Citigroup (C) shares lost ground Tuesday after the bank's third-quarter profit fell as its credit losses and reserves to cover bad loans🍌 increased.

Citi reported net income dropped 9% year-over-year to $3.24 billion, or $1.51 per share, although that exceeded estimates by analysts surveyed by Visible Alpha. Revenue, net of interest expense, was up 1% to $20.32 billion, also more than expected.

The company's cost of credit climbed to $2.7 billion from $1.8 billion in 2023. It said that was driven primarily by higher credit card losses, and a rise in the allowance for credit losses, which rose to $22.1 billion from $20.2 billion.

Citi noted its revenue growth came from gains across all its businesses, except "all other." Especially strong was its investment banking unit, which posted a 31% jump to $934 million. 

CEO Says 'Strategy Is Gaining Traction'

澳洲幸运5官方开奖结果体彩网:Chief Executive Officer (CEO) Jane Fraser pointed to her efforts to revamp the bank, saying the results show "we are moving in the right direction and that our strategy is gaining traction, including positive operating leverage for each of our 🍃businesses, share gains and fee growth."

Even with today's 1.4% declines in late-morning trading, Citigroup shares are up more than 25% in 2024.