A gigantic collapse, but better than expected. The third American bank ?Citigroup has today announced the numbers of profit for the third quarter: a net benefit of 468 million, an 88% less than the 3,77 billion last year. Earnings per share at $1,06 is still better than estimates of 96 cents per stock.
Revenue came in at $19,4 billion, beating forecasts by $18 billion. The drop in profits is linked to a $2,9 billion writedown on Smith Barney.
On the capital front, the Tier 1 ratio was 12,72% at the end of the quarter (down from 14,4% at the end of the second quarter), while the Tier 1 common ratio according to Basel 1 was 12,7%, unchanged compared to three months before.
