Citizens Financial Group ( (CFG) ) has released its Q4 earnings. Here is a breakdown of the information Citizens Financial Group presented to its investors.
Stay Ahead of the Market:
- Discover outperforming stocks and invest smarter with Top Smart Score Stocks
- Filter, analyze, and streamline your search for investment opportunities using Tipranks' Stock Screener
Citizens Financial Group, Inc. is a leading financial institution based in Providence, Rhode Island, offering a wide range of retail and commercial banking services across the United States. It is known for its comprehensive suite of banking products and services, including lending, savings, wealth management, and capital market solutions.
In its fourth quarter 2024 earnings report, Citizens Financial Group announced a net income of $401 million, or $0.83 per share, with underlying net income reaching $412 million, translating to an EPS of $0.85. The company maintained a strong Common Equity Tier 1 (CET1) capital ratio of 10.8% and a Loan-to-Deposit Ratio (LDR) of 79.6%.
Key highlights from the report include a 3% increase in Net Interest Income (NII) driven by a 10-basis point improvement in Net Interest Margin (NIM) to 2.87%, and a 6% increase in fees, primarily from Capital Markets. The company’s liquidity profile remains robust, with average deposits remaining stable and growth observed in Private Bank spot deposits. Additionally, Citizens Financial reported a solid Return on Tangible Common Equity (ROTCE) of 10.7%.
Despite a decrease in period-end loans, Citizens Financial Group’s balance sheet remains strong, with strategic investments in Private Bank and the commercial middle market contributing to positive operating leverage. Management expressed optimism in achieving targets, particularly with its Private Bank, which hit significant milestones in deposits, loans, and assets under management.
Looking ahead, Citizens Financial Group remains focused on executing its key initiatives and expects to continue building on its strong performance in 2025. The company has also declared a quarterly common stock dividend of $0.42 per share, reflecting its commitment to returning value to shareholders.
