PROVIDENCE – Citizens Financial Group Inc. on Wednesday reported a year-end profit of $1.83 billion for 2025, an increase of about 21% from $1.51 billion in 2024, as higher net interest income and fee revenue drove improved results.
The Providence-based parent of Citizens Bank said full-year revenue net of interest expense rose about 6% to roughly $8.25 billion, up from approximately $7.81 billion in 2024. Net interest income increased during the year as asset yields improved and balance-sheet repricing continued, according to Citizens.
Noninterest expense for the full year rose about 1.5% to roughly $5.31 billion, compared with about $5.23 billion a year earlier, as the bank continued investing in technology, talent and customer-facing operations.
For the fourth quarter ended Dec. 31, Citizens reported net income of $528 million, up 32% from $401 million in the fourth quarter of 2024. Earnings per diluted share were $1.13, up about 36% from 83 cents a year earlier and above the consensus estimate of analysts surveyed by Zacks Investment Research.
Revenue net of interest expense, the money the bank earns after paying interest on deposits and borrowings, totaled about $2.16 billion for the quarter, an increase of roughly 8.5% from a year ago.
Net interest income rose about 9% year over year to approximately $1.54 billion, reflecting an improved net interest margin and loan growth.
“We are pleased to report strong full-year and fourth quarter results that reflect execution of our growth initiatives and continued improvement in our net interest margin,” Citizen's Chairman and CEO Bruce Van Saun said. “Our diverse revenue streams and disciplined expense management positioned us well for 2025 and set the stage for continued progress in 2026.”
Meanwhile, net interest margin – a key metric that assesses what the company earns on interest charged on loans minus the interest it pays for deposits – rose to 3.06% in the fourth quarter from 2.86% a year earlier.
Noninterest income for the quarter rose about 8%, driven by strength in capital markets and wealth management fees.
The bank’s provision for credit losses during the quarter was in line with expectations, as credit quality remained stable across consumer and commercial portfolios.
Total assets stood at approximately $226 billion at year-end, while deposits increased in targeted segments, including private banking. Loan balances were relatively stable compared with a year earlier.
Citizens also announced that its board of directors declared a quarterly common stock dividend of 46 cents per share, payable Feb. 18 to shareholders of record at the close of business on Feb. 4.
Material from The Associated Press was used in this report.
Matthew McNulty is a PBN staff writer. He can be reached at McNulty@PBN.com or on X at @MattMcNultyNYC.
