Daily Management Review

Citigroup's Q1 profit drops by 46%


Citigroup's net income fell 46% in the first quarter, including due to Russia's invasion to Ukraine. The company set aside an extra $1.9 billion in case risks in Russia increase and the conflict has a greater impact on the economic situation.

Matt Buck
Matt Buck
Citigroup's first-quarter net income fell 46 percent year on year to $4.3 billion, the company said on its website. 

For the period, earnings were $2.02 per share, although analysts had expected earnings of $1.55 per share, Reuters points out, citing data from Refinitiv IBES. The company posted net income of $7.9 billion ($3.62 per share) in January through March of last year. The company's revenue in the first quarter fell by 2% to $19.2 billion.

This dynamic is due to a reduction in reserves to cover losses related to Russia, lower underwriting fees and rising costs, Reuters noted. Citi set aside an additional $1.9 billion in reserves in case risks in Russia increase and the impact of Russia’s actions in Ukraine on the macroeconomic situation increases.

source: reuters.com