Royal Bank of Canada today reported its second-quarter profit rose 19%, bolstered by strong performance across all business units.
The bank said net income for the quarter ended April 30, was $907 million, or $1.37 a share, up from $760 million, or $1.14 per share, in the year-before period.
The Canadian personal and business banking unit improved its bottom line by 5.6% to add $531 million to overall profit.
The U.S. and international personal and business arm saw net income surge 92.5% to contribute $77 million overall as the bank cracked down on costs and revenue grew.
Meanwhile, the global capital markets segment increased earnings by 24% despite weaker trading results.
Revenue rose 5% to $4.7 billion. Return on equity, a key yardstick of financial performance, rose to 19.9% from 16.8%.
Royal Bank booked $116 million in loan loss provisions in the quarter, down $33 million from the year-before quarter.
Gordon Nixon, president and CEO, said the bank was pleased with the results. “We continue to benefit from low interest rates, a strong economy and relatively benign credit conditions,” he said in a release.
The bank raised its quarterly dividend by 11%, or 6¢, to 61¢ per share.
Royal Bank profit rises 19% in second quarter
- By: IE Staff
- May 27, 2005 May 27, 2005
- 09:10