020 with a record second quarter for Equities. Banking revenues were up 18% and we continue to be at the center of some of the most significant transactions. Wealth revenues were up 20% with solid growth across all three lines of business. In U.S. Personal Banking, we saw good growth in Branded Cards while Retail Banking benefited from higher deposit spreads. We returned $3 billion in capital during the quarter, including $2 billion in share repurchases as part of our $20 billion repurchase plan. I’m particularly pleased that the momentum across our franchise includes the Transformation, as we streamline processes, drive automation and deploy AI. As I’ve said, next year’s 10-11% ROTCE target is a waypoint, not a destination. The actions we’ve taken have set up Citi to succeed long term, drive returns above that level and continue to create value for shareholders.”

Strategic Updates:
– Citigroup is focusing on its transformation initiatives, including streamlining processes and deploying AI to enhance operational efficiency and drive growth across its business segments. The company is also committed to returning capital to shareholders through dividends and share repurchases.