OTTAWA: Two more of Canada’s big banks reported earnings Thursday, with CIBC saying net income for the fourth quarter is up 20 per cent and TD Bank with net income up 25 per cent.
Despite low interest rates and a slow economy, Canada’s big five banks are turning in solid earnings. Scotiabank, which reported two days ago, saw a nine per cent rise in profit to $2.01 billion. RBC saw its profit slide compared to a year earlier, but still earned more than $2.5 billion in the quarter. CIBC is reporting $931 million of net income in its fourth quarter, up 20 per cent from $778 million in the same period last year.
The Toronto-based bank is also raising its quarterly dividend by three cents per share to $1.24 per share, with the first payment at the higher rate coming on Jan. 31.
CIBC says its net income amounted to $2.32 per share for the three months ended Oct. 31. That included 25 cents per share of restructuring charges, totalling $98 million after taxes, primarily due to employee severance.
On an adjusted basis, CIBC’s profit amounted to $2.60 per share — up from $2.36 per share in the fourth quarter of 2015.
Revenue for the quarter was $3.68 billion, up from $3.48 billion a year earlier. For its full 2016 financial year, CIBC’s net income was $4.30 billion, up from $3.59 billion in 2015, while revenue was $15.04 billion, up from $13.86 billion.
