Finance USA

Jan 14 2020

Earnings per share




<a rel="nofollow" target="_blank" title="Earnings" href="http://earnings.remmont.com/">Earnings</a> <a rel="nofollow" target="_blank" title="per" href="http://internet.remmont.com/albtelecom-eagle-mobile-phone-high-speed-internet/">per</a> share-<a rel="nofollow" target="_blank" title="Earnings" href="http://earnings.remmont.com/">Earnings</a> <a rel="nofollow" target="_blank" title="per" href="http://internet.remmont.com/albtelecom-eagle-mobile-phone-high-speed-internet/">per</a> share
Earnings per share-Get the latest financial news from Citi, the worldwide leader in consumer and corporate banking.



Citigroup Reports First Quarter 2013 Earnings per Share of $1.23; $1.29 Excluding CVA/DVA 1

Revenues of $20.5 Billion; $20.8 Billion Excluding CVA/DVA Net Interest Margin Increased to 2.94% Net Credit Losses of $3.0 Billion Declined 25% Versus Prior Year Period Loan Loss Reserve Release of $652 Million Versus $1.2 Billion in Prior Year Period Utilized $700 Million of Deferred Tax Assets Basel I Tier 1 Common Ratio of 11.8%, Reflecting New U.S. Market Risk Rules 2 Estimated Basel III Tier 1 Common Ratio Increased to 9.3% 3 Book Value per Share Increased to $62.51 Tangible Book Value per Share 4 Increased to $52.35 Citigroup Deposits of $934 Billion Grew 3% Versus Prior Year Period Citicorp Loans of $539 Billion Grew 5% Versus Prior Year Period Citi Holdings Assets of $149 Billion Declined 29% from Prior Year Period and Represented 8% of Total Citigroup Assets at Quarter End New York – Citigroup Inc. today reported net income for the first quarter 2013 of $3.8 billion, or $1.23 per diluted share, on revenues of $20.5 billion. This compared to net income of $2.9 billion, or $0.95 per diluted share, on revenues of $19.4 billion for the first quarter 2012. CVA/DVA was $(319) million ($(198) million after-tax) in the first quarter, mainly resulting from the improvement in Citigroup’s credit spreads, compared to $(1.3) billion ($(800) million after-tax) in the prior year period. First quarter 2012 results included a net gain of $477 million on minority investments ($308 million after-tax) 5 . Excluding CVA/DVA in both periods and the gain on minority investments in the first quarter 2012, first quarter 2013 revenues increased 3% from the prior year period to $20.8 billion. First quarter 2013 earnings were $1.29 per diluted share, representing a 16% increase from prior year earnings of $1.11 per diluted share (excluding CVA/DVA and the gain on minority investments in first quarter 2012), as higher revenues and lower net credit losses were partially offset by higher legal and related expenses, a lower loan loss reserve release and a higher effective tax rate. Michael Corbat, Chief Executive Officer of Citi, said: “Achieving consistent, high-quality earnings is one of my top priorities and these results are encouraging. During the quarter, we benefitted from seasonally strong results in our markets businesses, sustained momentum in investment banking, continued year-over-year growth in loans and deposits in Citicorp, and a more favorable credit environment. However, the environment remains challenging and we are sure to be tested as we go through the year. “In addition to our performance across business lines, there were several other areas where we made progress. We reduced the drag on earnings caused by Citi Holdings and utilized a modest amount of our deferred tax assets. Our capital strength again improved during the quarter with the Tier 1 Common Ratio increasing to an estimated 9.3% on a Basel III basis. It is critical that Citi be viewed as an indisputably strong and stable institution and we made progress towards that goal,” Mr. Corbat concluded. Citigroup revenues of $20.8 billion in the first quarter 2013 increased 3% from the prior year period, excluding CVA/DVA and the gain on minority investments in the first quarter 2012. This increase was driven by 2% growth in Citicorp revenues and 15% growth in Citi Holdings revenues. Citicorp revenues 6 of $19.6 billion in the first quarter 2013 included $(310) million of CVA/DVA reported within Securities and Banking. Citicorp revenues of $19.9 billion increased 2% from the prior year period, excluding CVA/DVA and the impact of minority investment in the first quarter 2012. Securities and Banking revenues grew 8% (excluding CVA/DVA), Global Consumer Banking (GCB) revenues were flat and Transaction Services (CTS) revenues were down 4%, all versus the prior year period. Citi Holdings revenues of $901 million in the first quarter 2013 included $(9) million of CVA/DVA. Excluding CVA/DVA, Citi Holdings revenues were $910 million, up 15% versus the prior year period. Higher revenues in the Special Asset Pool drove the improvement in Citi Holdings revenues from the prior year period reflecting lower asset marks and lower funding costs. The improvement in Special Asset Pool revenues was partially offset by a decline in Local Consumer Lending revenues, mainly due to the continuing decline in assets. Total Citi Holdings assets of $149 billion declined $60 billion, or 29%, from the first quarter 2012. Citi Holdings assets at the end of the first quarter 2013 represented approximately 8% of total Citigroup assets. Citigroup’s net income rose to $3.8 billion in the first quarter 2013 from $2.9 billion in the prior year period. Excluding the impact of CVA/DVA and the gain on minority investments in the first quarter of 2012, Citigroup net income increased 17% to $4.0 billion. This increase was driven by revenue growth and lower net credit losses, partially offset by higher expenses, a lower loan loss reserve release and a higher effective tax rate. Operating expenses of $12.4 billion were 1% higher than the prior year period mainly reflecting an increase in legal and related costs and repositioning charges. Citigroup’s cost of credit in the first quarter 2013 was $2.5 billion, a decrease of 16% over the prior year period, reflecting a $994 million improvement in net credit losses partially offset by a $513 million decline in net loan loss reserve releases. The higher effective tax rate reflected both higher earnings in North America as well as a higher tax rate on international operations due to a first quarter 2013 change in the assertion that earnings in certain international entities would be permanently reinvested outside the U.S. Citigroup’s allowance for loan losses was $23.7 billion at quarter end, or 3.7% of total loans, compared to $29.0 billion, or 4.5% of total loans, at the end of the prior year period. The loan loss reserve release of $652 million in the quarter was down 44% from the prior year period. Reserve releases in Citicorp of $301 million compared to $589 million in the first quarter 2012, predominantly reflecting lower releases in North America GCB, largely related to Citi-branded cards. Citi Holdings recorded a net loan loss reserve release of $351 million in the first quarter 2013, compared to a net reserve release of $576 million in the prior year period, which included approximately $350 million of reserve releases related to previously deferred principal balances on modified mortgages. Citigroup asset quality remained largely stable to improving in the first quarter 2013 as total non-accrual assets fell 9% to $11.1 billion compared to the first quarter 2012. Corporate non-accrual loans decreased 16% to $2.5 billion from the first quarter 2012, while consumer non-accrual loans decreased 5% to $8.1 billion. The decline in consumer non-accrual loans occurred despite the third quarter 2012 OCC guidance regarding the treatment of mortgage loans where the borrower has gone through Chapter 7 bankruptcy which added $1.5 billion to consumer non-accrual loans. Consumer loans that were 90+ days delinquent, excluding the Special Asset Pool, declined 26% versus the prior year period to $6.6 billion, or 1.7% of consumer loans. Citigroup’s capital levels and book value per share increased versus the prior year period. As of quarter end, book value per share was $62.51 and tangible book value per share was $52.35, 1% and 3% increases respectively versus the prior year period. At quarter end, Citigroup’s Basel I Tier 1 Capital Ratio was 13.1% and its Basel I Tier 1 Common Ratio was 11.8%, each reflecting the final U.S. market risk capital rules (Basel II.5) which became effective on January 1, 2013. Citigroup’s estimated Basel III Tier 1 Common Ratio was 9.3% at the end of the first quarter 2013. Citicorp
Citicorp revenues of $19.6 billion in the first quarter 2013 increased by 6% from the prior year period. CVA/DVA, reported within Securities and Banking, was $(310) million in the first quarter 2013, compared to $(1.4) billion in the prior year period. Excluding CVA/DVA and the gain on minority investments in first quarter 2012, revenues were $19.9 billion, up 2% from the first quarter 2012 driven by 8% growth in Securities and Banking revenues to $7.3 billion while GCB revenues were flat at $10.0 billion and CTS revenues declined 4% to $2.6 billion. Corporate/Other revenues of $(7) million were roughly flat versus the prior year period, excluding the gain on minority investments in the first quarter 2012. Citicorp net income increased 17% from the prior year period to $4.6 billion, as revenue growth, lower operating expenses and lower net credit losses were partially offset by lower loan loss reserve releases and a higher effective tax rate. Citicorp operating expenses decreased 2% from the prior year period to $10.9 billion, largely reflecting lower legal and related expenses. Citicorp cost of credit of $1.8 billion in the first quarter 2013 increased 6% from the prior year period. The increase reflected lower loan loss reserve releases, which declined 49% to $301 million, partially offset by lower net credit losses, which declined 9% to $2.0 billion compared to the prior year period. The decline in reserve releases was largely in North America GCB and primarily related to Citi-branded cards. Citicorp’s consumer loans 90+ days delinquent declined 12% from the prior year period to $2.9 billion, and the 90+ days delinquency ratio decreased 15 basis points to 1.02% of loans. Citicorp end of period loans grew 5% versus the prior year period to $539 billion, reflecting growth in corporate loans and Latin America consumer loans. Consumer loans grew 1% to $290 billion and corporate loans grew 9% to $249 billion, both versus the prior year period. Global Consumer Banking
GCB revenues of $10.0 billion were flat versus the prior year period, as volume growth in most businesses was offset by the continuing impact of spread compression globally and consumer deleveraging in North America. Revenues in international GCB grew 3% to $4.9 billion on a constant dollar basis (excluding the impact of foreign exchange translation into U.S. dollars 6 ; the impact of FX on international GCB results was negative in the first quarter 2013 with revenues up only 1% on a reported basis), offset by a 1% decline in revenues in North America GCB to $5.1 billion. GCB net income declined 11% versus the prior year period to $1.9 billion, predominantly driven by lower loan loss reserve releases, higher operating expenses and a higher effective tax rate, partially offset by lower net credit losses. Expenses of $5.3 billion rose 2% versus the prior year period driven by higher volume related costs and repositioning charges that were partially offset by lower legal and related costs and efficiency savings. North America GCB revenues declined 1% to $5.1 billion driven mainly by lower retail banking revenues with total cards revenues (Citi-branded cards and Citi retail services) flat versus the prior year period. Retail banking revenues declined 3% to $1.6 billion from the first quarter 2012, primarily reflecting the ongoing impact of spread compression, partially offset by higher volumes. Mortgage banking volumes remained strong, although margins declined versus the prior year period. Citi-branded cards revenues declined 1% to $2.0 billion, reflecting lower average loan balances as Citi-branded cards loans declined 5% partially offset by an improvement in net interest spreads. Citi retail services revenues increased 1% to $1.5 billion driven by improved net interest spreads that were partially offset by a 2% decline in average loans versus the prior year period. Citi retail services revenues were also negatively impacted by higher contractual partner payments due to the impact of improving credit trends. North America GCB net income was $1.1 billion, 14% lower than the first quarter 2012. The decline in net income was driven by slightly lower revenues, higher operating expenses and a reduction in loan loss reserve release, partially offset by lower net credit losses. Operating expenses in the first quarter were up 4% versus the prior year period to $2.4 billion reflecting volume related growth and higher repositioning charges, partially offset by efficiency savings. North America GCB credit quality continued to improve as net credit losses declined 23% to $1.3 billion compared to the prior year period. Net credit losses improved in Citi-branded cards (down 23% to $692 million), Citi retail services (down 24% to $508 million) and in retail banking (down 11% to $55 million) versus the prior year period. International GCB revenues grew 1% to $4.9 billion from the prior year period and grew 3% on a constant dollar basis versus the first quarter 2012, with 6% growth in Latin America to $2.6 billion, a 2% increase in EMEA to $368 million and a 1% decline in Asia to $2.0 billion. The decline in revenues in Asia reflected the continued low interest rate environment and ongoing regulatory changes in the region. International GCB net income declined 5% from the prior year period to $833 million as revenue growth was negatively offset by higher operating expenses and cost of credit, as well as a higher effective tax rate. Operating expenses in the first quarter 2013 increased 1% to $2.9 billion (up 3% on a constant dollar basis) driven by volume growth, partially offset by efficiency savings, while credit costs increased 4% versus the prior year (6% on a constant dollar basis). International GCB credit quality remained fairly stable even as loan portfolios continued to grow and season. Net credit losses rose 14% to $737 million from the prior year period, but were down 2% from fourth quarter net credit losses of $755 million. The international net credit loss rate was 2.12% of average loans in the first quarter 2013, slightly improved from 2.15% in the fourth quarter 2012 and up from 1.92% in the prior year period. Securities and Banking
Securities and Banking revenues rose 31% from the prior year period to $7.0 billion. Excluding the impact of the $(310) million of CVA/DVA in the first quarter 2013 (compared to $(1.4) billion in the prior year period), Securities and Banking revenues were $7.3 billion, 8% higher than the prior year period. Investment Banking revenues of $1.1 billion increased 22% from the prior year period, with growth in all major products. Debt underwriting revenues increased 5% to $634 million and equity underwriting revenues increased 45% to $225 million. Advisory revenues of $204 million were 84% higher than the prior year period. Equity Markets revenues of $826 million in the first quarter 2013 (excluding $(16) million of CVA/DVA) were 10% below the prior year period, driven in part by the impact of lower volatility on derivatives revenues. Fixed Income revenues of $4.6 billion in the first quarter 2013 (excluding $(293) million of CVA/DVA) declined 3% from the prior year as rates and currencies revenues were down versus a strong prior year period, partially offset by growth in securitized products. Lending revenues increased to $309 million from the prior year period, reflecting $24 million of mark-to-market losses on hedges related to accrual loans as credit spreads tightened during the first quarter 2013 (compared to a $344 million loss in the prior year period) 7 . Excluding the mark-to-market impact on hedges related to accrual loans, lending revenues declined 7% to $333 million versus the prior year primarily related to loan sale activity. Private bank revenues increased 5% to $629 million (excluding $(1) million of CVA/DVA) from the prior year period, with growth driven by North America and Asia. Securities and Banking net income was $2.3 billion in the first quarter 2013. Excluding CVA/DVA, net income rose 17% to $2.5 billion from the prior year period, primarily reflecting the increase in revenues and a decline in operating expenses, partially offset by a higher effective tax rate. Transaction Services
Transaction Services revenues were $2.6 billion, down 4% from the prior year period (down 2% in constant dollars) reflecting revenue declines in both Treasury and Trade Solutions (TTS) and Securities and Fund Services (SFS) 6 . TTS revenues of $1.9 billion declined 5% from the prior year period (declined 3% in constant dollars) as loan and deposit growth was more than offset by the impact of spread compression globally. SFS revenues of $684 million declined 1% from the prior year period, but increased 2% in constant dollars as higher settlement volumes and fees more than offset lower net interest spreads. Transaction Services net income of $764 million declined 14% from the first quarter 2012, reflecting the decline in revenues, a 3% increase in operating expenses (4% increase in constant dollars) driven by higher volumes and a higher effective tax rate. Transaction Services average deposits and other customer liability balances grew 10% versus the prior year period to $415 billion. Assets under custody increased 8% from the first quarter 2012 to $13.5 trillion. Citi Holdings
Citi Holdings revenues in the first quarter 2013 increased 2% versus the prior year period to $901 million. Revenues in the first quarter 2013 included CVA/DVA of $(9) million (compared to $88 million in the prior year period). Excluding CVA/DVA, Citi Holdings revenues increased 15% to $910 million. Local Consumer Lending revenues of $1.1 billion declined 20% from the prior year mainly reflecting a 21% decline in average assets. Special Asset Pool revenues were $(129) million (excluding CVA/DVA of $(9) million) in the first quarter 2013, compared to $(482) million (excluding CVA/DVA of $88 million) in the prior year period, predominantly reflecting lower asset marks and lower funding costs. Brokerage and Asset Management revenues were $(17) million, compared to $(48) million in the prior year period, reflecting lower funding costs given the decline in assets. As of the end of the first quarter 2013, total Citi Holdings assets were $149 billion, 29% below the prior year period, and represented approximately 8% of total Citigroup assets. Citi Holdings net loss of $794 million in the first quarter 2013 compared to a net loss of $1.0 billion in the prior year period, driven by higher revenues and lower cost of credit, partially offset by higher operating expenses. Expenses increased 23% to $1.5 billion primarily due to higher legal and related expenses versus the prior year period. Citi Holdings cost of credit declined 44% to $747 million versus the prior year period driven by lower net credit losses which decreased by $804 million or 46% from the prior year period, partly offset by a lower net loan loss reserve release of $351 million in the first quarter 2013, compared to a net reserve release of $576 million in the prior year period. Net credit losses in the first quarter 2012 included approximately $370 million of charge-offs related to previously deferred principal balances on modified mortgages, which were substantially offset with a reserve release of $350 million in the quarter.

Citi Holdings allowance for credit losses was $9.4 billion at the end of the first quarter 2013, or 8.7% of loans, compared to $12.7 billion, or 9.5% of loans, in the prior year period. 90+ days delinquent loans in Local Consumer Lending decreased 35% to $3.7 billion, or 3.80% of loans.

]]>

Earnings per share




SOURCE: http://www.citigroup.com/citi/news/2013/130415a.htm


Written by CIA


%d bloggers like this: