C - Earnings call transcript Q2 2022

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Hello and welcome to Citi’s Second Quarter 2022 Earnings Review with Chief Executive Officer, Jane Fraser; and Chief Financial Officer, Mark Mason. Today’s call will be hosted by Jen Landis, Head of Citi Investor Relations. [Operator Instructions] Ms. Landis, you may begin.

Jen Landis

Thank you, operator. you joining thank and morning all us. for Good management's that which website, to is like based may to for uncertainty presentation, you remind on are circumstances. which our I'd and available changes are today's download forward-looking statements expectations in current and contain subject citigroup.com, on these differ filings. a due variety in of Actual results statements described SEC may factors our materially from to including those Jane. I over will that, With to turn it

Jane Fraser

we today. Jen. the And everyone When thank geopolitical we was macro said us outlook spoke you, and Thank uncertain. for last you and joining complex

one So, little in sense, has changed.

crystallized. However, to to the security. this headwinds it's and the an shocks we've series strategy attention and now backdrop have the ESG, that our is team on certainly that of I'm of need delivered supply results transformation. execute our to And pay And proud additional experienced. There costs that mounting we in we as S quarter against are

inflationary pre-COVID chain demand tell said, tight. household me see is Consumer our cusp providing That Similarly, being with the recession. in levels Higher wealth confidence. corporate job more will remains supply are sheet softness of adding QT keep shifted. constraints also cyber of of war met contributing In sharper well and stress. the tells market alike. robust as new the balance above cushion the remains for from addition Resiliency the central so savings high. pressures, volatility to Fed on see far. to lower hawkish has future turn you, response with beyond well of banks, a focus, healthy other consumer revenue U.S. this to spending data any is a with Little and priority will all energy security to Europe. security, sharply and is attributed the come which the cost And sentiment clients And to corporates U.S. governments I threatening the into spread humanitarian rates a employer for has all food and and very

recession memory. next the indeed to recent sharper a others Europe, U.S., story. as where just in unlikely a from while downturn back could different be place So, years I'm two a over it's in it's take highly the

We will affect increasing in And coming, expect the the and economy war lockdowns, end leverage also concern by winter anytime Ukraine belief energy potential the Asia, a very in the is rebound the property of and a amount that's effects and production soon. the economic of to difficult constraints the sector. that not order in stress across on faces future In further for second is activity There continent. course, China that due mood industrial will darkened some also about how disruptions given supply. their Chinese the is, in in

expense excellent uncertain of XX% pleased on grew quite and this net year. to our with performance. XX% guidance and RoTCE We our I'm overall year-over-year revenues momentum reported environment, revenues $X.XX of for year-over-year. track to $X.X continued Given billion an up XX.X%. the with Services at remaining EPS whilst meet show of We income

a revenue driving clients into we strategy and commodities in the The and in growth And this are related our saw the fired a were first more on environment, we has second, capital while quarter XX% market where to in quite on baseline contributing needs corporate had this growth our current network, our corporate their with particular than rate in we continued markets, the particular of cylinders rates, decade. global rather And is new our in how of that business to took result leading consistent risk exchange a foreign level market. quarter helping of environment to well. be us is this the The to management, in derivatives given in in emphasis TTS active our clients activity saw of we more one a our best shows volatility in volatility we the clients in it efficient double-digit cycle March. globally to I are fee consistent in markets. some we had mix, advantage in growth, equity usage. is for While of you the clients navigate believe favored trading differentiating we all that as presented

pressure continues down of on the great put the to environment wallet a side, On our Banking that Investment deal with revenues flip same XX%.

the increase you However, in spend we last quarter, markets obtain have is Banking, as In debt converted elevated growth outpacing revenue through positive levels. credit few swings. drivers in saw financing can now rates clients we given more to two recent of the the solid how over the through have, their less lending are They the to the our credit Personal growth level this shifted consumer see and of in our XXXX however, notably, payment travel are quarters resilient an been card U.S. seeing And most inclined which branded low U.S. businesses losses. into and far the cards. XX% entertainment, the

opportunity prices wealth management. for be are While desks, our asset an trading a headwind lower for volatility can

revenues other than U.S. management network reach expanding Private of our including advisers, year-over-year building wealth our harder regions, in across referrals client we execute XX increasing and of of Germany with base fronts, to hit Bank’s strategy countries the number our France, and leading additions was the footprint a to physical our That from said, overall. to flat wealth again Asia continue branch

drivers of growth a advance. operating did to slight the of the while strategic in long-term a increasing business So, Overall, continue of we from have given for a the are this we underlying reserves recession, build strength. position possibility

horizon. and Well, in you has also our since the credit Day on while our our and March, positions strong, changed capital, us presented business Investor choppy world strategy are reserve liquidity, the not. for has the Our to levels waters diversified well quality we mix

help have discipline hold you it with and to our We accountable X continued for report slide us The execute quarterly should card with urgency. progress. on

long-term the expected executing Australia are on validating of during are Simplifying a sales We we and can on goals legal the is on priority, as see I we as our made through right this Mexico, March, the this indeed we and firm working the and regulatory divestitures, that such nature. set a the sale progress closing We're that transaction of path. into high laser-focused be in quarter's the in out performance dynamics well process quarter. good the in

business reduce our financial steps size In to terms exposure. and take of Russia, we the our continue to shrink of

are Consumer environment, range Given & we full Banking portfolio to the businesses, possibilities complex the of considering exit sales. Commercial our including

beginning invest are businesses divestitures we stranded this model. simplify resources in as discipline to where As eliminate Australia the And such is critical to the our have progress, to costs and ensuring we maintain order particularly or transformation. the to pleased want ensure AML lifted was OCC advantage that of success our to gain in competitive our point, we consent the April. a and by were To that we

and expect committed standards of We and are controls ensuring we to our processes up regulators to are us expect of ourselves. the our technology,

modest returning whilst a increased me on ratio rather level this Let billion of to our We CETX capital, $X.X in buybacks. quarter capital. XX.X% end including

quarter exceeds result our to set stress X% this book a fourth to scenario. tangible strength capital share test reserves, year's $XX. our increase now and per Despite buffer the in as the stress value sheet is Our of of balance

So, near over our ratio CETX we plan build including to the buffer. approximately a XXX term, management XX%, to of basis-point

XX%. target term, our at CETX the to remains Over XX.X% medium

our dividend prioritizing and We are our capital. are build repurchases share as we pausing

use to path through our We smooth have to and can a walk Mark help minutes. few we will approach a ensure which required management levels, our in buffer, a you

the of and important as our buybacks when it soon trading pending these divestitures. capital earnings to power are prudent committed are significant so. generate restarting We value are how completion creation, to at to will as we levels, in and We is given shareholder do them particular know

every such as in We capital, especially businesses make will optimize to effort Markets. our

needs team and the results, to ahead, delivered early progress. in bank times challenging our I'm geopolitical strong balance I'm of the investors path confident solid with a and regulators. and our about our a strengths. pleased clients, environment, uncertain we weather to our macro our whilst our Overall, So the position in very and is playing

to Now, we'd to and over be questions. turn your take I'd it then Mark, to delighted, like as always,

Mark Mason

each morning, and I'm then to the show turn second little to Jane, a the results, you, time capital focusing of guidance. results XXXX indicate everyone. and good for spend with financial comparisons the going X, and we year-over-year On more end Thank firm. segment the otherwise; full I slide then firm-wide financial quarter, start for on unless with Russia; results expenses, and on

the driven but billion $XXX with $X.X in in in At billion net As as by the and ratio impacts quarter, driven offset revenue rates of end $XXX losses revenues. of than largely X%, second had underlying X, ICG capitalized for expenses. factors million. $XX.X income interest Cost a million Total Investment the the XX.X% drivers. driven In $X.XX billion of quarter $XX.X and billion, revenue which of by an were were lower of business-led grew an credit On of reserve-to-funded ACL well of revenues. increased by reported in are walk growth an net $XX.X earlier, XX% services, PBWM. net I show of driven well second RoTCE mentioned. $X.X of with XX.X%. X% credit build as driven excluding quarter, well with with quarter, income CETX by XX%, ratio of a with PBWM. X%, volume-related investments or by slide and revenues as fixed total income across we Banking On EPS expense expenses grew total a up and we also increased basis, strong as key higher the Noninterest year-to-date reserves more of income XX% Net and noninterest we up interest billion volumes expenses transformation, divestiture-related approximately Jane approximately the and just the loan and both, X.XX% mentioned noninterest was

earlier, the of business-led XX% the as mentioned transformation. X% transformation those people increase driven investment I finance X% increase related to as of the advisers foreign expenses onboarding approximately over And Cards. bankers are about of related by wealth. translation. volume-related as X% of expense partially offset and in experience well and data was to platforms. invest exchange impact to client hire to by and and the by by continue the And commercial invest in two-thirds investments, expenses, X%. productivity compensation revenue technology. as today, in with was of the we risk, quarter. which Markets driven as we XX% investments we programs. higher investments as was due was control X% these As And and well as approximately technology, investments driven And and continue programs savings continue client X,XXX and to increased to to About have the well other in as in dedicated is controls, we risk Across all up by front-office largely for the buckets,

move processes what enhancing on wanted we investing processes, leverage technology stand we and benefits are areas. improve some to improve on To are working enhance efforts. automation to up our to capabilities hiring been risk these some actively expect of in we expenses, We've and examples and number to to from end, our over to this governance Before and transformation is we people management policies transformation across tangible time. a provide The we designed of our see of controls. the our our and regarding technology strengthen

the useful with to build processing we've loan XX to infrastructure Banking, our consolidate stress loan in market. platform. gone this live in we one our example, servicing systems particularly enhance capabilities begun continued testing across a to and And our new now For have to out platform firm,

across with in power the will data. help the basis as count, year-over-year increased us rates as well changes improve European on enhance the loans growth to our business. are to of redesigning allow loans yield well client interest and balance a which begin to Of of held by total allow from and process or billion deployed these function. a as XX We of organization, as quality largely maintained about our average deposits. impact On resources driven X% XX net X, In points. summary ledger. Given and loans are slide and loans second On capital our balance interest-bearing meet more billion. for franchises increased approximately approximately declined, data-related are be to driven investments businesses. and and of $X.X onboarding financial we as on in stages we interest we $X.X day income of analytics capital instances X, Legacy loans provider planning And in $XXX These commitments. driven data $XXX liquidity by our of our of higher ICG, cloud-based billion us product basis net of greater X% $X.X us and and sale. with we in to reclassification basis and on a Day approximately our our income by expect quarter, basis, while for every and development efficiencies simplify cost the to net the the importance including key multiple ledger platforms very signed sheet data, key our foundational higher or streamlining volumes increased will we initiatives, scenarios And software XX On helping strong metrics. we sheet. of income, rates, HQLA, maintained assets, agile process Investor And governance and by frequency, liquid dividend a Markets billion improve data interest show by interest the points, data gross in XXX sequential season liquidity our the trillion show major approximately slide assets, the timeliness trade one loans And sequentially, are by deepening, we mainly across and the XX% grew well our for we early by in increased PBWM. multiyear a moving as high-quality finance, deposits by planning. we our And modernizing these

ratio increased X%. and provide wealth. sequential standardized a deposits We a quarters. XX.X%, next was X, value largely continue deposits sequential in by From and RWA CETX the the CETX show end-of-period we the our detail standardized this driven come saw basis, both down binding book $XX.XX, And and an quarter and over on RWA impact and seasonality we RWA. X%, wealth. sequentially a requirement. per On with our of to ratio as remains drivers by TTS slide few share X%, quarter advanced approximately including we Our by optimize of the decreased year-over-year more On standardized goals tangible up the perspective, walk to ended both

we basis generated $X.X billion income First, net to which common, of added XX points.

dividends $X.X XX which returned reduction about we buybacks, Second, and billion in the form points. of drove basis of a

AOCI regulatory the above Third, XX the quarter a impact of of the as requirement basis-point quarter in Australia combination benefit And and well the remainder XX.X%, from investment net well our the decrease DTA first of ratio sale. reduction. disallowed ended XX as efforts driven the our higher We the basis-point Fourth, than basis-point a basis a closing CETX by the points portfolio rate optimization with XX.X%. the finally, XX increase. X interest on through RWA drove drove of a was

as tools CETX our October which from our regulatory regulatory requirement RWA be to volatility, buffer, generation, address increase closing increase to our our XX.X% earnings gradually of requirement to XX% to continuing of We designed divestitures continued our important account capital management the we in build will to an our efforts increase while to support will in optimization for a And requirement. allow our towards temporarily In of and surcharge. in to clients. of X%. us combination manage was expect as A result to XXXX buffer X% our January, stress will G-SIB increase

XX% assumes target increased requirement of accounts approximately the to Given expect all regulatory basis-point which management build we midyear XXX XXXX, for and to a a that, by CETX do buffer.

XX%. an appreciation. However, In provide we the X, at to reduced offset with than terms, remain Day, pausing we in slide to target our I've capital ruble on to before, On consistent And billion Investor exposure buybacks what remains which medium-term exposure are local now, excess by for while our $X.X by we to committed our was our time. said as over more shareholders XQ, returning update at we Russia. currency XX.X% said we

is higher the a As exposure of of reflecting credit and proportion our now names. today, of mix has stronger changed

our the approximately is from entity Additionally, in to investment billion, million ruble about appreciation. our now net up Russian due $X.X $XXX

client grew both each As a is average a continue TTS, our Solutions, TTS risk, we indicate by with and XX%. for On be approximately Again, total driven a estimated loans, stress net result the deposits and down drivers activity Trade The as income Average Group. to up Clients cash largely release uncertainty. XX, up loan XX% and X% of client savings. Equity of capital XX% XX% client last and was offset transformation, million. in active net underlying strong were by from largely X% by were a TTS NIR XX%, and continue offset leading potential expenses, Fixed And approximately grew X%, a reduce large as the clients existing losses lending. the a build we balances range very well Banking XX%. macro interest income due Income business-led Services cross-border pipeline you in loans offset hedges, credit $X macro global reduction reflecting The as driven income rates impact we client to the a which overall strong by driven of by with expect slide activity. and XX% higher revenue. up that revenues were clients partially see a higher more ACL Revenues will investments This driven loan billion, actions of by by net growth with gains revenue of up release growth new we delivered TTS strong indicators Cost and resulted to up strong issuer were by we revenue were by combined at decrease $X by in fees up believe commercial manage corporate volatile Banking we've now an volumes in activity under revenues Investment and decrease up revenues, volatility that partially revenues of with we Investment a drivers by taken our offset our FX, healthy levels increased and our revenues. corporate Services $X in show performance, $XXX that relationships momentum a interest and in our corporate and XX%. volumes increased severe by only to a grew quarter. the in drive markets on in credit existing we Securities billion XX%. largely Markets, balance. new macro and Overall metrics uncertainty by across equity of activity In risk, quarter. in client out with Russia-related clearing million clients. And results grew and XX%, continue. Investor increased revenues environment them business Institutional saw revenues we geopolitical and performance deepening net with $XXX up was the and gain Day, as commodities X%, see new $X.X excluding on as In million by RoTCE as slide were client acquisitions. well And We Markets by due played $XX driven backdrop XX% volume-related down of net associated help a in the NIR client markets. scenarios we fee grew driven billion as with to basis to these to to client Treasury XX% engagement driven services. elevated net driven to X%, driven risk by productivity of growth Expenses deepening of benefit elevated currencies. driven laid as XX% rates billion, partially client key On interest by ICG which show our on show services, XX.X%. of to derivative XX, less prime partially asset up XX% partially largely continued Markets as hedges, mid XX% impacted card are heightened flows approximately by corporate activity, losses Securities valuations lower Banking U.S. offset than dollar activity that strengths offset

as feel relationships clients. we we progress we are making about So, acquire to deepen existing here continue client well the new very as good as

largely credit the our results decline Now partially was driven driven given noninterest portfolios. XX% growth Average net for were reserves services and to turning the in in up productivity XX, expenses, growth continue was business. in billion as by environment interest strong $X.X to partner volume-driven payments ACL NCLs Management up added in overall offset slide uncertainty grew XX% a as Banking wealth. driven retail performance branded retail strong year. Personal services. deposits were the income Cost by macro as And higher grew a investments business-led of Average net Revenues last across compared we across increase we of & wealth. revenue, X% Expenses show credit driven as by partially see transformation, in X% savings. X% retail and and growth up as Wealth growth release offset across down by to loans by cards we well were by

PBWM And of an strong We our Cards X.X%. to continue RoTCE X.X% a of ratio U.S. in delivered business. maintain reserve-to-loan

XX% return, as loan product interest low show XX, slide increase metrics. On and PBWM drivers well driven and higher were balances. this as in Cards was an by the by ACL on business expenses in the Branded by revenues driven we up a key build revenues higher quarter. While

up new both by with volumes higher average by encouraging driven and up revenues Services X%, loans accounts also drivers up higher underlying offset Retail XX%. higher XX% on card balances, We were payments. loan interest and are partially spend seeing partner

investments rates balances been Services, Retail we despite we continue making we balances and to Cards X% of and have in half primarily were year. volumes. second by fee spreads volumes. up Banking the Retail and investment the growth X%, elevated, Wealth in interest-earning by driven the So, growth flat revenues driven will of in driven as deposit believe offset have these Branded payment and were headwinds X% deposits loan in NII revenues grow remaining

capital. was Excluding year X%. expenses Asia, slide briefly of which X%. we At outlook. the the we We're XX,XXX of were $X.X portfolio, us up we to tailwind see first a by Citigold perspective, increased higher to low a Markets consumer deposits up revenues XXX Private On the declined Australia touch average results On of investment investment XXXX slide this an to show year net Day, NII the show last full year. from slide and are closed activity expect sale for revenues certainly advisers starting quarter, sale, for to up XX%, with continue of X% giving results in of we half driven client clients having indicators were are up client largely up mentioned, new for the revenue Corporate/Other. clients we the pick the single-digit Bank the business, And Korea largely full down. year. and strong On the the over wind-down since Relative Investor closing leading from franchises. benefit up in acquisitions, Australia up added range. we legacy Revenues And and revenues XX, driven muted the by on as XX, consumer Revenues and we billion XX, the curve Asia. rate to point, be seeing and is this

However, as Banking lower remainder of the we activity, are will this year. the likely seeing of much levels and continue for mentioned earlier, we Investment

expenses, of X% of X%, still terms expenses impact grow excluding divestitures. expect to to the In by we

And efficiencies take said, believe happy from we're be and impact these of your some and questions. translation against I the that Jane seeing are we impact executing that should inflation, to would headwinds. foreign we offset the exchange While with

Operator

Autonomous McDonald Our Instructions] from [Operator John come first Research. with will question

John McDonald

Mark, Hi. maybe It a could got XXXX guidance I that guys bad more. seems you within the guidance. good bit like Good you've unpack maintain that, little color morning. was where what you bit for could But income, more guys back maybe than And the net what of maybe year? for trends seem the interest half on expecting you're on give us you. the more you're then markets assuming a strong? Thank hoping little the in

Mark Mason

Yes. Good morning to John. you. Thank you,

that said, talked heard quarter the quarter. than pickup I about of rates. particularly through start you I certainly, And certainly saw that we in rate in year. you've here sooner seen the benefit have we will in expected the likely of And As to indicators had in balance as increases of second year. continue We loans, being me And say the the even that the in side. all will back on expect are continued the here before, do that it we the play in card of growth some some of saw see the half because the

do some we'll we to get there. lift continue So, think

We also in expect both that obviously some rates offset the that of portion Banking the life in is as is in we'd against that quarter NII and to TTS and services to Services saw growth come but does going We that's Asia. that wealth is on expect in is side, in the than see Where saw certainly rates, momentum. continued the And Investment certainly the of on as the revenue, well. side. particularly come of just we with here pressure the from momentum more well. businesses, noninterest that that Securities a And where some

with the All I have markets. how reality, what have in the that has favor we'll this out feel far and the end year, growth that thus uncertainty at probably to there that there, tell I and you low-single-digit to the I've the what continue to I think, environment on focus as the guidance about. clients look is on uncertainty to as played talked it full I'd see out that you. with relates now corporate that's of our Now, our know to based higher plays comfortable given But that's out we that

John McDonald

on then, us interest just sensitivity. where follow-up, you a And maybe are income Okay. as net remind

You've you relative rates. look way at to to I it and think peers the relative updated

and Just that. what remind where that in are assumptions embedded pricing deposit you of us are on kind

Mark Mason

Sure.

when the to think about drivers of We are set, of there sensitivity. John, important that So, level think to kind great couple question. a we into kind come play just got of

one mix. So, is the obviously

so, you currencies. got the case, about important out, our U.S.-denominated got a in mix is in sensitivity And they when are we've are of kind that are that how obviously in are play ours our betas, both wholesale, non-U.S. about the about you rest and two-thirds the the of rising pace varies And XX% think about We've and environment for particularly consumer. and of third pace we've rate at a when think non-U.S. U.S. versus that seen, deposits

kind be going about think that's it. so, a factor all of we how to in And

an consistent we were would NII. roughly in past in assumes rates, approach balance couple sheet. sheet $X.X forecast our XXX analysis, with on You're the we that shift more a assumption. which And basis if IRE I've And look billion based at an quarters an for generate static a parallel a what that under -- cross-currencies, right. think increase is points assumption of In to our disclosure disclosure, been peers, approach we that's describing runoff balance

some in part would going already And non-U.S. non-U.S. us, We've magnitude U.S. non-U.S. in dollars. seen a to for near that increase in the because of that skew seen dollar, the U.S. that's About the seen U.S. towards about we've is be XX% but shift increase nowhere in that significant Now, dollar. we've XX%

there. stop question. Hopefully, I'll your So, that addresses

Operator

Thank you.

Our next ISI. with come question Glenn from will Schorr Evercore

Glenn Schorr

loans versus rise wonder a like decipher Mark, good backdrop I if just you Services. the the for concerning in We contract the in then, that. want do card loans. in to economic Retail loans? card And Cards, what's just you or picture, headwinds on But bigger outlook and rising mentioned rising something little revenue in a we're partner how sounds It within you rise like all loans. PBWM a could and extended noninterest you facing, card maybe in elaborate me

Mark Mason

Sure.

the that order. them in Let first take me -- take

Retail like is with What anything to that a a it So, that Services. the has of contract we there's I'm business on a Services of is nothing with kind sharing business of describing partner the that we generate. it Retail profits have do associated that means what extension the is side, that. And or in that an there

of our generated. noninterest view, seen an through with profits what -- from the revenue to so, increase and play interest in is more, volume The partners. And rate seen line. sharing fortunately, there's environment, rising And means the what we've share profits that point income we've the happens in of activity is a more we've net those this that that

of out -- contra comes with it So, those as clients. a comes fee share the as of out we revenue

to in as Retail the PBWM driver that that swing it that's Services. we the relates have of the So, happening or see pressure you there

targeting of about consumers what Cards There terms we that's good and is out to growth, playing the In growth, But of growth disciplined I as part nothing feel that grow an the very that terms say it one, we And in relates Cards is we've corporates. describing material would environmental spend, they're off. dynamic that because any certainly not, pay it. as very the that that losses. there's there would about. what marketing us date suggest, of parameters risk acquisitions, focus is that to that There's our that loans of also been outside terms been outsized started of nor have within significance acquisitions. had these see while base customer our appetite. set you've is to that We've And more in that in advertising risk of the more staying described XX% I growth materializing. spend, The heard growing we more we've loan they're

we loss at Services, used we you Those normal -- Cards, rate, what as describe look rate, what are for -- XX% rates rates, of a cycle. a would our loss loss through Branded to If NCL X.X%; X.X%. normally Retail our are

about we're we growing. also reserves good the feel we about There's risk, so, good loans that we And obviously feel very that have. the but very

Operator

next Erika Our Najarian question will Instructions] with [Operator UBS. from come

Erika Najarian

actually to question Mark. follow-up a question, first John's is My

income more challenging certainly interest forecast margin it's to Citigroup. And and net always think net I the that the income net upside. interest to interest been for surprised

deposit two-thirds question. XXX billion clearly, beta we Appreciate both rate XX.XX of about how as And parallel second here. or should flatten year? wholesale, words, the we $X.X half guess, trajectory let deposit I think the think other should the we reask change as forward for U.S. shift. that from think of each me we in about does of about accelerate, decelerate? flow, and So, the the basis-point about curve, think how the as the deposit deposit a we from out interest But quarter-over-quarter growth In that's base about think income net

Mark Mason

a in I increases -- obviously which of say speed what the lot lot rates. betas. a I I'd One think And But relates at things. that seen rapid is the is, there. increase to a There's couple matters we've rates as mean, it a

And so -- particularly on the wholesale corporate side.

about have They're at bit a we for momentum increase in back But continue forecast given that so, expected. increases. to the better slightly would continued little would half than seen the And there. have to betas the expect we we year rate of probably

over $X.X around to -- prior ex the that thing if you the about a point look the so point ability Citi of I giving from year, first it other think the Markets. you out, The a just did view, forecast I'd or billion year, half of at was point we

of half. the tell on and I'd in mix, NII, To first in we're rate guidance how you X.X light a another half. billion I that Markets, $X.X more ex thinking back our you it curve light the billion give expect about so or of So year-over-year in about bit

or assumption a probably based around play so Xish again, likely that's So, on, year how our year-over-year, our would around percent out. our mix, full basis curve the assumptions current on and betas

me if add pause to see to wants there that. anything Jane and Let

Jane Fraser

deposit TTS increased account are deposits of XX% in and operational deposits. And operational of deposits them $XXX add but our by since the $XXX Citi's billion but XX% base, also non-operating I'd Yes. for institutional the pre-COVID, about decreased. deposits billion have the by increased

the has QX anticipate about system non-operating in We got I extremely And internationally, we expect environments. with balances. feel would to the the are we’d accounts where all stickiness that think this deposits shrink. horizon, these on operating of and the are impact very amounts certainly good the in base primarily deposit particularly So, sticky, frankly,

Mark Mason

Good point.

Erika Najarian

an issue since just my investors is since the And an that -- really this out. been you. SCB quarter, especially came follow-up Thank it's impressive build was with particularly since capital question

piece missing may the is XX. the what continued about is we XX% be as a that I from benefit think slide we think sort of to build CETX

basis -- way year, second So was boost a accreted XX as similar on us Malaysia XX% you to in give Philippines, the that you the for guess, -- that sort how of CETX Australia and sale. that closer there any the range I it points your the close Bahrain, could deals Is of -- could Thailand, the get the half the bogey? to from

Mark Mason

give sure then Yes. kind you to contribution certainly impact. of make I more I'll way, from in of we a capital you the guess, divestitures I the let if it and what that expect for a answer sense fulsome mind, don't me

that generation. strong I've of to back the the the to some obviously to feel couple half as of a about that it One a going the as XX% building drivers as quarter is important place income guidance are we just are And the is us in on. SCB. as relates be to very good you there I again, had given for ultimately income generation. long So, given year,

the XX is, in out And as important first be don't that, of second impacts play beginning the terms basis out the continue there's year par other first out pull second. there the the and increases, XXX here, rate balance on to to another we've the quarter, forget, point XX the were the be quarter. AOCI points going expect quarter of -- in to start had that two-year end to we an a That's we XX the of in year. to There's of in the and from The play to since factor. another in to going

us in Australia continue The third, and as close or what $X.X our the RWA, then, mention do working I'm we've divestitures buybacks. the to for about capital I'm about $X so the factor. billion $X.X Australia. is that. talked And with terms we'll in of year in heard optimize you at impact. the currently a been as We about I've past to you've very paused mentioned, billion to expecting. billion to hard is That's

of bit feel in talked than little I timing movement these some about And the it. of what in less before, good still of of part some so because of the terms closings, a about

market difficult a it's managing through. we're Just that

be the the billion some impact $X.X sense a you total translates deals. that of year. remaining close continue CETX into balance we And to out for and that how as of this we're least -- out So obviously, sign that should and expecting, give a close come there'll at more through to

Jane Fraser

of I Mark And Yes. positioned of any an have going buildup moment, resources. capital. total some confluence already is a capital factors on as rapid what I terms to well very end the the of this lies we we're for at are suspect mean, in environment. of extremely for Portfolio well various have positioned said, that rather overabundance think, industry. I But, that of all causing which Citi feel of liquidity And is this, reserved. I good really credit are of the extremely temporary ahead we're well ratios, at that strong quality for high, capital going

that I you to are and to where build, And this as much so, given we particularly I said, And trading. we're share achieved want loud very resuming we've commitment. clear looking hear forward buybacks, once

Operator

with come will from Wells question Mayo Fargo Mike next Securities. Our

Mike Mayo

just then, just seems a a you services, you figure core area And you interconnected X as to the is reason couple And led I TTS. at decade. highlight that and by have here your by you we later, quarters upfront said out say lucky of you're have few in later, that boom, I'm I or led if it a and months are. Investor so a quarter coincidental growth smart, best trying right then businesses mean, your Day, that

of of is Services this one-off us How of share is is baseline And with attention that what quarter. because is think higher growth simply a say, factors? due remind much interest And how market how TTS much rates? gains? of, it because and again, I to just got because to that due Securities of TTS much you So, everyone's

Jane Fraser

then kick of I how Mark. off don't Mike, to it's and why a to danger because a talk here I'll you have, And lot pass there's about. So, it long

by at U.S. of payments, you very and provided the beach When this sit you XX% saw of around good have driven up proof Day businesses I by up as points dollar; by clearing cards, commercial deposit read strategy. that because across both cylinders the average early all regions. was active NIR management of and the deposit the value, the services fire, and I with beta was drivers the base, XX%; discipline the by to out the trade About up you progress others actions we up said, X%. we've average encourage this cross-border on transaction So, the up you weekend that a an and XX% look the quarter. growth would And business supplement information, said, strategic trade. year-over-year; as volume, Mark spend, to comp two-thirds and of balances, rates. excellent by and the loan all lot receivables laid And this X% as Investor was able recovered; performance by facts balances, on quarter, in TTS in about business was driven at one-third

focus, we Day firing. medium-term is was Investor pleasing, it to to give Securities you intensity, at the is? will across of the is two-thirds that a think was running contributing about Mark see the you this time. he substantive well. well elements the culture But into guidance he we do expect a as behind really to how Mark, of broad explain as strong instituted I to a And Head of confidence of to set of discipline the very here. momentum this. growth it a This that factor shout-out over a Services has what for you're position team. as would that all level gave But and So, revert want tremendous very to puts not very that, TTS, that of And and as business drivers said, in Shahmir, rates-related also TTS is has Services us us continued from year-over-year Securities I hearing board, but our

Mark Mason

full core Again, swath countries. a clients as cash TTS the to XX of franchise It you've the manage management We multinational describe, provides the our obviously over needs. us capital business. is heard to in network their and large working

clients. partners. others. provide and essentially, core also And differentiates not high-returning financing think business from franchise vendors but and is businesses behalf growing, that that And on for about the them what and this the and trade business a in the manage have of is the itself one We of you is Markets we FX when it only of the franchise is our we rest in many ways, the of that well-connected to

we And in there a -- onboarding talking we those is partners this the similar-type through spent new again the to Securities provide that a base client our digital But, important services been about we're and us And provide time the obviously them the start with Services That to continue and their and chain we've Investor of has services a relevant clients and that to for issues. they and help operations particularly this technology, in operations. enhanced provide that. investing an manage investments them strategy and as those time production we be did work part so, through of to Day. with And ongoing here -- capabilities on investor from alternatives of investments to and in things point not engaged supply view. is basis. with been do franchise it's we you that, Look,

and pay those some what things, here investments that off. So, those you see all to starting of is of

Jane Fraser

exactly the And is Securities in Services. same true

very-disciplined. being question your to answer the just think, I is no, we're So,

Mark Mason

Yes. Well said.

Operator

Ken next come Our will Instructions] Jefferies. question [Operator Usdin with from

Ken Usdin

is impact just about what's the a premium [Technical that a you a and And can numerator optimization you us related the the on between -- announced? far as the and discern sales talk just the you been billion -- efforts what When RWA. Just follow-up of RWA RWA help of impact through how just are the have Difficulty]? $X.X

Mark Mason

referenced The you. all $X.X is I Thank billion capital.

impact premium of both, numerator get the have that what or that I'm part all as describing. well is as It's the we we -- that sale business. allocated from as any So, gain impact, RWA

had would Australia, of point flows capital. all the as as impact that case of that include into attributed the that coming from CTA example, back a the both, so, well through view. to that we of kind And RWA business In numerator for

closed. associated we that would So remember, when kept CTA. we that communicating the signed took a hit -- the the at was deal I deal when with neutralize

fact, billion contributes did that it there. the and to $X.X roughly In

In optimization a efforts, effort. continuous RWA terms it's of

have made worked to we They on positions an to revenue very to the in We increase recycling -- are and generate -- balance we ICG and metric the making we're trading which team optimize the in that we a sheet did to make postings do RWA to to inventory against to that and continue who the the job constantly in clients derivative for going a trading optimal of proxy And returns. to sure margins working they've collateral progress Markets for sense. it's with that closely growth highest makes quarter that been this through allocated sure franchise, think that initial prospect clients very manage that. the and leverage breadth in particularly I the way that is where good of using,

balance to And make appropriate clients, return going but an so, they've want for been the to our to continue are use we we there that the and we're sheet, to of be serve actively We generating want sure working that. do capital. to

Jane Fraser

because of our returns-focused be shareholders that we've the commitment to that the shift example This our been differently in and managing instituting it's of a across in it's firm Paco across to and to Andy obvious and and very business multidimensional. ICG is And part more Markets that be the way.

Operator

of Bank from America. Poonawala with question next Ebrahim come will Our

Ebrahim Poonawala

Mark, to transitory risk a guess from about you AOCI. leave bit right out? of are open just of deals. you said two-part not to be see XX question. -- going you're for And buybacks to until that a am Jane some not I time I what's tied pushed One, where that for capital, the the slide a the I these just we extended get impact that, Why deals what opportunistic? some Appreciating hearing the XX%? around door line get few you've more just

Given updated do Thank risk, just the feel that is good macro backdrop, like time about a real or you lines? pretty the you.

Mark Mason

Sure. Yes.

that. strength generating are capital frankly, capital that in comes out DFAST another contribute of those of that to we're That's outcome this out industry the that's now. uncertainty take looks for industry Obviously, We're we though feel in, the going what you to We're SCB right higher for to obviously a and to buybacks all point the quarter-by-quarter. help the view. be reflect that requirement. got take are of without the of we opportunity environment We've that. manage capital through relates already. and there. the it to we've by mean, quarter with But the the I we'll can an We as see Again, have year, there'll the from gives to amount PPNR us requirements It's process, like. be should as going SCB that. the there'll higher. was to that things unfortunate. going been next decisions pausing quarter And that -- right to look, So it of do And SCB

quarter-by-quarter. that we'll take So,

transparent But, the terms all like delays closure the very, original with some we presentation did track if, In with we again, very from highlighted do good being that feel we've see highlighted you. on and in we for divestitures, to very a And the you that's there. risk-related when. with of schedule schedule back about feel to there, of getting that we're an And our not the world. it's it's we and we highlight we're

Operator

Morgan with Betsy question next Stanley. come Our from Graseck will

Betsy Graseck

capital more question. One

what do long-term goals XX.X% see outlook give X, your So, you XX%. to here the for capital, slide as for on you medium-term the

is that. expectation tell something SCB there a it or off XXX to must reg basis And you basis fall that Is of thought points, more the exits points so mins that implicit within I sense you was benefit will simplified, somewhere an can as And the but would get us, be be your so. XX part like that get there. what I be? I would

Mark Mason

think that like importantly, view, mix change as et towards Day. We've quarter that I what stronger The come And demonstrated a the years. They working things the and TTS and of that Yes. the some will the we more well. through, Securities got mix Services, et mentioned, in that which about divestitures. that, our of is from certainly point certainly talked consistent mean, are not a executing Look, of sustainable, performance term, earnings, aid an Betsy, things the the SCB least of but divestitures three XX will some on the you including for so we're I of at Investor with couple to coming to as seeing from help strategy, is from this that but of that are areas contribute that cetera, utilization to sort. expect XX.X growth we the us that know, will pullback will of DTA, And I've we predictable the to AOCI things earnings of medium the five we're cetera. other

impact of obviously component I there's as divestitures that time mix. in well. consideration as is our will away So an With to evolve G-SIB also There's management score then, factor evolution the losses, will And balance there's that that G-SIB not with and reduction in certainly go we that reduction there's a in there. those buffer that the only think will a the contribute sheet important peak-to-trough score. deposits

Jane Fraser

Yes.

But only couple requirements a And to of said. it terms we of both capital in we in that but Mark can short-term as divestitures. the built underline lower was the Obviously, strategy, framework. see executing to for over shift you control just how SCB. we're generate greater When the points. not we're in me returns, regulatory shifts wasn't managing our our don't mix Let it time, and capital

It's know, chosen. very each scenario the on you variability experienced much in SCB year. banks depending considerable As the the

with confidence So, that's commitment around the why continue we term. medium our and

Operator

come Research. will Wolfe from question next with Our Chubak Steven

Steven Chubak

had on a follow-up question I So, Mark for NII.

the deposits attrition. some or traject drove NII half increase on specifically, share And the cited ICG As historical should the increase back for $X.X you insights within to whether balance assumes stable Fed the clarify and that how are continues billion within just any I given normalization, the down liability there of business? can Markets wanted path just the QX-related in that you Markets what in NII sensitivity sheet

Mark Mason

to the deposit operating the we think, But On quantitative deposits time. do focus in when earlier. our of growth, over expect as that we is first about growing The back good I And on both, play continued the tightening, half year continue momentum our again, a clients broaden I I where from got momentum to from. we've that quantitative And think as pressure see those I been tightening, and point, out the will those some mentioned will multinational again, operating certainly in with we good the traction put clients commercial really clients. with relationship growth deposits. some well and with position as ability think have we've they with of getting us in

get impact continued particularly some clients. deposits yes, believe we operating can we with So industry, an on the be the have to that across we but likely momentum,

Markets you've European plays the terms second got NII, quarter. out the that dividend In of I mean, in

matters and of total there. the NII I the the like talk we and security revenues total really an really because I'd year-over-year. about And in the that factor and talk when activity have nature we franchise. Markets, did what a Markets again, can to XX% driving impact we out that is the and that there obviously that we're growth can NIR. point you do on about generating And is trading And to of see, So revenues you as revenue

the a So, for good for Markets team very quarter sure.

Operator

you. Thank

come Deutsche from will with Matt question next Our Bank. O'Connor

Matt O’Connor

your seem to of lower $X.X a billion months few that, less much, it's exposure it risk the then kind better or is Russia risk. is how Can about maybe you. much subsidiaries on a why be mix much it a comment of which you the Thank elaborate to than quantify ago? was of like And does would related of MNCs,

Mark Mason

Sure.

actively look, Russia what exposure So, as -- we've been since we've well, our quarter and we been down clients with been the doing and very working the the to the serve has specifically year of in bring beginning working that there. certainly in

working down loans related out down And incentives dials, pay we and with well. been $XXX and do and the in exposure then that those million to and third-party move in giving continued that's down And exposures on million. clients cash so down, direct to them and some their so deposits in by so reduced to and as brought through $XXX deposits bring instances, exposure $X.X another or incentives to that local by have by We quarter. so -- a some billion another or the currency brought we

and mix subsidiaries So, happened that we exposure the the as that that. relates country. has is in the towards team very towards or engagement remains the What's that from to we that the the names higher-quality active have have with global of it skewed

to had the And exposure, that's and the exposure direct to take down reserves quarter. us we in so, names in related reduction quality the that that to the allowed better mix with shift for

made think, of in good want Approximately gets going actively bit we're And that that. overshadowed on I -- continue It to reduction. jump to to terms progress with been, that? progress good do has do impact, so, and in a Jane, that but we've you good very ruble -- the

Jane Fraser

-- jump of be no, let's going sort to Yes, yes very -- of in was in, overall I clear. terms just

you loss which Many which best today, size multinationals. And -- of and them. with nature we $X time. the the is we exits countries. crunching the as the our some most against our with you of systematically are reduced change completely of We can are have And indicator them? Mark the them, the helpful. helping Many that scenario probably billion exposures that franchise. around about doing down are stress And their about exposure. them Particularly takes parent our when them there of is very says, the of is severe of guarantees obviously, now that, What as from materially we're appreciate, all clients think

another are us is operations. it's -- that's that for help indeed that also are can swiftly, our There and it So those our able presence reduce factor that exposure down though others exit to harder.

our seen how of food as difficult from energy. And that imagine, we've given in economy of and sectors, key the and think I all been particular the the that are are can particular some is the of a the couple middle in we've of Russian the in flows essential in you for nature disconnect it bank, to multinationals West West it. supporting those

And they reduce been teams. the so, a that bit that line, playing here will the and hear asked have anticipate story We has we're been we're pleased managed with role blended environment. still us, have issues have of complex that you we're get can exit, flows. energy we you continue time a maintaining a to security how in of you get food addressed. those some to -- to of -- this yes, as And can helping it's over a those but also terms But by and in our bottom

Operator

with Gerard question next from Our will RBC. come Cassidy

Gerard Cassidy

in can do Mark, the peers well. conditions us guys not do and with half of or the guys of and Investment you let both into when second remarks in your share have this have the XXXX, the in you take trading the you market just your market pencil addressed just a remain expenses that conditions Investment opening you to as on to about Markets, division, If Banking, business, the way sharper it run? do -- impact for you seen -- had Banking, your year it

Jane Fraser

partner vision the the over firms. to central then off Look, is advice banking Maybe kick multinational I for to to and strategic Mark. pass being it preeminent

to in and invest continuing platform. are strategically We the in talent

few those sectors to it well, bankers the expect importance. in years brought see that leveraging broader relationships there. there. client build as to in investments share, will because focused so Mark and can where and with decade-long and Banking, going doing Markets continue I'm see are some -- we've a in particular is the of build tech, talk always I've opportunity and sure by very to Commercial You in takes to also the connectivity those focus that out their us It on fruits a about full the on financial health the shift strong ones And services we're care investments. We're a

just to think, you're side for going the certainly the rather a building the firm we're here. from incredibly shooting this be the strategic I So, than us look, hip disciplined We'll and long-term at a expenses. expenses a on long see take term around look because

we you making to in be or And of talent areas. shouldn't core that You've We're quarter. into expenses we'll with seen us we're across about become et stranded right about our very these board organization costs, the that investments the as do talked one. we're this firm shifts, significant us serious. simpler material the in what on the deadly We've Mark? But any make serious this on and cetera. tackling some expecting structure, left

Mark Mason

of look know, I you part is core at there. know, said, value I of to I that's I in Day. at talked lot up starts revenues -- of high-returning you The for that's it's you the be Banking. capital-light prepared leveraging of our the we up so the we're the to to as ramp again. in is up And our it. We revenue part strategy Banking Commercial in jump and the when add have there us. through cycle, the Jane, I'd business well kind as very at thing quite of had, about franchise, part When that's activity Investor breadth as Since is probably quarter XX% that that just strategic know and business. see to XX% wound Jane, you of that we said. of a on kind want the momentum strong a only growth think And Commercial activity, me We

in good as that So, franchise momentum well. the part of

Jane Fraser

having for And well. as our Banking benefits Investment obviously, colleagues

Mark Mason

Those synergies, yes.

Jane Fraser

Important synergies, yes.

Operator

Morgan. Juneja JP from Vivek next Our come with will question

Vivek Juneja

a you on Jane, Mexico. question for

that hurdle? if limit willing if a the And you're be Given accept? of prices And -- bid would price the comments willing to what's of your sort the don't being the meet would that price buyer plan minimum B Mexican what's that pay? President, to that

Jane Fraser

comments question. Mexico Oh, But Vivek, answer you a your nonetheless. I'm not going few to give I'll on

interest in pleased And our with the franchise to buyers. the performing franchise maintaining Mexican It's our based we're it's nicely -- it's contributing the very value. process. So, in its It's more early discussions still on with is But well. results. the financial this than

the So, convey key working far, institutional days. early the look swiftly. actively speculate. nature, our to when But way. far of of variety we obviously as And we through this is that a that will at. to need franchise, in legal process that with to proceedings. to you'd so And a options But, so. work We're can different here of for variety right always time which do you, it's regulatory We're a you we of separating the necessary have hard But, market-leading early have news expect, our so the good. transaction and we we doing global it's network, too part taking on

Operator

Générale. Lim come Our from next with Andrew question Société will

Andrew Lim

obviously about on and to investors reconcile on difficult to is view seemingly feel better outlook which I'd from like recession. your guess, is recession, a lot have than was it one I than at you worse negative when a quarter how more seems it It of negative and was outlook But a look some we ago. delta the the ago. about only bit little a quite on you recession peers, your quarter

were the They pre-pandemic was obviously recession. perhaps better the think because to, how at have just that with at way some mortgage look you the quite look is perception looking ratio, I you really investors it's inconsistent wondering you it's of that talk we the they recession at about dire. and So, savings And levels. affordability,

as you give bit color So to things. of a can perhaps us how about thinking you're

Jane Fraser

Look, we've shaped kick recession. kind where and environment It Russia, macro depends which are it Yes. exceedingly as and in is are is is corporate The and by Mark. the to pass world labor one the imminent recession. current the it you about of to I'll as healthy. rates we're the three In talked about, more Rs: the market U.S., prevailing. consumer rates The tight. off, concerned

it of economy of storm. story. possibility recession us the We you're it's more center about at any and to positioned further a the makes well of it. loud from I Europe, think quite and concerned But next quite year. clear the different energy what is Fragility is think we are supply shocks their hearing increasingly the vulnerable, to withstand that of kind

heading So, this more as as COVID we its into and do could scenario believe China concerns but could under that the continent is the The recession have focused a there. most early could policy. likely around another In be and be fall. problematic Zero you largely back, that -- are economy COVID is Asia, wave bouncing

different you So, factors. put these all

-- about are. on we're that world think the little variety When you where look, a scenarios. depends prepared So, I a in it's bit for of Citi,

ready. risks facing right all now. the are run We global the of unique economy stress We time the tests given set absolutely

resources that Over honed into what reserves. matters can heading a necessary. get many for liquidity, as bank feel Capital, have XX% and our set recession? years playbooks we Total of capital And XQ. four shy credit $X of over We you've instituted a Very liquidity And seen, them. of strong quality are good exposures about investment-grade. corporate trillion. all very ending just as of ratios,

loan NCL And we And about choppy talk million health got is it the heavily of just well strong. clients -- have this little is look X.XX. entering reserve-to-funded very a the let's $XX prime. quarter. are into the we've Our at you only. The was When of the numbers, a extremely consumer bit ICG corporate ratio waters

So, we have a lot of flexibility here.

We have a severe recession.

a we're of whole think taken, as I bank, you'll variety ready see another slower. for one But a actions different certain scenarios. is being Mark?

Mark Mason

everything reserves, in some of the a we concerns build reserve That and our potential on in view quarter, saw Yes. Jane, for just just to we're part by point reserve your the downside driven recession. you took around in light that the was build. seeing on

build we good take associated a about And on point billion So did as bit feel of our Jane we our CECL have with we the a reserves. franchise. reserve and that levels very mentioned, of a $XX from view

Jane Fraser

Yes.

not in a strong I choppy so you and you States. consumer about environment it's recession such of with into labor imminent be that's health to have unusual market. I tight many just where this -- an consumer much entering And an think think when situation a hear so us, concerned the the

Operator

question Fargo next Securities. will Mayo from Our come Mike with Wells

Mike Mayo

me? hear Can you

Jane Fraser

Mike. we Hello Yes, again. can,

Mike Mayo

you investor mentioned have Look, for points us met, I year? looking you to various you proof you've quarter And regain beach to before credibility, proof remind which Thank we Hi, you've points reading. the which proof next meeting in points. accountable and hold my should ahead that. can

Jane Fraser

Okay.

drivers And us hold for come you accountable thoughtful points different We to think those I up transparently in the make with materials. respect. places. we expectations you went exceeded some shareholder all KPIs in trying There different and as put possible this We're the as for very can them are the the a laid into We process proof see And out. were strategy. clearly. others. through very investor-friendly quarter, it as laid the in to out headwinds that

also talked of I productivity, again. Markets, solution one driving capital trade business to You saw -- don't for optimizing we more the business. RWA, so talked cover about the In that stronger need about services, driving we Alpha

slowing market growth tighter brought of Investment you'll was but on on and talent to see IEB the be reinforced being talent synergies. do there. that those Wealth making. and the been revenue and client customer some more metrics. But more by purchase challenged that that been have. disciplined, tough returning delivery and Personal we've key important delighted talking lockdowns on I we pleased Asia about metrics we've scorecard, in Banking, the You some mean, That's with acquisitions processes -- progress that us of key additional in more it's synergies, understandably on drivers the so, more a hearing Banking with obviously to progress sales and strategy acquisition, with hires the

different from on not what a out we out We've Investor laid it's really right? So, laid exactly any strategy. Day,

We've hold different the to We we've change to, lot conviction we you have and get of and way. laid of give a accountability, of and along accountable progress about it where us sense to excellence. out around. should And the provide also a that's talked what we'll where of doing working this of as we're indicators of well you cultural it's urgency, not intensity different And along. go as metrics many

Mark Mason

feel can We to one And Jane. just you a it's in very strong is just us. a mind for think add keep Mike, but thing that I quarter good very this to about I quarter. that, it, If got

Jane Fraser

Yes.

Mark Mason

We things going Investor then, for this we at about one a talked there's We're look but always recognizing more get pay a glad us you're between that we be in remain to but and the lot medium-term these going continued won't KPIs. in franchise to straight confident chop. be dividends that through of And to so, kind those long-term future. the we know And things to It progress accountable it, making that Right? talking Day And quarter. forward we're great And that targets. wood certainly right? investments about are strategy, gave We're you hold is now in sense a line, to of lot we a you a and it. are feel going we there.

Jane Fraser

of have magnitude recognize determined Yes. And we're we done. what fully the and we to get do, this to

Operator

Morgan. question Our Vivek next come will Juneja from with JP

Jane Fraser

Hi, Vivek.

Vivek Juneja

another Hi, trip won't hopefully. Jane. I you Don't you can't one on up answer, worry.

Jane Fraser

I can't. say, a said didn't There's won't. big I difference.

Vivek Juneja

Won't.

Okay. Yes.

will. you've Okay, the one trying good. Mark, given, your the with it not full because second something guide that be that forward, this carry is if growth high should forward? unusually just that Hopefully, there was above the we that reconcile X% I'm that would take quarter NII we X%. just you for to year, in

So, trying the reconcile to difference. what's

Mark Mason

different I what have dynamics, different have each obviously of growth quarters of rate mean, volume different you. the volume Look, and moves, levels

And described between levels would how quarter And as move one so, I quarter kind there's quarters between certainly the different of volume two. rates and well.

full the ex there the of just year. appropriate it is what think an Markets simplify you annualization basis, interest and gave and would we for so, in I how mean it about And it half because on the to

volumes So, businesses. nothing in rates that beyond differences I and notice, would you what the point which is out across would

Operator

no will are There Landis over you. time. now for Thank questions closing I call this Jen further the to turn at remarks.

Jen Landis

if Please, Thank day. have you to any Have IR. for a all reach you. great out you joining call. questions, follow-up today's Thank

Citigroup (C) 15 Jul 222022 Q2 Earnings call transcript