Citigroup Citigroup one of the worst hit banks in the current financial crisis announced a profit of $101 million for the third quarter. This is definitely a reduction from last quarter when the bank had reported profit of $4.28 billion. However last year in the corresponding period the bank had reported a loss of $2.82 billion. Like the other banks analyzed Citigroup still continues to be plagued by high credit losses. Credit losses were marginally down from $8.4 billion in the second quarter to $8 billion in the third quarter.  Managed credit losses at $11 billion was also down from $11.5 billion in the second quarter. The total credit cost at $9.1 billion in the third quarter was lower than $12.7 billion reported in the second quarter. The bank’s third quarter revenue increased to $20.39 billion as compared to $16.26 billion in the same period a year ago. Citi had received stimulus  [...]

Last month four of the US banking giants announced their third quarter financial results. With the banking sector in doldrums, every quarterly result announcement is being awaited for some good news and being scrutinized by analyst like never before. All these four banks were among the biggest recipients of payouts from government. Lets analyse their financial statements to understand what they did right and what went wrong. Gold Man Sachs A year after receiving government aid, Goldman Sachs Group had an impressive third quarter with profits of $3.19 billion , or $5.25 a share up from $845 million, or $1.81 a share, a year earlier. Overall the bank doubled its revenue to $12.4 billion from $6.04 billion last year. In spite of having a record level of capital the firm managed an impressive return on equity of 21.4% compared with 7.7 percent in the third quarter of 2008. Segment wise the  [...]