Citigroup Reports Strong Q1 2025 Earnings with EPS Up 21%

2025-04-15 companies

New York, Wednesday, 16 April 2025.
Citigroup’s Q1 2025 earnings showcase a 21% profit increase with EPS at $1.96, driven by robust revenues and strategic expense management.

Earnings Upsurge and Strategic Moves

Citigroup, trading under the ticker symbol C, recently announced a substantial increase in its first-quarter earnings for 2025, with earnings per share (EPS) rising to $1.96 from the $1.58 recorded in the same period last year. This 24% year-over-year increase in EPS reflects a profit surge underpinned by effective expense management and solid revenue generation, specifically in fixed income and equities trading. The bank’s overall revenue reached $21.6 billion, marking a 3% increase compared to the previous year, aided by gains across its diverse business units [1][2].

Revenue Sources and Segment Performance

Citigroup reported robust performance across its five key business segments. The markets business saw significant growth, with equity market revenues surging by 23%, and revenues from fixed income trading rising by 8% year-over-year. Such gains were propelled by increased client activity and market volatility, as well as strategic moves to optimize operating costs [3][4]. Moreover, Citigroup’s net interest income reached $14 billion, representing a 4% increase from the prior year, driven largely by higher deposit balances and favorable loan spreads [5].

Capital Returns and Shareholder Value

In line with its capital strategy, Citigroup returned approximately $2.8 billion to shareholders through buybacks and dividends in the first quarter. This included $1.75 billion in share repurchases as part of a $20 billion multi-year buyback program initiated in January 2025. This strategic initiative underscores Citigroup’s commitment to enhancing shareholder value and maintaining robust capital reserves. The bank’s Common Equity Tier 1 (CET1) capital ratio stood at a solid 13.4%, exceeding regulatory requirements and illustrating prudent financial management [1][6].

Market Conditions and Future Outlook

While addressing investor concerns, Citigroup CEO Jane Fraser expressed confidence in the bank’s ability to navigate diverse macroeconomic scenarios. Fraser noted the resilience of Citigroup’s business model, which is designed to adapt and perform amid fluctuating market conditions. Looking ahead, the bank anticipates further growth driven by increased consumer lending and investment banking activities, as well as the ongoing execution of its strategic initiatives [4][7].

Sources

earnings Citigroup