Citi beats Street estimates in fiscal Q1

Disclaimer: This article has been updated with the correct title. The previous copy incorrectly stated that Citi reported a loss.

Citigroup Inc (NYSE: C) is trading up in premarket on Friday after reporting market-beating financial results for its first quarter.

Citi took a hit to markets revenue in Q1

The financial services behemoth ended the quarter with total allowance for credit losses of $21.8 billion versus $19.8 billion a year ago.

$C noted a 7.0% year-over-year decline in markets revenue related primarily to a hit to its fixed income business. Still, Jane Fraser – the chief executive of Citigroup said in a press release today:

The quarterly report arrives more than a month after $C invested in an AI startup called Glean as Invezz reported here. Shares of Citi are currently up close to 20% versus their year-to-date low.

Citigroup Q1 earnings snapshot

• Earned $3.4 billion versus the year ago $4.6 billion
• Per-share earnings also narrowed from $2.19 to $1.58
• CET1 capital ratio came in at 13.5% as per the earnings report
• Revenue inched down 2.0% year-on-year to $21.1 billion
• Consensus was $1.23 a share on $20.4 billion in revenue
• Return on equity (ROE) stood at 6.6% in the first quarter

Citi reported a 3.0% annualised increase in loans while deposits slipped 2.0% in its first financial quarter. CEO Fraser also said on Friday: