01—Abstract
Summary
Summary of the 10-K filed February 21, 2020. Cited figures are marked; the original filing is the authoritative source.
Citigroup Inc. reported strong financial performance in 2019, with net income rising to $19.4 billiona, or $8.04 per share, up from $18.0 billion, or $6.68 per share, in 2018.
This increase was driven by higher revenues, a lower effective tax rate, and disciplined expense management, which largely offset an increase in the cost of credit. Total revenues grew by 2% to $74.3 billionb, with balanced growth across both the Global Consumer Banking (GCB) and Institutional Clients Group (ICG) segments. The company demonstrated strong expense discipline, with operating expenses remaining largely unchanged year-over-year, leading to positive operating leverage.
Citigroup also returned significant capital to shareholders in 2019, totaling $22.3 billionc through stock repurchases and dividends, which contributed to a 9% reduction in average outstanding common shares. Regulatory capital metrics remained robust, with a Common Equity Tier 1 (CET1) Capital ratio of 11.8% at year-end 2019.
02—Key points
Key Highlights
- Net income increased by 8% to $19.4 billion.
- Earnings per diluted share increased by 20% to $8.04.
- Total revenues increased by 2% to $74.3 billion.
- Operating expenses remained largely unchanged at $42.0 billion.
- Provisions for credit losses increased by 11% to $8.4 billion.
- Common Equity Tier 1 (CET1) Capital ratio remained strong at 11.8%.
- Returned $22.3 billion of capital to shareholders via repurchases and dividends.
03—One dollar
Follow one dollar
Of each $1.00 of revenue in FY2019, Citigroup Inc kept $0.26.
- Revenue$75.07B100.0%
- Cost of revenue−$8.38B11.2%
- Gross profit$66.68B88.8%
- Operating costs−$47.28B63.0%
- Operating income$19.41B25.9%
- Interest, other & tax−$4.0M0.0%
- Net income$19.40B25.8%
Where FY2019 revenue went
$75.07B- Operating costs: $47.28B, 63% of revenue
- Net income: $19.40B, 26% of revenue
- Cost of revenue: $8.38B, 11% of revenue
Kept 26% as net income
Full revenue history →04—Financials
Financial Highlights
Figures from 10-KFY2019filed February 21, 2020Financial Statements
FY2019 against FY2018
| Line item | FY2019FY2018 | Change |
|---|---|---|
| Revenue | $75.07B$72.85B | +3.0% |
| Cost of Revenue | $8.38B$7.57B | +10.8% |
| Gross Profit | $66.68B$65.29B | +2.1% |
| Operating Income | $19.41B$18.05B | +7.5% |
| Interest Expense | $28.38B$24.27B | +17.0% |
| Net Income | $19.40B$18.05B | +7.5% |
| EPS (Basic) | $8.08$6.69 | +20.8% |
| EPS (Diluted) | $8.04$6.68 | +20.4% |
| Shares Outstanding (Basic) | 2.25B2.49B | −9.8% |
| Shares Outstanding (Diluted) | 2.27B2.49B | −9.2% |
05—Questions
Frequently Asked Questions
What was Citigroup's net income for 2019?
Citigroup reported a net income of $19.4 billion for 2019.
How did total revenues change compared to the previous year?
Total revenues increased by 2% to $74.3 billion in 2019.
What was the Common Equity Tier 1 (CET1) Capital ratio at the end of 2019?
The CET1 Capital ratio was 11.8% as of December 31, 2019.
How much capital did Citigroup return to shareholders in 2019?
Citigroup returned $22.3 billion of capital to shareholders in 2019 through common stock repurchases and dividends.
06—Continue