ADVFN - Advanced Financial Network.
HOME» NYSE » C » C Stock Price » C Stock News

Citigroup Share News

 Citigroup Stock Price
C Stock Price
 Citigroup Stock Chart
C Stock Chart
 Citigroup Stock News
C Stock News
 Citigroup Company Information
C Company Information
 Citigroup Stock Trades
C Stock Trades

Citigroup's Profit Falls 12% But Still Tops Views

Citigroup Inc.'s (C) second-quarter profit fell 12% from a year earlier amid a decline in revenue and a smaller benefit from releasing reserves set aside for losses from defaulting loans. Citi's focus has been on growing abroad and cutting expenses, but second-quarter results were caught in the cross current of the rising dollar--but benefited in North America from the booming mortgage business driven by low interest rates and government programs for struggling home owners. The $2.9 billion profit, flat from the first quarter, beat the average analyst estimate. Revenue fell 9.7% from a year earlier, to $18.6 billion, and slipped slightly from the first quarter in part because Citi's $219 million gain from the valuation of its own debt was considerably smaller than the loss in previous quarters. Chief Executive Vikram Pandit called the quarter "solid" and pointed to the diverse set of businesses. Expenses declined, and Pandit reiterated that the focus on reducing operating costs would continue. Total loans rose 1% from a year earlier, to $655 billion. Pandit rebuilt Citi after the financial crisis around its international operations. But, uncharacteristically, the consumer business in North America ended up doing better than abroad because revenue from deposits and consumer lending in Asia and Latin America were hampered by the impact of translating the foreign currency income into dollars. Revenue in the international consumer business would have been up 4% had currency swings not pushed the revenue down, while revenue in North America's consumer business remained flat. Overall, revenue in Citi's consumer business remained roughly flat from a year earlier, at $9.8 billion. Net income in all consumer businesses fell slightly from a year earlier, to $2 billion, and rose in securities and banking, to $1.4 billion. Capital markets revenue, however, held its own in a difficult trading quarter where bankers struggled with uncertainties about economic growth in the U.S. and Asia, while Europe continued to struggle with its debt crisis. The securities and banking segment's revenue were flat from a year earlier and rose slightly from the previous quarter, benefiting from the strength in the interest rates and currency markets. Citi's third segment, transaction services, did well as usual. And Citi Holdings--the division in charge of shrinking assets and business that are troubled or Citi no longer considers core to its operations--continued to shrink as planned; it generated a $920 million loss. Citi reduced its reserve for bad loans by $984 million, half of what it released into earnings a year earlier, and booked a $424 million loss from the sale of a 10% stake in Akbank TAS (AKBNK.IS). Citi retains a 9.9% stake in the Turkish bank. Citi's per-share earnings of 95 cents beat analysts' estimates, even excluding the gain from the valuation of its own debt. Analysts polled by Thomson Reuters had expected 89 cents a share, excluding mark-to-market adjustments on debt gains. --Saabira Chaudhuri contributed to this article. Write to Matthias Rieker at matthias.rieker@dowjones.com

Stock News for Citigroup (C)
DateTimeHeadline
09/02/201404:40:07European Investors Eye Ukraine, ECB
09/01/201407:06:48Dubai's Emirates NBD Plans Benchmark Bond Sale - Source
08/25/201416:31:38Communications Equipment Maker Comtech Mulls Sale -Reuters
08/22/201412:00:09Avolon Pursues IPO as Sale Talks Continue
08/15/201419:26:47Sycamore Preps Shoe Retailer Stuart Weitzman for Sale -Reuters
08/15/201405:27:09Brevan Howard rehires rates-trader Chris Cecere
08/14/201412:49:49European Stocks Gain Despite Weak Growth Figures--2nd Update
08/13/201419:53:15Carlyle Planning IPO for Auto-Paint Firm Axalta -Bloomberg
08/13/201413:20:14Puerto Rico Power Authority Faces Credit Deadline
08/13/201413:06:07Puerto Rico Power Authority Faces Thursday Deadline to Extend...
08/13/201410:40:15Pound Falls on BOE Interest Rate Caution
08/12/201420:39:13Banks Retreat From Market That Keeps Cash Flowing
08/12/201410:10:15China to Raise Nonresidential Natural-Gas Prices
08/10/201422:30:30Citigroup, Mercuria Spar Over China Metals Payment
08/10/201419:55:11Citigroup, Mercuria Battle Over China Metals-Backed Financing...
08/07/201423:30:41BMW China Cuts Prices on Spare Parts
08/06/201402:00:33Audi, Chrysler to Be Punished Over Monopoly Practices in China
08/05/201416:10:12Trustees Seek More Time on Citigroup Settlement
08/05/201415:52:28Trustees Get Extension in Citigroup's Mortgage-Securities Settlement
08/01/201414:30:44Citigroup Could Lose up to $80 Million From Argentina Default

Citigroup and other New York Stock Exchange stock quotes are delayed by at least 20 minutes.
All other stock price data is delayed by at least 15 minutes unless otherwise stated.
By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions
Contact Us | Copyright 1999-2007 ADVFN PLC. | Privacy Policy | Investment Warning | Data accreditations | Investor Relations

ADVFNADVFN ItalyADVFN GermanyADVFN FranceADVFN BrazilADVFN JapanADVFN UKADVFN US noad