National Bank narrowly beats expectations as income climbs

Boosted by income progress in all enterprise segments, National Bank of Canada on Wednesday reported the next fourth-quarter revenue than final yr, narrowly beating analyst expectations within the course of.

On an adjusted foundation, the financial institution earned $928 million, up from $850 million a yr in the past, leading to earnings per share of $2.61. Analysts had anticipated the financial institution to earn $2.57 per share, in keeping with Canaccord Genuity Corp.

Net revenue for the three-month interval ending Oct. 31 was $955 million, up from $751 million throughout the identical interval final yr, leading to internet earnings per share of $2.69.

The lender mentioned the rise was attributable to “good efficiency in all the enterprise segments owing to income progress.” The outcomes have been, nevertheless, affected by will increase in non-interest bills, provisions for credit score losses (PCL) — the amount of cash banks maintain apart to sort out potential unhealthy loans — and revenue taxes.

“Through disciplined execution, robust natural progress and resilient credit score efficiency, we met all of our medium-term monetary goals in 2024,” National Bank chief govt Laurent Ferreira mentioned in an announcement. “Looking forward to 2025 in what’s going to stay a posh setting, we are going to proceed to leverage our diversified enterprise mannequin and disciplined strategy to credit score, capital and prices as we pursue our progress path.”

The financial institution’s whole PCL elevated to $162 million, from $115 million throughout the identical interval final yr.

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The Montreal-based financial institution elevated its quarterly dividend by 4 cents to $1.14.