Citigroup Beats Expectations With Second-Quarter Results

Citigroup (C) reported better-than-expected results for the second quarter, with earnings and revenue ahead of Wall Street projections as global consumer banking gained ground.

Earnings rose to $1.95 a share from $1.63 a share in the same period of last year, ahead of the Capital IQ consensus for $1.81 a share. Excluding Citi’s gain from its investment in electronic trading platform Tradeweb, earnings came in at $1.83 a share, three cents better than projections.

“We navigated an uncertain environment successfully by executing our strategy, and by showing disciplined expense, credit and risk management,” said Michael Corbat, the lending giant’s chief executive.

Revenue rose 2% to $18.8 billion, ahead of the Capital IQ view for about $18.5 billion. Citi cited a pre-tax gain of $350 million from the Tradeweb investment as aiding the growth as well as higher revenue across global consumer banking. That partially offset declines in investment banking, fixed income and equity markets revenue.

Global consumer banking revenue rose to $8.51 billion from $8.24 billion in the second quarter of 2018, with North America up 3%, Latin America gaining 4% and Asia gaining 3%. Institutional clients group, or ICG, revenue was little changed at $9.7 billion and within the segment, fixed income markets revenue rose 8% while equity markets was down 9%.

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