Chillin' out till it needs to be funded
From $1.3 billion to $3 billion in profits Quarter on Quarter, citi did set an example for others fighting a slow retail banking jump and losses in trading income. Citi finally produced $0.10 cents in EPS, ahead in book value from its market trading $4.50 price at $4.69 with a Tier I common Capital of $112 billion.
At $17 bln revenues are fairly consistent too and all the doomsdaying and poor results from Bank of America could be swayed a little if Goldman Sachs follows up later in the week with something good. Group wide revenues are up to $19.5 bln. It transferred $750 mln in losses on HTM assets to trading and sold the said assets at a consequent trading profit of $946 mln avoiding other paper losses in accounting redenomination while credit provisions reduced by 63%
Also Citi Holdings is down to its last $333 billion and the “bad bank” could well be non existent by 2013 Probably because of its international pools, Loans and Deposits grew 13 and 16% to $126 bln and $163 bln Cards sales were also up 20% in sharp contrast to reductions at BAC and JPM
Securities and Banking revenues at Citicorp were a healthy 6 bln though all revenue numbers and earnings showed sharp deterioration in y-o-y comparisons except for the book value which climbed $0.60 cents to $4.69