Citigroup (NYSE:C) reported rising net income and better-than-expected revenue for the first quarter, boosting its stock Friday.
The bank amassed $4.6 billion in net income versus $4.3 billion in the same period last year, as well as $21.45 billion in revenue versus $19.99 billion expected. Earnings amounted to $2.19 per share for the quarter. It was not clear how comparable that number is to estimates, but it appeared to be a solid beat.
Personal banking revenue rose 18% year over year, reflecting higher interest rates. Fixed income markets revenue rose 4% year over year, though that was offset by declines in investment banking and equity markets.
One key area that investors will be looking for is how Citigroup changes its allowance for loan losses, which can be a sign of how a bank’s management views the state of the economy. Citigroup reported a total cost of credit of $1.98 billion, slightly above the $1.89 billion provision for credit losses expected by analysts, according to Street Account.
The bank’s deposit flows are likely to be a key topic on the call with shareholders and analysts. After the failure of Silicon Valley Bank and Signature Bank last month, many expect that largest banks will have higher deposits from customers who pulled their money out of regional banks.
C hiked $1.33, or 2.8%, to $48.62.
