Citigroup’s acquisition of Costco’s co-branded credit card portfolio from Amex in June 2016 continues to pay off.
In its Q4 2016 earnings release, Citi posted 8% overall revenue growth on a constant-currency basis.
The Costco portfolio appears to be a major driver of Citi’s overall growth right now.
Costco cards are still driving massive spending. The customer base, which likely totals roughly 12 million, saw over $52 billion in purchase sales in its first six months, and over $6 billion in loan growth, according to the firm’s earnings call. That’s really strong performance — for context, Amex saw roughly $80 billion in Costco billed business in 2015, which puts Citi’s annual run rate roughly $24 billion ahead of the Amex card.
