Citigroup's Q4 Profit Surge and $20 Billion Buyback: A Winning Combination

Citigroup Inc. (NYSE: C) has just reported a robust fourth quarter, with net income of $2.86 billion and earnings per share (EPS) of $1.34, surpassing analyst expectations of $1.22. Revenue for the quarter came in at $19.58 billion, also exceeding the expected $19.49 billion. This strong performance can be attributed to growth in investment banking and equity markets revenue, which helped drive a better-than-expected report for Citi in the third quarter and continued into the fourth quarter.



Citigroup's CEO, Jane Fraser, highlighted the bank's ongoing regulatory challenges, including recent actions by the Federal Reserve and the Office of the Comptroller of the Currency (OCC) related to consent orders from 2020. Despite these hurdles, Citigroup's balance sheet remains strong, with a Common Equity Tier 1 (CET1) ratio of 13.6%. The bank plans to return capital to shareholders through dividends and a $1 billion common share buyback in the current quarter.