Latest news with #streamlining
Globe and Mail
4 days ago
- Business
- Globe and Mail
C's Business Overhaul Progresses Well: Is This Convincing Investors?
Citigroup Inc. C has been emphasizing leaner, streamlined operations to reduce expenses. The transformation process includes an organizational restructuring, which resulted in a streamlined and straightforward management structure aligned with and supporting the bank's strategy. In January 2024, the bank announced plans to cut 20,000 jobs, approximately 8% of its global staff, by 2026. So far, the bank has made significant progress, reducing its headcount by 10,000 employees. Also, Citigroup has been focusing on growth in its core businesses by streamlining its international operations. In April 2021, C announced plans to exit the consumer banking business in 14 markets across Asia and EMEA. The freed-up capital is likely to be reallocated to higher-return segments like wealth management and investment banking. In sync with this, last month, Citigroup, through its subsidiary Citibank Europe Plc, announced that Citi Handlowy agreed to sell its consumer banking business in Poland. The company has already successfully exited consumer banking businesses in nine countries — Australia, Bahrain, India, Indonesia, Malaysia, the Philippines, Taiwan, Thailand and Vietnam. As part of its strategy, Citigroup continues to make progress with the wind-downs of its Korea consumer banking operations and its overall operations in Russia. It is also preparing for an initial public offering of its consumer banking and small business, and middle-market banking operations in Mexico. Through such initiatives, the company expects revenues to see a compounded annual growth rate of 4-5% by 2026-end and will further drive $2-2.5 billion of annualized run rate savings. Management expects the return on tangible common equity to be 10-11% by 2026. Key Competitors Challenging Citigroup Wells Fargo WFC is making efforts to strengthen its operations. While the bank is reducing headcount and streamlining processes, it is investing in its branch network and upgrading digital tools to augment the customer experience. As part of its attempts to improve the branch experience, Wells Fargo is investing more in branch staff and upgrading technology. This allows it to maintain a focus on cost management while enhancing customer service and accessibility. With such strategic efforts, Wells Fargo expects $2.4 billion of gross expense reductions in 2025, driven by efficiency initiatives. Bank of America BAC continues to strengthen its operations by aligning its banking centers according to customer needs. The bank has embarked on an ambitious expansion plan to open financial centers in new and existing markets. By 2027, Bank of America plans to expand its financial center network by opening more than 150 centers. It also remains committed to providing modern and state-of-the-art financial centers through its ongoing renovation and modernization project. These initiatives will enable Bank of America to improve its digital offerings and cross-sell several products, including mortgages, auto loans and credit cards. C's Price Performance, Valuation & Estimates Shares of Citigroup have gained 10.4% year to date compared with the industry 's growth of 9.6%. Meanwhile, BAC shares have gained 2.2% and WFC has risen 8.8% in the same time frame. Price Performance From a valuation standpoint, C trades at a forward price-to-earnings (P/E) ratio of 9.42X, below the industry's average of 13.70X. Price-to-Earnings F12M The Zacks Consensus Estimate for C's 2025 and 2026 earnings implies a year-over-year rise of 23% and 25.9%, respectively. The estimates for 2025 and 2026 have been revised upward over the past 30 days. Image Source: Zacks Investment Research Citigroup currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. 5 Stocks Set to Double Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2024. While not all picks can be winners, previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%. Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor. Today, See These 5 Potential Home Runs >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Bank of America Corporation (BAC): Free Stock Analysis Report Wells Fargo & Company (WFC): Free Stock Analysis Report Citigroup Inc. (C): Free Stock Analysis Report
Associated Press
22-05-2025
- Business
- Associated Press
DSS, Inc. Reports Strong Q1 2025 Financial Performance, Setting the Stage for Strategic Growth
NEW YORK, May 22, 2025 (GLOBE NEWSWIRE) -- DSS, Inc. (NYSE American: DSS), a multinational company operating across diverse industries including packaging, real estate, and biomedical innovation, today announced financial results for the first quarter of 2025, highlighting meaningful progress in its financial repositioning and a strong foundation for corporate execution in the coming quarters. In a quarter focused on streamlining operations and financial discipline, DSS delivered significant improvements in key financial metrics: 'These results show clear, measurable progress in the financial realignment strategy we launched earlier this year,' said Jason Grady, CEO of DSS, Inc. 'In my January letter to shareholders, I outlined the urgent need to cut inefficiencies, strengthen our balance sheet, and lay the groundwork for sustained growth. This quarter proves that work is paying off. As we continue to streamline operations, we're now turning our attention toward execution in our core verticals and identifying smart, accretive opportunities that will drive long-term value. The foundation is in place and now we're building on it.' The Company plans to continue to showcase measurable results from initiatives in development, operations, and M&A activity as the year progresses. With a renewed focus on high-potential business units and capital allocation, DSS is positioning itself for a dynamic second half of 2025 and beyond. To read the 2025 CEO shareholder letter, visit: Forward-looking Statements: The foregoing material may contain 'forward-looking statements' within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, each as amended. Forward-looking statements include all statements that do not relate solely to historical or current facts, including without limitation statements regarding the Company's product development and business prospects, and can be identified by the use of words such as 'may,' 'will,' 'expect,' 'project,' 'estimate,' 'anticipate,' 'plan,' 'believe,' 'potential,' 'should,' 'continue' or the negative versions of those words or other comparable words. Forward-looking statements are not guarantees of future actions or performance. These forward-looking statements are based on information currently available to the Company and its current plans or expectations and are subject to a number of risks and uncertainties that could significantly affect current plans. Should one or more of these risks or uncertainties materialize, or the underlying assumptions prove incorrect, actual results may differ significantly from those anticipated, believed, estimated, expected, intended, or planned. Although the Company believes that the expectations reflected in the forward-looking statements are reasonable, the Company cannot guarantee future results, performance, or achievements. Except as required by applicable law, including the security laws of the United States, the Company does not intend to update any of the forward-looking statements to conform these statements to actual results. About DSS, Inc.: DSS, Inc. (NYSE American: DSS) is a multinational company operating businesses across multiple high-growth sectors. DSS focuses on creating, acquiring, and investing in innovative companies that drive sustainable value for its shareholders. For investor and media inquiries or additional information, please contact: DSS, Inc. Investor Relations Email: [email protected] Phone: +1 (585) 565-2422
Reuters
16-05-2025
- Business
- Reuters
US Federal Reserve aims to trim staff by 10% in coming years
WASHINGTON, May 16 (Reuters) - The Federal Reserve plans to shrink its workforce by about 10% over the coming years, bringing the U.S. central bank in line with President Donald Trump's broader efforts to streamline the federal government, according to a memo that Fed Chairman Jerome Powell sent to staff on Friday. In the internal memo, a copy of which was seen by Reuters, Powell said that he has directed Fed leadership to find "incremental" ways to trim operations, with a goal of shrinking the Fed's roughly 24,000 person headcount nationwide by about 10% over "the next couple of years." The memo was first reported by Bloomberg. As part of that effort, the Fed plans to offer a voluntary deferred resignation program to board staff in Washington who would be eligible to retire at the end of 2027. The memo made no mention of any involuntary cuts or layoffs. "Experience here and elsewhere shows that it is healthy for any organization to periodically take a fresh look at its staffing and resources," Powell wrote in the memo, noting the Fed previously made similar changes in the 1990s when President Bill Clinton sought to reduce the size of the federal government. "I believe it is time to do it again, in that same conscientious and deliberate spirit," Powell added. In the memo, Powell did not provide many details on how the Fed may revamp efforts, but emphasized any changes would prioritize the Fed's mandates and statutory obligations, and ensure that its work remains "high quality, nonpolitical and mission-focused." The new Fed initiative comes as Trump has launched an aggressive effort to downsize and reshape the U.S. government via billionaire adviser Elon Musk's Department of Government Efficiency, or DOGE. While the Fed does not have its budget set by Congress and does not report directly to the White House, Powell said the central bank must be a "careful and responsible steward of public resources." Powell gave a nod to the broader Trump-led effort by noting that the Fed often pursues cuts of its own "when there have been government-wide efforts to improve efficiency, like in the 1990s and now."
