Citigroup reported revenues of $20.1 billion in the third quarter 2023 representing 9% increase year-over-year. The higher revenues reflected strength across Services, US Personal Banking and Markets, as well as growth in Banking, which was offset by the revenue reduction from the closed exits and wind-downs.

Operating expenses of $13.5 billion in the third quarter 2023 increased 6%, largely driven by investments in risk and controls, severance and the impact of inflation. The expense increase was partially offset by productivity savings and expense reductions from the closed exits and wind-downs.

Cost of credit was approximately $1.8 billion in the third quarter 2023, compared to $1.4 billion in the prior-year period, primarily driven by the continued normalization in net credit losses and volume growth in cards.

Net income of $3.5 billion increased 2% from the prior-year period, primarily driven by the higher revenues, partially offset by the higher expenses and the higher cost of credit.

Loans were $666 billion at quarter end, up 3% versus the prior-year period, largely reflecting growth in US Personal Banking while deposits were approximately $1.3 trillion at quarter end, down (3)% versus the prioryear period.

The decline in deposits was largely due to a reduction in Services, reflecting quantitative tightening, a shift of deposits to higher-yielding investments in Global Wealth Management and a reduction of institutional certificates of deposit in Corporate.

Citi CEO Jane Fraser said: „Despite the headwinds, our five core, interconnected businesses each posted revenue growth resulting in overall growth of 9%.

Services, our fastest growing business, grew by 13% with Treasury and Trade Solutions having its best quarter in a decade. Markets was up 10% driven by strength in Fixed Income.

Banking activity played to our mix and grew 17%, bolstered by a rebound in debt issuance and some signs of life in the equity capital markets. U.S. Personal Banking also had double-digit revenue growth while a continued deceleration in spending indicates an increasingly cautious consumer. And Wealth revenues grew as the business continues to win new mandates and acquire new clients.„