Citigroup Inc. today reported net income for the second quarter 2021 of $6.2 billion, or $2.85 per diluted share, on revenues of $17.5 billion. This compared to net income of $1.1 billion, or $0.38 per diluted share, on revenues of $19.8 billion for the second quarter 2020.
Revenues decreased 12% from the prior-year period, primarily reflecting normalization in market activity in Fixed Income Markets within the Institutional Clients Group (ICG), along with lower average card loans in Global Consumer Banking (GCB), as well as the impact of lower interest rates. Net income of $6.2 billion increased significantly from the prior-year period driven by the lower cost of credit. Earnings per share of $2.85 also increased significantly from the prior-year period, reflecting the growth in net income, as well as a slight decline in shares outstanding.
Jane Fraser, Citi CEO, said, “The pace of the global recovery is exceeding earlier expectations and with it, consumer and corporate confidence is rising. We saw this across our businesses, as reflected in our performance in Investment Banking and Equities as well as markedly increased spending on our credit cards. While we have to be mindful of the unevenness in the recovery globally, we are optimistic about the momentum ahead.
“During the first half of the year, we returned nearly $7 billion in capital to our shareholders, the most that was permitted by the Federal Reserve. We ended the quarter with a Common Equity Tier One ratio of 11.9% and we intend to continue to return our excess capital, over and above the amount we need to make strategic investments. We are making progress on our strategy refresh across our consumer and institutional businesses. Our overarching goal is to increase the returns we generate and close the gap with our peers. We have set out to modernize our bank and want to achieve nothing less than excellence in our risk and control environment, our operations and our service to clients,” Fraser concluded.
Percentage comparisons throughout this press release are calculated for the second quarter 2021 versus the second quarter 2020, unless otherwise specified.
