Citigroup's combined gain-on-sale and mortgage servicing revenue increased by 34% in the second quarter over the same period last year.
The company reported $174.9 million of revenue from its mortgage business, compared with $167.8 million for the first quarter and $133.9 million for the second quarter of 2014.
Origination volume totaled $8.8 billion, up 42% over last year's $6.2 billion. This is also an increase of 26% over the first quarter's $7 billion.
At the same time, Citi has shrunk its mortgage servicing portfolio to $165 billion from $168.2 billion at the end of the first quarter and $175.9 billion on June 30, 2014.
The company has continued to reduce the number of mortgage loans it holds on its balance sheet. As of the end of the second quarter, it had $51 billion of mortgage loans on the books, of which $23 billion were first mortgages originated by CitiMortgage and $7 billion were originated by CitiFinancial, its
One year prior, there was $67 billion of mortgages on the books, with $27 billion originated by CitiMortgage, $8 billion by CitiFinancial and $32 billion of home equity loans.
Delinquencies in the mortgage portfolio fell to 2.54% as of June 30, down from 4.24% on the same day in 2014 and 5.48% on June 30, 2013.
Citigroup reported net earnings of $4.8 billion for the second quarter, a vast improvement over the $181 million net earnings recorded for the same period last year.
