Citigroup (NYSE:C) delivered better-than-anticipated earnings for the second quarter, driven by robust trading income and a resurgence in dealmaking activities.
The financial institution reported earnings per share of $1.96, exceeding the consensus analyst forecast of $1.61.
Revenue climbed 4% to reach $21.67 billion, topping estimates of $20.94 billion.
Market volatility fueled by shifting interest rate outlooks and trade policy developments, including President Trump’s tariff announcements in April, bolstered Citigroup’s trading operations.
Equity trading revenue reached a new high for Q2, while overall markets revenue was the strongest since 2020.
Banking revenue increased 18%, reflecting improved deal flow, and wealth management grew 20% due to widespread strength. Growth in U.S. branded credit cards and wider deposit spreads also supported retail banking.
CEO Jane Fraser described the Services division as a “crown jewel,” with revenues in this segment rising 8%.
During the quarter, Citigroup returned $3 billion to shareholders, comprising $2 billion in share repurchases.
Fraser highlighted progress in the bank’s transformation initiatives, emphasizing automation and AI, and reiterated a goal of achieving a 10–11% return on tangible common equity in the coming year.
This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.