Bank Of Montreal on Tuesday said fourth-quarter earnings and revenue both topped expectations amid technological moves that improved efficiency and customer service.
The bank reported earnings in the quarter that ended on Oct. 31 of C$2.10 ($1.58), topping the C$1.85 average estimate from analysts polled by Capital IQ and the year-earlier figure of C$1.90. Fiscal fourth-quarter revenues came in at C$5.28 billion, above consensus of $5.13 billion and the $4.98 billion reported a year earlier.
Net income in the quarter was C$1.35 billion, up 11% year-over-year, the company said. BMO took a credit loss of C$174 million, up from $128 million last year, and increased its dividend by C$0.02 to C$0.88.
For the full year, adjusted net income totaled C$5.02 billion, up 7% from the prior year, the bank said. Adjusted earnings totaled C$7.52, also up 7%. The company took a credit loss of $815 million in 2016, up from $612 million the prior year. The annual dividend was $3.36, up 5%.
“The actions we have taken over the last several years to advance our strategic priorities are reflected in strong performance for the fourth quarter and the year,” Chief Executive Officer Bill Downe said. “In every part of the bank, we balanced decisions to improve operating efficiencies with those aimed at enabling future growth. We are well-capitalized with a strong balance sheet and a consistent and disciplined approach to managing risk.”