Citigroup share price down 1% after Q1 results revenue miss
The US bank had high profits, but worse-than-expected revenue in its latest earnings report.
![Trader](http://a.c-dn.net/c/content/dam/publicsites/igcom/uk/images/news-article-image-folder/BG_chart_data_graph_trader_21981919.png/jcr:content/renditions/original-size.webp)
Citigroup share price is down 1% after a mixed earnings report. Citigroup’s Q1 earnings rose, but the bank had diminished revenue after lowered Q1 guidance from the US bank.
Citigroup earnings: key figures
Earnings per share (EPS) | $1.87 |
Revenue | $18.6 billion |
Equities trading | $842 million |
Investment bank revenue | $1.354 billion |
Citigroup share price down 3% as Q1 results revenue misses estimates
Citigroup’s Q1 earnings per share were $1.87, more than the $1.80 Wall Street expected because of growth in investment banking throughout the quarter. While the bank’s earnings exceeded expectations, Citigroup’s Q1 revenue was $18.576 billion, slightly less the predicted $18.634 billion.
Equities trading dropped by 24% to $842 million because of ‘lower market values’ and flat revenue in Asia, according to Citigroup. That decline likely led to the drop in Citigroup’s revenue.
Chief executive officer,(CEO),Michael Corbat, touted Citigroup’s Q1 earnings in a press release.
‘Our earnings reflect the progress we are making to improve our return on and return of capital. Both our consumer and institutional businesses performed well and we saw good momentum in those areas where we have been investing,’ said Corbat.
Corbat also commented on the growth in Citigroup’s Q1 profits in North America.
‘Importantly, our strategy in North America consumer banking is showing good early results as we introduce new products and engage with a broader range of customers, through digital channels,’ added Corbat.
How did Citigroup’s Q1 earnings compare to other banks?
Compared to other banks like Wells Fargo, Citigroup’s Q1 revenue was similar. Wells Fargo also had high earnings, but a decline in revenue. Compared to JPMorgan Chase’s record revenue, Citigroup’s Q1 earnings were worse than that bank’s profits.
What’s next for Citigroup’s Q2 earnings?
While Citigroup didn’t offer guidance for Q2, there will be an organizational change for the bank as president, Jamie Forese, is retiring after 30 years with Citigroup. Corbat offered a general statement expressing optimism about Citigroup’s revenue.
‘We remain committed to executing our strategy and continuing to make steady progress towards our financial targets,’ added Corbat.
Financial experts made predictions for Citigroup’s revenue in the future. Wall Street estimates that Citigroup’s earnings per share in Q2 will be $1.87 and Citigroup’s revenue will be $18.73 billion.
Citigroup’s Q1 profits report shows conflicting US banks results
Citigroup’s Q1 earnings shows that though the bank’s profits are improving on some areas, there is a slowdown in other sectors of Citigroup’s revenue. Citigroup’s mixed earnings show that US banks are benefiting from the increase in its investment banking division. However, banks are also affected by global volatility overseas as well.
This information has been prepared by IG, a trading name of IG Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.
CFDs are a leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your initial deposit, so please ensure that you fully understand the risks involved.
![](http://a.c-dn.net/c/content/dam/publicsites/igcom/uk/images/Rebrand/Article_banners/Shares-global-component-banner.jpg/jcr:content/renditions/original-size.webp)
Act on stock opportunities today
Go long or short on thousands of international stocks with CFDs.
- Get full exposure for a comparatively small deposit
- Trade on spreads from just 0.1%
- Get greater order book visibility with direct market access
See opportunity on a stock?
Try a risk-free trade in your demo account, and see whether you’re on to something.
- Log in to your demo
- Try a risk-free trade
- See whether your hunch pays off
See opportunity on a stock?
Don’t miss your chance – upgrade to a live account to take advantage.
- Trade a huge range of popular stocks
- Analyse and deal seamlessly on fast, intuitive charts
- See and react to breaking news in-platform
See opportunity on a stock?
Don’t miss your chance. Log in to take advantage while conditions prevail.
Live prices on most popular markets
- Forex
- Shares
- Indices
Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.