Summary
Citigroup Inc. reported a net income of $11.1 billion, or $3.63 per diluted share, for the fiscal year 2011, a slight increase from the $10.6 billion earned in 2010. However, revenues declined 10% to $78.4 billion, primarily due to lower revenues in Citi Holdings and Securities and Banking, which more than offset growth in Global Consumer Banking and Transaction Services. The company's results were impacted by a challenging operating environment, marked by macroeconomic concerns in the U.S. and Eurozone, and lower market activity, particularly in the fourth quarter. Expenses increased by 8% to $50.9 billion, driven by higher legal and related costs, repositioning charges, and investment spending across key businesses, although cost reductions were noted in Citi Holdings due to declining assets. Credit costs continued to improve, with provisions for credit losses declining 51% and net credit losses down 35%, reflecting better credit trends in both consumer and corporate portfolios. The company maintained strong capital positions with a Tier 1 Capital ratio of 13.6% and a Tier 1 Common ratio of 11.8% at year-end 2011.
Financial Highlights
38 data points| Revenue | $77.33B |
| Operating Expenses | $50.25B |
| Operating Income | $11.00B |
| Interest Expense | $24.21B |
| Net Income | $11.07B |
| EPS (Basic) | $3.73 |
| EPS (Diluted) | $3.63 |
| Shares Outstanding (Basic) | 2.91B |
| Shares Outstanding (Diluted) | 3.00B |
Key Highlights
- 1Net income of $11.1 billion ($3.63 per diluted share) in 2011, up slightly from $10.6 billion in 2010.
- 2Total revenues decreased 10% to $78.4 billion, impacted by a challenging macroeconomic environment and lower market activity.
- 3Operating expenses increased 8% to $50.9 billion, driven by legal costs, repositioning charges, and investments in growth areas.
- 4Credit costs significantly improved, with provisions for credit losses down 51% and net credit losses down 35%.
- 5Tier 1 Capital ratio of 13.6% and Tier 1 Common ratio of 11.8% at year-end 2011, indicating strong capital resources.
- 6Citicorp segment (Global Consumer Banking and Institutional Clients Group) delivered net income of $14.5 billion, while Citi Holdings reported a net loss of $2.5 billion.
- 7Significant progress in reducing Citi Holdings assets, down 25% to $269 billion at year-end 2011, with further wind-down planned.