RBC beats profit estimates on wealth and retail growth
Royal Bank of Canada beat profit estimates as wealth management income rose 32 percent. Strong retail banking results helped offset higher credit loss provisions.
Royal Bank of Canada reported first-quarter earnings on Thursday that surpassed analyst expectations, fueled by significant growth in its wealth management and personal banking segments. The results highlight a broader trend among lenders in Canada who are prioritizing fee-based, high-margin operations to navigate a period of subdued consumer and business confidence linked to trade tensions with the United States.
The wealth management division was a standout performer, recording a 32% increase in net income to C$1.3 billion ($950.22 million). This growth was driven by higher fees from client assets as the bank continues to expand its adviser base and scale its operations internationally.
