RBC beats expectations even as loan loss provisions surge by more than 50%
TORONTO — Royal Bank of Canada reported a first-quarter profit of $3.58 billion, up from $3.13 billion a year earlier, as the money it set aside for bad loans rose.
The bank says the profit amounted to $2.50 per diluted share for the quarter ended Jan. 31, up from $2.23 per diluted share in its first quarter last year.
Revenue for the three-month period totalled $13.49 billion, up from $13.36 billion.
RBC says its provisions for credit losses totalled $813 million for the quarter, up from $532 million a year earlier — an increase of 53 per cent.
On an adjusted basis, the bank says it earned $2.85 per diluted share in its most recent quarter, down from an adjusted profit of $3.04 per diluted share in the same quarter last year.
The average analyst estimate had been for a profit of $2.80 per share, according to estimates compiled by financial markets data firm Refinitiv.
The bank kept its quarterly dividend unchanged at $1.38 per share.
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