Citigroup (NYSE:C) on Friday posted second-quarter results that beat analysts’ expectations for profit and revenue as the firm benefited from rising interest rates and strong trading results.
Earnings per share came in at $2.19, dwarfing the $1.68 figure expected
Revenue proved to be $19.64 billion, as opposed to the $18.22 billion expected.
Profit declined 27% to $4.55 billion, or $2.19 per share, from $6.19 billion, or $2.85, a year earlier, the New York-based bank said.
That handily exceeded expectations for the quarter as analysts have been slashing earnings estimates for the industry in recent weeks.
Revenue rose a bigger-than-expected 11% in the quarter to $19.64 billion, more than $1 billion over estimates, as the bank reaped more interest income and saw strong results in its trading division and institutional services business.
“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,” Citigroup CEO Jane Fraser said in the release.
Corporate cash management, Wall Street trading and consumer credit cards performed well in the quarter, she noted.
Having a low stock price hasn’t protected Citigroup from further declines this year. It’s the cheapest of the six biggest U.S. banks from a valuation perspective, having declined 27% this year. On Thursday, Citigroup shares hit a fresh 52-week low.
They opened Friday up $2.33, or 5.3%, to $46.47.
