Citigroup (C) Soars on Q2 2025 Earnings: Revenue Up 8%, Banking Unit Explodes 18%

Wall Street's favorite zombie just got a fresh injection of adrenaline. Citigroup shares are rallying after posting an 8% revenue surge in Q2 2025—with its banking division delivering a steroid-fueled 18% jump.

The numbers don't lie: Citi's corpse is dancing again. While rivals nibble at fractional gains, the too-big-to-fail behemoth just flexed its post-COVID comeback with numbers that actually justify its existence.

Banking's back, baby—and for once, it's not just the trading desks carrying the weight. The question now: can Citi keep this up without the Fed's monetary methadone? Place your bets.

TLDR

• Citigroup stock jumps 3.5% on strong Q2 earnings and 25% profit growth.
• Citigroup revenue climbs 8%, driven by solid gains in core business lines.
• Banking segment surges 18%, powering Citigroup’s post-earnings rally.
• Q2 net income hits $4B as Citigroup beats EPS forecast and lifts outlook.
• Strong markets, higher interest income boost Citigroup’s revenue to $21.7B.

Citigroup Inc. (C) stock surged 3.50% to $90.56 following the release of strong second-quarter 2025 results. The company posted better-than-expected earnings and revenue, pushing the stock higher throughout the day. Citigroup Inc. reported increased profitability across key segments, further strengthening its market momentum.

Citigroup Inc. (C)

Revenue Gains Strengthen Citigroup Inc. Stock Position

Citigroup Inc. reported revenue of $21.7 billion in Q2 2025, rising 8% from the same quarter last year. Growth occurred across all five Core businesses, reflecting effective execution despite a challenging environment. Excluding the impact of past divestitures, revenue rose 9%, demonstrating core business strength.

The firm saw higher net interest income, which climbed 12%, powered by solid performance in Markets, Services, and U.S. Personal Banking. While non-interest revenue dipped 1%, it remained stable in the banking and Wealth segments. Citigroup Inc. stock gained as analysts responded positively to the broad-based revenue momentum.

Equity markets and fixed income trading both contributed to the company’s gains during a period of increased volatility. Citigroup Inc. benefited from its diversified revenue streams and continued to capture market opportunities. The revenue performance helped offset pressure from rising credit costs and operating expenses.

Banking Segment Expands 18%, Boosting Overall Growth

Citigroup Inc. banking revenue ROSE 18% year-over-year, marking a standout performance within the broader results. The company played a key role in several major transactions, helping drive advisory and lending activity. This strength added weight to Citigroup Inc. stock’s upward movement post-earnings.

Growth in banking helped balance headwinds in other units, particularly those impacted by macroeconomic softness and restructuring costs. Citigroup continued to see demand for financing despite tighter capital spending and slower hiring trends. The bank’s strategy to remain central in high-profile deals appeared to pay off.

Higher severance and technology investments pushed expenses up 2%, but productivity gains partially offset those increases. Citigroup Inc. focuses on cost management while aligning operations to growth targets. Banking strength, combined with efficient execution, fueled positive sentiment in financial markets.

Net Income Climbs 25% as Credit Costs Rise

Net income rose to $4.0 billion, a 25% increase from $3.2 billion in Q2 2024. Earnings per share grew to $1.96, beating the $1.60 consensus forecast. Citigroup Inc. stock maintained momentum as earnings exceeded Wall Street expectations.

The cost of credit increased by 16%, mainly due to a higher allowance for potential loan losses tied to changes in economic outlook. The allowance for credit losses reached $23.7 billion, with both corporate and consumer non-accrual loans increasing. Nevertheless, the bank maintained a solid capital base and improved tangible book value.

The company’s CET1 capital ratio stood at 13.5%, while tangible book value per share rose 8% to $94.16. Share buybacks and higher dividends also supported shareholder returns. Citigroup Inc. stock reacted positively to the overall financial strength and updated full-year revenue guidance of $84 billion.