Citigroup Inc (NYSE:C). saw its stock rise by 2.8% in premarket trading today, following the announcement of Q3 profits that exceeded analysts' expectations. The profits rose by 2% to $3.546 billion, or $1.63 per share, surpassing the projected figure of $1.22 per share. This increase has been primarily attributed to robust performances in core banking services and the Treasury and trade solutions unit.
The company's revenues also experienced a growth of 9%, reaching $20.1 billion, beating forecasts. Jane Fraser, CEO of Citigroup, credited this success to the bank's services business and the Treasury and trade solutions unit, which had its most profitable quarter in ten years.
Despite an 8.2% year-to-date drop in Citigroup's stock during 2023, the company managed to regain some ground with today's premarket surge. This positive shift comes amidst a comprehensive restructuring process within the bank.
As part of its restructuring strategy, Citigroup is eliminating certain layers and exiting multiple markets. Notably, the bank recently sold its consumer-wealth portfolio in China to HSBC Plc. In addition to this strategic move, Citigroup is preparing for an initial public offering (IPO) of its Banamex unit in Mexico.
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