Company: CFG-PE
Filing Date: 2025-02-13
Form Type: 10-K
Source: 0000759944-25-000013
Chunk: 773

Company: CITIZENS FINANCIAL GROUP INC/RI
Filing Date: 2025-02-13
Form: 10-K
Item: Item 5
Chunk 773
---
 Underlying basis, earnings per diluted common share of $3.24 compared to $3.88 in 2023.

•Total revenue decreased $415 million to $7.8 billion compared to 2023, driven by a decrease of 10% in net interest income.

•The efficiency ratio of 67.0% was stable compared to 2023.

◦On an Underlying basis, the efficiency ratio of 65.2% compared to 60.8% in 2023.

•ROTCE of 9.8% compared to 10.9% in 2023.

◦On an Underlying basis, ROTCE of 10.5% compared to 13.5%.

•Tangible book value per common share of $32.34 increased 5% from 2023.

For additional information regarding our financial performance, see “Results of Operations — 2024 compared with 2023” included in this report.

Citizens Financial Group, Inc. | 40

RESULTS OF OPERATIONS — 2024 compared with 2023 

Net Interest Income

Net interest income is our largest source of revenue and is the difference between the interest earned on interest-earning assets (generally loans and investment securities) and the interest expense incurred in connection with interest-bearing liabilities (generally deposits and borrowed funds). The level of our net interest income is primarily a function of the difference between the effective yield on our average interest-earning assets and the effective cost of our interest-bearing liabilities. Factors that influence our net interest income include, but are not limited to, the pricing and mix of interest-earning assets and interest-bearing liabilities which, in turn, are impacted by external factors such as economic conditions, competition for loans and deposits, the monetary policy of the FRB and market interest rates. For further discussion, refer to the “Market Risk” and “Risk Governance” sections of this report.

Citizens Financial Group, Inc. | 41

The following table presents the major components of our net interest income. Average balance represents amortized cost, excluding the unamortized basis adjustments related to the transfer of certain HTM securities from AFS, and LHFS. The yield/rate is based on annualized interest income or expense for the periods presented and includes the impact of hedging activities associated with the respective asset and liability categories.

Table 2: Major Components of Net Interest IncomeYear Ended December 31,20242023Change(dollars in millions)AverageBalanceIncome