Citigroup reports drop in quarterly earnings

Citigroup, the fourth biggest US bank by assets, reported a 7.8 per cent fall in quarterly profit on Friday, hurt by lower revenue from equity trading.

The bank’s net income fell to $3.84 billion (€3.49bn) , or $1.24 per share, in the third quarter ending September 30th from $4.29 billion (€3.90bn), or $1.35 per share, a year earlier.

Citi employs 2,500 in Ireland.

Total adjusted revenue fell 4 per cent to $17.76 billion (€16.3bn). Analysts on average had estimated earnings of $1.16 per share. It was not immediately clear if the results were comparable.

Equity markets revenue fell about 34 per cent, driven by lower market activity.

In the year-earlier quarter, the bank recorded a gain of $180 million on the sale of a business in Mexico and a $140 million valuation adjustment in its equity markets division.

Citigroup, the most international of the large US banks, has been exiting less-profitable operations in markets around the world, consolidating back offices and cutting jobs to become leaner.

Adjusted revenue from Citicorp, the bank's core business, rose 0.6 per cent to $16.88 billion, while expenses rose 3 per cent to $9.58 billion.

– Reuters