Citi registers 10% rise in ICG Markets revenues in Q3 2023
Citigroup Inc. today reported its financial results for the third quarter of 2023, with the Institutional Clients Group (ICG) performing solidly in the three months to end-September 2023.
ICG revenues of $10.6 billion were up 12%, driven by growth across Services, Markets and Banking, partially offset by an approximately $180 million net impact from a currency devaluation in Argentina on net investment in the country.
Services revenues of $4.7 billion increased 13%. TTS revenues of $3.6 billion increased 12%, driven by 17% growth in net interest income, as well as 1% growth in non-interest revenue. The increase in net interest income was primarily driven by higher interest rates and deposit volume growth. The increase in non-interest revenue was driven by continued growth in underlying drivers, largely offset by the impact from the currency devaluation in Argentina.
Securities Services revenues of $1.1 billion increased 16%, driven by higher net interest income across currencies.
Markets revenues of $4.5 billion increased 10%, driven by Fixed Income. Fixed Income revenues of $3.6 billion increased 14%, largely driven by strength in rates and currencies. Equity revenues of $918 million were down (3)%, driven by a decline in equity derivatives, partially offset by growth in cash and prime.
ICG net income of $2.4 billion increased 12%, on the back of higher revenues, partially offset by the higher expenses and the higher cost of credit.
Across all segments, Citigroup revenues of $20.1 billion in the third quarter 2023 increased 9%. The higher revenues reflected strength across Services, US Personal Banking and Markets, as well as growth in Banking, which was offset by the revenue reduction from the closed exits and wind-downs.
Citigroup net income of $3.5 billion in the third quarter 2023 increased 2% from the prior-year period, primarily due to higher revenues, partially offset by the higher expenses and the higher cost of credit.