The big banks are reporting their quarterly earnings and the season has started well with record net income for Royal Bank of Canada.
RBC reported record net income of $3,109 million for the third quarter ended July 31, 2018, up $313 million or 11% from the prior year with double-digit diluted EPS(1) growth of 14%. Quarter-over-quarter growth was 2%.
Personal and business banking, wealth management, and capital markets all did well while insurance and investor & treasury services saw lower results.
Among the personal banking business, RBC highlights solid growth in Canadian residential mortgages.
“We delivered record earnings of $3.1 billion this quarter with strong results in our largest businesses. In addition, I am pleased to announce a 4% increase to our quarterly dividend," said Dave McKay, RBC President and Chief Executive Officer. "Our results demonstrate our continued focus on deepening existing client relationships by providing more value, and our commitment to delivering on the objectives we introduced at our Investor Day. We maintained our focus on risk management and expense control; at the same time, we continue to invest in long-term sustainable growth, including in the United States.”
More market update: