Citigroup Inc (NYSE:C) Reports Mixed Q4 2025 Results with Earnings Beat and Revenue Miss

Citigroup Inc (NYSE:C) reported its fourth-quarter and full-year 2025 financial results, delivering a mixed performance that has elicited a muted initial market reaction. The bank surpassed earnings expectations but fell short on the top line, against a backdrop of significant strategic restructuring under CEO Jane Fraser.

Earnings Snapshot: A Beat and a Miss

The core figures from Citigroup's Q4 2025 report present a clear divergence between profitability and revenue generation.

• Earnings Per Share (EPS): Reported non-GAAP EPS of $1.81, solidly above the analyst consensus estimate of $1.71.
• Revenue: Reported revenue of $19.87 billion, which missed the Wall Street forecast of $21.13 billion.

This pattern of an earnings beat on a revenue miss suggests the bank is making progress on cost management and operational efficiency, even as top-line growth faces challenges.

Market Reaction and Peer Context

In pre-market trading following the release, Citigroup's stock showed modest gains, up approximately 1.46%. This tepid positive movement indicates investors are weighing the positive EPS surprise against the notable revenue shortfall. The reaction stands in contrast to some peers this earnings season. For instance, Bank of America recently saw its stock rise after reporting revenue that exceeded expectations, while Wells Fargo traded lower after missing its own revenue target.

The relatively subdued response for Citi may also reflect the market's focus on the bank's ongoing, multi-year restructuring plan, which involves selling off international consumer banking assets to streamline operations and improve returns.

Key Highlights from the Report

While the press release itself was a standard announcement directing investors to supplementary materials, other financial news reports highlight a significant bright spot in the quarter. Citigroup's investment banking division, specifically its mergers and acquisitions (M&A) advisory business, reportedly saw fees surge by 84% in Q4. This capped a record year for the bank's dealmakers, signaling a competitive resurgence in a high-margin business where Citi had previously lagged behind major Wall Street peers.

Looking Ahead: Analyst Expectations

With the 2025 results now published, investor attention turns to Citigroup's trajectory for the coming year. Analyst estimates provide a benchmark for future performance:

• Q1 2026: Revenue is projected to be approximately $22.96 billion, with sales estimates around $2.30 billion.
• Full-Year 2026: For the entire fiscal year, analysts are modeling revenue of roughly $90.63 billion, with sales estimates near $10.23 billion.

The press release did not provide formal forward-looking guidance from management, so these analyst estimates will serve as a key reference point until the company offers its own outlook in future communications.

Conclusion

Citigroup's fourth-quarter results underscore the transitional phase the bank is navigating. The impressive strength in M&A advisory fees demonstrates potential in its core institutional businesses, while the overall revenue miss highlights the headwinds and complexities of its broad restructuring. The market's initial, measured reaction suggests a wait-and-see approach, as investors assess whether the strategic shifts under CEO Jane Fraser will consistently translate into improved financial performance that meets or exceeds expectations across all metrics.

For a detailed breakdown of Citigroup's historical earnings, future estimates, and analyst projections, you can review the data here.

Disclaimer: This article is for informational purposes only and does not constitute financial advice, a recommendation, or an offer to buy or sell any security. Investors should conduct their own research and consult with a qualified financial advisor before making any investment decisions.