Citigroup reported net income of $2.9 billion, or $0.95 per diluted share, for the first quarter 2012 on revenues of $19.4 billion. The average estimate of 17 analysts surveyed by Bloomberg News was $1.02 a share in adjusted earnings.

Citi said CVA/DVA was a negative $1.3 billion during the first quarter, resulting from the tightening of Citi’s credit spreads, compared to a negative $256 million in the prior year period. First quarter results also included a net gain of $477 million from minority investments. Excluding CVA/DVA and the net gain from minority investments, first quarter revenues were $20.2 billion and earnings were $1.11 per diluted share, up 1% and 7% respectively from the prior year period.

Vikram Pandit, Citi’s chief executive officer, said, “While our businesses operated in an improved environment, we also saw the benefit of our investments. We generated revenue growth and had positive operating leverage across all three of Citi’s core businesses. Global Consumer Banking, our largest business, produced another quarter of good growth in revenues, net income and key drivers like loans and deposits. Transaction Services had record quarterly revenues as it captured increasing share in global trade finance, and Securities and Banking rebounded strongly with year-over-year revenue growth excluding the impact of CVA/DVA.”

“While the operating environment improved in the first quarter, there is still much macro uncertainty and we will continue to manage risk carefully. We will continue to leverage the depth and the scale of our global presence to serve our clients and grow our businesses,” added Pandit.

To read the full Citigroup news release click here.