Citigroup Inc. (NYSE: C) has undergone a sweeping transformation in recent years, emerging as a more streamlined and profitable financial institution. The bank’s performance in recent quarters has underscored the importance of its ongoing restructuring, which is focused on exiting noncore markets, improving cost management, and strengthening capital. The stock was one of the strongest performers within the banking sector in 2025.
What to Expect
The New York-headquartered banking giant is scheduled to publish its fourth-quarter results on Wednesday, January 14, at 8:00 am ET. Wall Street’s estimates suggest that the company ended fiscal 2025 on a high note. The consensus earnings estimate for the December quarter is $1.72 per share on revenues of $20.67 billion. The forecast represents a 27% year-over-year increase in earnings and a 5.6% growth in revenues.
Citigroup’s share price more than doubled in the past nine months, and it closed the last trading session sharply above the 52-week average of $87.62. Last year, the stock maintained a steady uptrend, reflecting investors’ confidence in the reorganization initiated by CEO Jane Fraser. The bank has a dynamic shareholder return policy, with regular dividend hikes and stock buybacks. As of this week, the dividend yield is 2.4%, above the S&P 500 average. It repurchased $8.75 billion of shares in the first nine months of 2025 and ended the third quarter with a Tier-1 capital ratio that is well above the regulatory requirement.
Key Metrics
Total loans at the end of September 2025 were $734 billion, an increase of 7% from the prior-year period, aided by higher loans in Markets, Services, and Branded Cards. In the third quarter, total revenues rose to $22.1 billion from $20.2 billion in the prior year quarter, beating estimates. As a result, Q3 net income increased to $3.8 billion or $1.86 per share from $3.2 billion or $1.51 per share in the year-ago quarter. Earnings exceeded Wall Street’s expectations for the eleventh consecutive quarter.
From Citigroup’s Q3 2025 Earnings Call:
“As we simplify, we continue to invest in technology to catalyze our transformation and become a more agile and modern bank. We have been relentless in our execution, and it is creating results. Over two-thirds of our transformation programs are at or are close to our target state, and we are making very good progress in the remaining areas. I am particularly pleased with the improvement in our controls this year through standardizing, automating, and digitizing them. We continue to lead in digital payments innovation, enabling payments, clearing, and settlement capabilities that operate on an always-on basis, across multiple borders and currencies.”
New Structure
Citigroup is implementing a non-traditional organizational structure and operating its business units differently to achieve greater overall efficiency. Recent investments focused on technology and data are catalyzing top-line growth and enhancing returns. For fiscal 2025, the management targets revenues of more than $84 billion. Given a relatively supportive regulatory backdrop and signs of stabilizing economic conditions, Citigroup’s recent business momentum is expected to continue over the near term.
Citigroup shares are trading at the highest level in more than 15 years. On Tuesday, the stock opened at $119.31 and gained modestly in early trading.
