📊 Citigroup grows after solid results!
Citigroup $C, the third-largest U.S. bank, delivered a very strong performance in the second quarter, beating analysts' expectations on almost every front. Net income rose year-over-year by 25 % to $4.02 billion, earnings per share reached $1.96 ($1.60 expected) and revenue jumped by 8 % to $21.7 billion.

📌 Growth was supported by higher net interest income (+12 %), solid performance in services, trading and investment banking, and steady demand for retail loans.

💼 A detailed look at the numbers:
Services revenue: +8% to USD 5.1 billion

Markets trading: best Q2 since 2020, overall growth +16%

Investment Banking: +18%

Wealth Management: +20%

US Retail Banking and Credit Cards: above expectations, profit from higher margins

Loan volume: +5% y/y to USD 725bn

Deposits: +6% y/y to USD 1.4 trillion

📉 Risks and costs:
Operating expenses up 2% to USD 13.6bn, of which USD 400mn was on the lower side. USD 4.4mn in operating expenses, USD 4.4mn in technology transformation severance.

Cost of credit losses: +16% to USD 2.9bn, driven by deteriorated macro outlook and specific exposures (e.g. Russia, mortgages affected by California wildfires)

NPL volume: +49% to USD 3.4 billion

📈 Returns and shareholder remuneration:
Capital returned to shareholders: USD 3.1 billion (of which USD 2 billion in buybacks)

Dividend increased from 56 to 60 cents per share (from 2 July)

🧠 Strategy and Outlook:
CEO Jane Fraser described the results as evidence of sustained performance across multiple cycles. She highlighted the stability of services, growing efficiencies through digitisation, automation and the use of AI, and continued restructuring in international markets (e.g. the exit from China).

Citigroup now targets full-year revenue of USD 84 billion, the high end of the original guidance.

What is your view on the performance of Citigroup and the US banking sector as a whole?