Citi profit jumps 42% as trading boom lifts earnings
Citigroup reported a 42% jump in first-quarter profit, driven by heightened market volatility that boosted trading activity and strong performance in investment banking.
The bank posted net income of $5.8 billion, or $3.06 per share, for the three months ended March 31, compared with $4.1 billion a year earlier. Revenue rose to $24.6 billion, its highest quarterly figure in a decade, News.Az reports, citing Reuters.
Volatility across global markets helped trading desks deliver strong results, with gains across equities, fixed income, rates, currencies, and commodities. Geopolitical tensions and sharp price swings prompted increased client activity and portfolio rebalancing, lifting volumes across asset classes.
Investment banking also contributed to the gains, with a 15% rise in revenue as dealmaking activity held up despite global uncertainty. Equity underwriting fees surged, while mergers and acquisitions advisory also recorded growth.
Chief Executive Officer Jane Fraser said the bank remains on track to meet its profitability targets for the year, highlighting continued progress in its turnaround strategy.
Citigroup also benefited from higher net interest income and growth in wealth and retail banking, though that division remained the bank’s lowest-returning segment.
Shares of Citi rose in premarket trading following the results, extending a strong 12-month rally that has more than doubled the stock price as investors gain confidence in its restructuring progress.
News.Az
By Aysel Mammadzada
