Major U.S. banks reported mixed results Thursday, as Citigroup Inc. revealed weak third quarter earnings, but Goldman Sachs Group Inc. posted another strong quarter.

Citigroup reported net income for the third quarter of just US$101 million. Third quarter revenues were US$20.4 billion, but the bank also recorded US$8 billion in net credit losses and an US$802 million higher net loan loss reserves.

During the third quarter, Citigroup completed its previously announced exchange offers. This resulted in an US$851 million after-tax gain, but also in a US$3.1 billion reduction in income available to common shareholders, resulting in an incremental net 18¢ loss per share. The reported loss per share also reflected preferred stock dividends, which did not affect net income but reduced income available to common shareholders by US$288 million or 2¢ per share.

“We continue to execute steadily against our plan, and sustainable profitability remains our primary goal in the near term. While consumer credit trends are improving in international markets, the U.S. consumer credit environment remains challenging,” stated Vikram Pandit, chief executive officer of Citigroup. “Looking forward, we will continue to focus on sustainable profitability and growth, repaying TARP and helping support America’s economic recovery.”

At the same time, Goldman Sachs Group, Inc. reported net revenues of US$12.4 billion and net earnings of US$3.2 billion for its third quarter. Net revenues in investment banking were US$899 million, 31% lower than the third quarter of 2008 and 38% lower than the second quarter of 2009. But net revenues in trading and principal investments were US$10.03 billion, significantly higher than the third quarter of 2008 and 7% lower than a record second quarter of 2009. Asset managementn net revenues were US$1.45 billion, 29% lower than the third quarter of 2008 and 6% lower than the second quarter of 2009.

“Although the world continues to face serious economic challenges, we are seeing improving conditions and evidence of stabilization, even growth, across a number of sectors,” said Lloyd Blankfein, chairman and CEO of Goldman. “Our client franchise businesses – advisory, financing, market making and asset management – contribute to and benefit from the overall improvement in conditions. Because the job market, and growth more generally, remain under stress, we continue to be focused on actively helping our clients in order to promote greater economic activity.”

IE