National Bank of Canada today reported lower profit for the first quarter ended January 31.

Net earnings for the quarter were $217 million, down from $239 million in the year-ago period, which benefited from a $25 million one-time gain on the sale of South American investments.

Earnings per share were $1.28, down 8% from $1.39 a year ago, which included 15¢ per share from the net gain on the Latin American disposal.

Revenue slipped to $979 million from $983 million. Excluding last year’s $37-million one-time pre-tax gain, revenue was up 4%

Annualized return on equity was 19.9% in the November-January quarter, above the bank’s target of 16% to 18% but down from 23.6% a year ago.

The bank’s personal and commercial banking group booked a 2% earnings rise to $114 million, while wealth management profits grew 46% to $38 million from $26 million and financial market activities contributed $82 million, up 8% from a year ago.

“Wealth management recorded solid net income growth on the strength of our trust operations and mutual funds,” said Real Raymond, president and CEO, in a news release.

Net interest income advanced 4.3% to $337 million, owing to higher volumes of consumer and business loans. The interest rate spread, which had narrowed in recent quarters, held steady in the first quarter.

Operating expenses were up by $31 million to $644 million, mainly because of higher salaries and benefits, chiefly pension plan costs.

The bank recorded a $17 million specific provision for credit losses during the quarter, the same as in the year-earlier period. Gross impaired loans stood at $259 million at January 31.