ETF News

Citigroup quarterly profit tumbles on low interest rates, loan demand

Oct 13 (Reuters) - Citigroup Inc reported a 34% drop in quarterly profit on Tuesday, slammed by record low interest rates and a slowdown in loan demand due to the pandemic-induced recession.

Net income applicable to common shareholders fell to $3.23 billion, or $1.40 per share, in the third quarter ended Sept. 30, from $4.91 billion, or $2.07 per share, a year earlier.

Analysts had expected a profit of 93 cents per share, according to IBES data from Refinitiv. It was not immediately clear if the estimates were comparable.

Earlier on Tuesday, JPMorgan Chase & Co comfortably beat Wall Street estimates for third-quarter profit, riding on a surge in trading revenue as global financial markets rebounded.

In September, Citigroup named Jane Fraser to succeed Michael Corbat as its next chief executive, making her the first woman to lead a major Wall Street bank. (Reporting by Imani Moise in New York and Niket Nishant in Bengaluru; Editing by Sriraj Kalluvila)