Load up the trucks, boys. Citi is never wrong. Not. That they are not all in the clinker is a sign of the depravity of the regulatorium.
Read what they say. The average Schmuck who listens to them will not pick up the lie ( or childish mistake ) they are committing
They are getting out in front of higher revenue and lower margins by telling you that mgt is going to make greater capital investments but that is not true.
The P&L bottom line is the same for what will happen using their "non GAAP" accounting but the mechanism is simply that they are lowering their rates. Their gross margins.
And their processes are fundamentally no different from anyone else so they are facing higher logical transaction costs.
With a small amount if creative accounting you will not see this without seeing their journals or their client ledgers.
With pimps like Citi fighting to keep this going the ultimate disappointment may be delayed! Einstein said he did not know what the weapons of WWIII would look like but he was sure of the weapons of WWIV.... sticks and stones.