National Bank of Canada Segments Growth Drive 4Q Profit, Revenue Rise

By Adriano Marchese

National Bank of Canada on Friday reported a rise in profit and revenue in its fiscal fourth quarter, driven by good performances among its main segments.

For the period ended Oct. 31, the Canadian bank posted net income 768 million Canadian dollars ($566.4 million), which on a per-share basis was C$2.14. This is up from last year at this time when it reported net income of C$738 million, or C$2.08 a share.

Adjusted earnings rose to C$2.44 a share. According to FactSet, analysts were expecting a rise to C$2.26 a share.

Total revenue rose to C$2.59 billion from C$2.33 billion. Analysts were expecting revenue to rise to C$2.64 billion.

National Bank of Canada benefited from higher revenue in its personal and commercial segment, which rose 8% thanks largely to growth in its loans and deposits. Its wealth management segment also saw growth in revenue, rising 4% year-over-year, while the financial markets business increased by 31%.

Provision for credit losses, which are provisions that the bank sets aside to cover bad or uncollected debt, rose to C$115 million from C$87 million a year ago.

Common equity tier 1 ratio, a measurement of a bank's core capital compared with its riskier assets such as loans and mortgages, was 13.5% compared with 12.7% a year earlier.

Write to Adriano Marchese at adriano.marchese@wsj.com

(END) Dow Jones Newswires

December 01, 2023 07:09 ET (12:09 GMT)

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