Citigroup Q2 2022 net income down by 27% to $4.5bn

Citigroup Q2 2022 results : Citigroup has reported a net income of $4.5 billion for the second quarter of 2022 (Q2 2022), a decrease of 27%, compared to $6.19 billion in the same quarter of the previous year.

The American investment banking company registered earnings per share (EPS) of $2.19, which is a 23% decline year-over-year (YoY).

According to Citigroup, its Q2 2022 net income was impacted by the higher cost of credit as well as the higher expenses, which were offset partially by the spike in revenues.

The banking group’s Q2 2022 revenues were $19.63 billion, an 11% increase compared to $17.8 billion in the same period of the prior year. The revenue growth was steered by increased rates, activities of clients in markets along with sustained momentum in the US cards businesses, which were slightly negated by a slowdown in activity in investment banking and investment fee headwinds in global wealth management as well.

Citigroup Q2 2022 net income down by 27% to $4.5bn. Photo courtesy of Raysonho @ Open Grid Scheduler / Grid Engine / Wikimedia Commons

Jane Fraser – Citigroup CEO, commenting on Citigroup Q2 2022 results, said: “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.

“In U.S. Personal Banking, the positive drivers we saw in our two credit cards businesses over the last few quarters converted into solid revenue growth this quarter, most notably a 10% growth in Branded Cards.”