Citigroup's Q1 2023 Profit Surpasses Expectations Despite Investment Banking Fee Decline.

Citigroup's Q1 profit beat expectations due to higher interest income from loans, but it set aside $241 million to cover potential loan losses amid a slowing economy. The bank's deposit growth was flat, while its loans fell marginally. Analysts predict an economic slowdown will depress net interest margins across the industry in the coming quarters, which could derail Citi's plan to better rival peers in profitability. The bank's investment banking revenue sank 25% from a year ago, and it slipped to ninth position in the list of financial advisors based on deal value.