Citigroup profit surges 48%, driven by strong trading revenue

Earnings

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A Citibank sign in front of one of the company’s offices in California.
Justin Sullivan | Getty Images

Citigroup is set to report its third-quarter earnings before the bell on Thursday.

Wall Street is anticipating earnings per share of $1.65 on revenue of $16.97 billion, based on Refinitiv consensus estimates. Within that, analysts expect $3.07 billion in revenue from fixed income trading and $909.7 million in revenue from equities trading, according to StreetAccount estimates.

In addition to the results, investors will be looking for Citi’s expectations for the economic recovery, interest rates and loan creation. They will also be looking for new insight into CEO Jane Fraser’s plan for the bank, which she took over earlier this year.

For the second quarter quarter, Citi beat expectations on the top and bottom lines thanks in part to a $1.1 billion benefit for loan loss reserves. The bank also announced in April that it was exiting retail operations in 13 non-U.S. countries.

On Wednesday, JPMorgan kicked off bank earnings season by beating profit expectations on a $1.5 billion boost from loan loss reserves.

Shares of Citi are up about 14% year to date, which is trailing the returns of the KBW Bank Index and some of its large-cap peers.

This story is developing. Please check back for updates.

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