Citi and its rivals benefited from a resurgence in exercise within the third quarter as firms struck megadeals, regardless of uncertainty over U.S. President Donald Trump’s tariff insurance policies.
Web revenue within the reported quarter climbed 16% to $3.8 billion for Citi, in contrast with a yr earlier, whereas earnings per share jumped 23% to $1.86.
The surging earnings got here even after Citi booked a $726 million loss, which emerged from the sale of a 25% stake in its Mexican subsidiary Banamex.
BUSINESS STRENGTH
Income in Citi’s banking unit gained 31.3% to $2.1 billion, the most important development throughout its 5 divisions.
International dealmaking surged within the first 9 months of 2025, pushed by a robust enhance in massive transactions that pushed funding banking towards historic peaks. Megadeals in international mergers and acquisitions surged to $1.26 trillion within the third quarter, marking a 40% enhance from the identical interval final yr. Citi’s markets income rose 16.7% to $5.6 billion within the quarter, helped by a robust efficiency in fastened revenue.
A charge lower in September 2025, and hopes of additional easing this yr, might assist banks by spurring financial exercise and demand from debtors.
Citi’s return on tangible widespread fairness stood at 8% within the quarter and eight.6% to this point this yr, effectively in need of the goal set by CEO Jane Fraser of 10% to 11% for subsequent yr.
Friends JPMorgan Chase and Wells Fargo additionally reported increased third-quarter earnings earlier on Tuesday, buoyed by funding banking.
Citi’s shares have gained 36.5% in 2025, in contrast with will increase of 28.5% for JPMorgan and 12.4% for Wells Fargo. The KBW banking index is up almost 15% yr thus far.
Income in its providers, wealth and retail models rose between 6% and 10%.
MEXICO SALE
Citi introduced final month that it could promote a 25% stake in its retail unit Banamex to Mexican billionaire Fernando Chico Pardo, chairman of airport operator ASUR, for round $2.3 billion. The sale triggered a $726 million goodwill impairment that lowered the lender’s third-quarter earnings.
The financial institution had deliberate to carry a public providing for the remainder of the unit, it stated on the time. Nevertheless, in a shock transfer, Mexican mining and transport conglomerate Grupo Mexico made an unsolicited $9.3 billion supply for Banamex.
Citi rejected the supply final week.
The financial institution purchased Banamex in a $12.5 billion deal in 2001. CEO Fraser determined to promote it as she divested abroad companies, however Citi struggled to discover a purchaser after talks with Grupo Mexico fell via in 2023.
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