Citizens Financial Group (NYSE:CFG) shares are in focus Wednesday after the Providence-based lender reported fourth-quarter earnings that significantly outpaced Wall Street estimates, driven by a sharp rise in net interest margin (NIM) and record-setting deposits in its Private Bank division.
Citizens reported fourth-quarter net income of $528 million, up 32% year-over-year, with earnings per share (EPS) of $1.13, comfortably beating the analyst consensus of $1.11.
For the full year 2025, the bank generated net income of $1.8 billion and EPS of $3.86.
The bank’s "Private Bank" initiative—launched in 2023 to capture high-net-worth clients following the regional banking turmoil—reached a major milestone, hitting $14.5 billion in deposits by year-end.
This segment contributed a 7% accretion to the bottom line with a stellar 25% return on equity (ROE).
CEO Bruce Van Saun highlighted the bank's "positive operating leverage," which rose 5.2% year-over-year on an underlying basis.
The bank's performance was further bolstered by strong fee growth in Capital Markets and Wealth Management.
Following the results, the board declared a quarterly common stock dividend of $0.46 per share, payable on February 18, 2026.