Another bank bites the dust

Via Banking Day:

Citigroup Pty Ltd, the principal operating entity of the American banking giant in Australia, has reported a slide in full year profit after almost no loan growth and a spike in operating costs.

Financial accounts lodged with Australian regulators show that Citigroup recorded a net profit of A$157 million in the 12 months to the end of December – down 19 per cent on the 2017 result of $193 million.

The lower result was underpinned by a 2 per cent rise in operating expenses and a 2 per cent dip in interest revenue.

According to disclosures in the 2018 accounts, Citi’s total loan base tapered by $12 million to $13.76 billion last year as the value of overall lending diminished.

The decline in the size of the lending business is consistent with data published by APRA that also indicates a slight fall in lending in 2018.

Sure is a trend.

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