National Bank beats profit expectations as revenue rises
MONTREAL — National Bank of Canada reported a first-quarter profit of $922 million, up from $876 million a year earlier, as its revenue rose across its business.
The Montreal-based bank said Wednesday the profit amounted to $2.59 per diluted share for the quarter ended Jan. 31, up from $2.47 per diluted share a year earlier.
Revenue for the quarter totalled $2.71 billion, up from $2.56 billion in the same quarter last year.
National Bank’s provisions for credit losses totalled $120 million, up from $86 million a year earlier.
On an adjusted basis, the bank says it earned $2.59 per diluted share for its most recent quarter, up from an adjusted profit of $2.54 per diluted share in its first quarter last year.
The average analyst estimate had been for a profit of $2.36 per share, according to estimates compiled by financial markets data firm Refinitiv.
Royal Bank of Canada also beat profit expectations in earnings released Wednesday. Bank of Nova Scotia and Bank of Montreal reported earnings Tuesday.
“These results reflect the earnings power of our diversified business mix and relevance of our defensive posture,” National Bank chief executive Laurent Ferreira said in a statement.
“Our effective capital deployment, active cost management, and commitment to maintaining a prudent credit profile are serving us well, particularly in an uncertain macroeconomic environment. We enter the second quarter on solid footing.”
National Bank said its personal and commercial banking business earned $339 million in its first quarter, up from $326 million a year earlier, helped by higher revenues, partly offset by higher non-interest expenses and higher provisions for credit losses.
The bank’s wealth management business earned $196 million
Read more on financialpost.com
