The Financial services giant, Citigroup, published its quarterly numbers for Q2 2022, yesterday. The company took a major hit in net income as the figure reached $4.5 billion, compared to $6.2 billion in the second quarter of 2021.
Revenues for the latest quarter came in at $19.6 billion. Also, earnings per share (EPS) dropped from $2.85 in Q2 2021 to $2.19 in Q2 2022. Among growing business segments, the Institutional Clients Group witnessed the biggest jump as revenues climbed by almost 20% YoY in the latest quarter.
In Q2 2022, its net interest income saw a jump due to strong volumes across Institutional Clients Group and Personal Banking and Wealth Management.
“While the world has changed since our Investor Day in March, our strategy has not, and we are executing it with discipline and urgency. Treasury and Trade Solutions fired on all cylinders as clients took advantage of our global network, leading to the best quarter this business has had in a decade. Trading volatility continued to create strong corporate client activity for us, driving revenue growth of 25% in Markets. While economic sentiment clearly impacted Investment Banking and Wealth Management, we continue to invest in these businesses, and we like where they are headed,” Jane Fraser, the CEO of Citigroup, commented.
Across the Personal Banking segment in the US, Citi has witnessed decent growth, mainly due to a jump of approximately 10% in branded cards.
Macroeconomic Environment
In the quarterly report, Fraser highlighted the impact of challenging macroeconomic and geopolitical conditions. According to Citigroup's CEO, the company aims to generate significant capital for its investors.
“In a challenging macro and geopolitical environment, our team delivered solid results, and we are in a strong position to weather uncertain times, given our liquidity, credit quality and reserve levels. I am particularly pleased with our capital strength,” Fraser said.
