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Jun 30, 2021

Citizens Q2 2021 Earnings Report

Citizens Financial Group demonstrated strength and diversity in its business model, with a decrease in mortgage revenue partially offset by record results in Capital Markets and Wealth.

Key Takeaways

Citizens Financial Group reported a net income of $648 million and EPS of $1.44 for the second quarter of 2021. The company's underlying ROTCE was 17.7% and underlying EPS was $1.46.

Underlying ROTCE of 17.7% and underlying EPS of $1.46 reflects diversity of fee businesses and excellent credit results

Underlying PPNR of $629 million reflects lower Mortgage revenue, record results in Capital Markets and Wealth, net interest income up 1%, and well-controlled expenses.

Credit provision benefit of $213 million driven by macroeconomic improvement and strong credit performance

Strong capital position with CET1 at 10.3%

Total Revenue
$1.61B
Previous year: $1.75B
-8.1%
EPS
$1.46
Previous year: $0.53
+175.5%
Efficiency Ratio
62%
Previous year: 55.9%
+10.9%
Underlying Efficiency Ratio
61%
Previous year: 54.9%
+11.1%
Return on Tangible Common Equity
17.5%
Gross Profit
$1.61B
Previous year: $1.75B
-8.1%
Cash and Equivalents
$12.6B
Previous year: $7.45B
+69.8%
Total Assets
$185B
Previous year: $180B
+2.9%

Citizens

Citizens

Forward Guidance

The company expects loan growth to accelerate in the second half of the year as the economy continues to grow and excess liquidity is redeployed. They have commenced work on a TOP 7 program, with details to be announced later this year.