Bank of Montreal (TSX:BMO) says fourth-quarter profits grew 21% to $897 million on stronger results in its Canadian retail banking operations.
The Toronto-based bank, the last of Canada’s five-biggest banks to report its earnings, posted results equal to $1.34 per share for the three month period, up from $739 million or $1.24 per share a year ago.
On an adjusted basis, earnings were equivalent to $1.27 per share, below analyst expectations of $1.31 per share, according to a poll by Thomson Reuters.
Bank of Montreal’s total revenue increased to $3.88 billion from $3.23 billion.
BMO’s Canadian personal and commercial banking operations posted an increase of 1.5% to $424 million.
The bank’s capital markets division suffered a 30% tumble in profits to $149 million compared with the same period last year as it contended with volatile market conditions which affected revenues.
“There is no question that the softening economic environment has had an impact on market conditions and consumer and business confidence,” said president and CEO Bill Downe in a release.
“Recognizing the potential for a continuing moderate growth environment, we are emphasizing the combination of a strong customer commitment and a focus on streamlining process, tight discipline in support functions and the elimination of unnecessary expense.”
Bank of Montreal has more than 47,000 employees across its entire operations, which include retail banking, wealth management and investment banking, as well as its Chicago-based Harris Bank subsidiary, which has branches in 11 states.