Citigroup acknowledged on Friday that it had recorded 'very disappointing' results in the fourth quarter, due to a whole series of charges and provisions.

The US banking group reported a net loss of over $1.8 billion for the last three months of fiscal 2023, compared with a net profit of $2.5 billion a year earlier.

In a press release, Citi explains that it was hit by a $1.7 billion charge due to a "revaluation" imposed by the US Federal Deposit Insurance Corporation (FDIC).

A $1.3 billion reserve was also set aside to cover risks associated with Argentina and Russia, in addition to an $880 million loss due to the depreciation of the Argentine peso.

Lastly, the Group reported a $780 million restructuring charge in connection with the simplification of its organization.

Excluding all these items, Citi would have posted earnings per share (EPS) of 84 cents, above the market consensus of 79 cents.

The company added that it had paid out six billion dollars to its shareholders in the form of dividends and share buybacks last year, including 1.5 billion dollars in the fourth quarter alone.

In pre-market trading, the share price rose by more than 2% following this publication.

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