Citigroup is anticipated to put up income within the fourth quarter – that's what the Road expects

Jane Fraser, General Manager for Latin America at Citigroup Inc., speaks during the Milken Institute Global Conference in Beverly Hills, California on Monday, April 29, 2019.

Kyle Grillot | Bloomberg via Getty Images

Citigroup is expected to post a fourth quarter profit ahead of the opening bell on Friday.

Here's what Wall Street expects:

  • Earnings: $ 1.34 per share, 38% less than a year earlier, according to Refinitiv
  • Revenue: $ 16.7 billion, down 9.1% from a year earlier
  • Net interest margin: 2.01% according to the FactSet
  • Trading volume: Fixed Income: $ 2.61 billion, Equities: $ 697 million, according to FactSet

Citigroup made history when it announced that Jane Fraser would take over the running of the business. This made it the first major Wall Street bank to be run by a woman.

Now, weeks before she takes on Mike Corbat, Fraser is expected to address investors and analysts for the first time on Friday. Shareholders are excited to see how Fraser, a former McKinsey partner who ran the bank's Latin American operations before becoming president in 2019, will improve the company's returns.

Citigroup, the third largest US bank by assets, was hurt by relatively poor performance when compared to competitors such as JPMorgan Chase. These results have frustrated investors like the activist hedge fund ValueAct. The bank is also working on a government agency agreement to tighten its internal risk controls after accidentally sending nearly $ 900 million to Revlon lenders last year.

Citigroup has announced that trading revenues will increase 15% year over year in the fourth quarter, while investment banking fees should increase 10% to 15%.

The shares of the New York-based bank fell 23% last year, compared with the KBW Bank Index's 4.3% decline.

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