Bank of Montreal’s net income fell 12% during the first quarter, the bank said Tuesday.
BMO earned $225 million, or 39¢ a share, in the quarter ended Jan. 31, compared with $255 million, or 47¢ a share, a year ago.
The company reported adjusted cash earnings of $1.09 a share after excluding capital markets environment charges of 69¢ a share.
“Our core business performed well. P&C Canada, our Canadian personal and commercial banking unit, reported strong year-over-year growth, with higher revenues and net income up 12%,” said Bill Downe, president and CEO.
Profit at the bank’s Canadian consumer and commercial lending business rose 12%, to $325 million.
Profit at the bank’s U.S. lending operations was US$27-million, roughly the same as a year ago.
BMO Capital Markets reported a profit of $179 million, up $208 million from a year ago when the unit had posted a loss.
The bank’s private client group’s earnings fell to $57 million, from $96 million a year ago, on lower revenue from investing fees and the mutual fund business as well as a $17 million charge to buy auction-rate securities back from some U.S. customers.
The bank’s results included $528 million in charges related to the capital markets, such as writedowns due to exposure to asset-backed commercial paper. The charges amount to $359 million after tax.
The bank maintained its quarterly dividend at 70¢ a share.
IE
Bank of Montreal profit down 12% in Q1
Canadian personal and commercial banking unit performs well
- By: IE Staff
- March 3, 2009 March 3, 2009
- 08:50