EY - Key themes from Q1 2014 earnings calls

Key themes from Q1 2014 earnings calls

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Earnings calls in Q1 2014 reflected an operating environment that was less volatile than previous quarters. As Citigroup CEO Michael Corbat said, “We’ve kind of transitioned out of the year-end malaise, which was largely focused around the Fed’s stance [on tapering], and I think we’ve seen volumes and confidence pick up.” Corbat did note, however, that the turmoil in Ukraine is affecting sentiment.

EY - Q1 2014 earnings season: top 10 themes

Earnings calls reflected positive trends in several areas:

  • Few banks reported charges for litigation, restructuring or extraordinary provisions
  • Credit quality continued to improve, as illustrated by lower impairments
  • Banks remain well-capitalized
  • Banks are honing their focus on key customer segments and core business lines

Our top 10 themes (see the chart) illustrate these trends. Strategic planning appeared as a new theme, while conduct issues dropped from the ranking.

(For more information about Q1 2014 earnings calls and the top 10 themes, download the full report.

Top 10 themes: 1Q14 earnings season

EY - Q1 2014 earnings season: top 10 themes ×

Note: The theme shaded in gold is new to the list this quarter; the theme shaded in dark gray dropped out of the top 10.

Top 10 themes: 1Q14 earnings season

EY - Q1 2014 earnings season: top 10 themes ×

Note: The theme shaded in gold is new to the list this quarter; the theme shaded in dark gray dropped out of the top 10.