Citigroup makes bank
Citigroup has had a very good run this quarter. The nation's biggest bank says growth is up 18 percent. The record revenues were bolstered by international growth, while its consumer business was down. Janet Babin reports.
The Citibank building in New York City. (Spencer Platt, Getty Images)
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Lisa Napoli: The nation's biggest bank is raking in the dough. This morning, Citigroup reported second quarter growth up 18 percent. A lot of that has to do with international growth, as Janet Babin reports from North Carolina Public Radio.
Janet Babin: Overall revenue for Citigroup grew 20 percent this past quarter to a record $26.63 billion. The results beat analysts' expectations.
Some of the biggest gains for Citigroup came from so-called alternative investments, the company's hedge fund and private equity business. Profits there soared 77 percent to more than $1 billion.
The company's wealth management unit also did well — profits rose nearly 50 percent — and international revenue had a healthy showing too, surging a record 34 percent. Citigroup opened more than 100 new retail bank branches abroad.
One of the few dark spots was the company's largest business: its consumer unit. It suffered a 15 percent profit dip. Most analysts blame deteriorated credit and failed mortgages for the fall. Credit costs rose $934 million.
I'm Janet Babin for Marketplace.
