Canadian Imperial Bank of Commerce says it had $1.19 billion of net profit in the fourth quarter, down 6% from the comparable period of 2018, as adjusted earnings came in below analyst estimates.
Among other things, the quarter was negatively affected by a $135-million goodwill impairment charge related to the expected sale of CIBC’s controlling interest in FirstCaribbean International Bank Ltd.
CIBC’s net profit amounted to $2.58 per share, while adjusted earnings were $2.84 per share.
In last year’s fourth quarter, CIBC had $1.27 billion of net income, or $2.80 per share, and $3 per share of adjusted earnings.
Revenue for the three months ended Oct. 31 was $4.77 billion, up from $4.45 billion in last year’s fourth quarter and above analyst estimates.
In Canadian commercial banking and wealth management, revenue of $1.03 billion was up $42 million from the fourth quarter of 2018, boosted in part by strong volume growth and higher fee-based assets driven by market appreciation in wealth management, the bank said in its earnings release.
Analysts had estimated $3.06 per share of adjusted profit and $4.72 billion of revenue, according to financial markets data firm Refinitiv.