Updated to include Pandit's statements, added information about the results.
The company posted a profit of $4.4 billion, or 15 cents a share, on revenue of $25.4 billion, for the three months ended in March.
The company said these results exclude the impact of a $10.1 billion pre-tax loss from the TARP repayment and exit of the loss-sharing agreement with the U.S. government in the fourth quarter."Citi today is fundamentally a very different company from what it was only two years ago," said Vikram Pandit, the company's CEO, in a statement. "With its financial strength, strategic clarity, efficiency, world-class business talent, and unique global footprint, Citi is well positioned to benefit from the key drivers of economic growth in developed and emerging markets. The average estimate of analysts polled by Thomson Reuters was for breakeven results in the March period on revenue of $20.8 billion. In the fourth quarter of 2009, Citigroup lost $7.8 billion, or 33 cents a share. Citigroup said its provision for credit losses for the three months ended in March was $8.6 billion, a decline of $2.6 billion on a sequential basis, and its lowest provision since the first quarter of 2008. The company said its total allowance for loan losses stood at $48.7 billion at quarter's end. Pandit said, however, that Citigroup remains "cautious" about the business environment, citing uncertainty about the U.S. economy's recovery and continued high unemployment levels, and seemed to want to tamp down near-term expectations somewhat. "Realistically, we do not expect our performance to follow an invariable trend-line upward," Pandit said. "Longer-term, however, the prospects for Citi are clear and bright." Revenue from the company's core Citicorp operations totaled $18.52 billion, up 35% on a sequential basis, while its "bad bank" Citi Holdings operations posted revenue of $6.55 billion, up 26% from its fourth-quarter total. Through Friday's close at $4.56, Citigroup shares are up 38% year-to-date, although the stock did pull back late last week after breaking through $5 in intraday action on Thursday for the first time since mid-October. --Written by Michael Baron in New York.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV