(Toronto) The Bank of Montreal on Wednesday announced an increase in its quarterly dividend, despite its unveiling of second-quarter earnings down from the same period last year, which was notably attributable to an increase in its provisions for credit losses.
The bank announced Wednesday that it will now pay a quarterly dividend of $1.47 per share, up 4 cents per share from the previous $1.43.
Bank of Montreal earned $1.06 billion, or $1.30 per share, for the quarter ended April 30, down from $4.76 billion, or $7.13 per share, of the same quarter a year earlier.
Revenue totaled 8.44 billion, compared to 9.32 billion last year, while the bank’s provision for credit losses was 1.02 billion, after having been only 50 million in the previous year. second quarter of last year.
On an adjusted basis, Bank of Montreal reported earnings of $2.93 per share in its most recent quarter, down from adjusted earnings of $3.23 per share for the same period. last year.
Analysts on average were targeting adjusted earnings of $3.19 per share, according to forecasts compiled by financial markets data firm Refinitiv.
“Our performance in the quarter reflects the broad diversity of our businesses and the strength, size and stability of our balance sheet, reinforced by the successful acquisition of Bank of the West,” the CEO said in a statement. of management, Darryl White.
Bank of Montreal reached an agreement on February 1 to acquire California-based bank Bank of the West.
In the second quarter, personal and business services in Canada brought in 861 million, compared to 940 million in the same quarter last year, while the same activities in the United States earned 789 million, compared to 588 million a year earlier. .
Bank of Montreal’s wealth management business reported a profit of $284 million, down from $314 million in the same quarter last year.
The bank’s capital markets business brought in $380 million, up from $448 million a year earlier.
Bank of Montreal’s business services division lost $1.26 billion in its most recent quarter, down from a profit of $2.47 billion in the same quarter last year.
Company in this post: (TSX: BMO)