Royal Bank of Canada reported on Friday that its profif for the first quarter ended January 31 rose 4%. Canada’s largest bank said U.S. earnings momentum and lower loan-loss provisions were behind the gain.

Net profit was $779 million, or $1.12 a share, compared with $722 million, or $1.03 a share, a year ago.

Net income from recent U.S. acquisitions, such as RBC Centura, RBC Dain Rauscher and RBC Liberty Insurance, rose to $81 million from $53 million a year ago.

Retail banking earnings rose 6% to $412 million from $387 million. The insurance and investments divisions both added double-digit growth.

Only the RBC Capital Markets unit posted a decline in the first quarter. The bank blamed weak capital market conditions for lower earnings from equity sales and trading and investment banking activities.

Return on equity slipped to 16.9% from 17.1%. Gross revenues fell to $3.96 billion from $4.05 billion, reflecting weak equity markets.

Provision for credit losses stood at $200 million in the first quarter from a year-earlier $286 million.

The bank also raised its quarterly dividend by 7.5%, or 3¢, to 43¢.

Commenting on the results, Gordon Nixon, resident and CEO, said,”Considering the challenging capital markets environment, we delivered solid results. This reflects our diversified business base, prudent cost and risk management and increased earnings contribution from our U.S. businesses.”