The personal & commercial banking arm of Royal Bank of Canada (RBC) has reported net income of CAD1.4bn ($1.1bn) for the third quarter of fiscal 2017, an increase of CAD77m ($61.3m) or 6% over the year ago period.
Net income in Canadian Banking for the period ended 31 July 2017 stood at CAD1.35bn, up CAD65m or 5% compared to the year ago quarter. The rise in income was due to volume growth of 7%, higher fee-based revenue and lower provision for credit losses, RBC said in its earnings statement.
Caribbean & US Banking reported net income of CAD50m, a rise of CAD12m over the year ago figure. The bank attributed the increase to lower costs and higher net interest income.
Overall, the banking group posted net income of CAD2.79bn for the third quarter of fiscal 2017, a decrease of CAD99m or 3% compared to last year.
The group’s CET1 ratio at the end of 31 July 2017 stood at 10.9%, an increase of 40 basis over the last year.
RBC president and CEO Dave McKay said: “RBC had a solid third quarter and strong results for the first nine months of the year, and we are proud to have been ranked highest in overall customer satisfaction for the second year in a row. I am also pleased to announce a 5% increase to our quarterly dividend as part of our commitment to deliver long-term shareholder value.
“We are driving sustainable growth by further investing in our people, digital capabilities, and key markets, while leveraging our strengths in data and technology to exceed our clients’ expectations.”