By Dhirendra Tripathi

Investing.com – Citigroup Stock fell 2.2% (NYSE:) Friday, as increased expenses and weaknesses at its consumer bank unit caused fourth quarter profit to be below estimates. However, revenue was almost in line with expectations.

Jane Fraser, the chief executive officer of Wall Street Bank, took the reins in March. She has been embarking on a strategy review that will see the bank exit its consumer banking activities in 13 countries, mainly in Asia. The bank has already made deals in seven different countries with prospective buyers.

The bank announced that it would be leaving Mexico’s small and consumer banking sector. This announcement was not made in the original plan.

To $17 billion, total revenue increased by 1% over the year before. However, expenses rose 18% to $13 billion due to withdrawal charges and bank’s increased investments in technology and control system improvements.

Inflation and revenue were both higher than the prior year period. However, net income was down 26% on $3.2 Billion. According to the bank, there was a $1.1 billion pre-tax (after taxes), impact on these divestitures in the results for quarter.

Including the impact of costs stemming from Asia divestitures, the bank’s earnings per share were 24% lower at $1.46. EPS increased 4% to $1.99 despite this impact. This is due to the decrease in share count as a result of buybacks.

Global consumer banking revenues fell 6% to $7Billion, mainly due to a 3% decline in revenue from Citi North America credit cards. This was because more customers chose to pay off their balances.

As a result, investment banking was able to generate revenue that rose 43% from $1.8 billion due to increased capital market activity. More customers sought the bank’s advice on IPOs and M&As.

After a record 2021 year for equity, market revenue dropped 11% to $4Billion. Rising government bond yields, volatility in credit markets and lower fixed income market revenue caused a 20% drop in fixed income markets revenues.