Royal Bank of Canada Posts Higher Q4 Profit

Royal Bank of Canada

reported a rise in its fourth-quarter profit. The bank's quarterly net income surged to C$2.3 billion ($2.02 billion), or C$1.57 per share, up from C$2.1 billion, or C$1.40 per share, in the year-ago period. Its cash diluted earnings per share came in at C$1.59 per share, versus analysts' estimates of C$1.58 per share. RBC's personal and commercial banking net income climbed 8% to C$1.15 million, while net income at its wealth management arm surged 41% to C$285 million. Net income at capital markets arm slipped 14% to C$402 million. Insurance net income climbed $149 million to $256 million, while net income at investor & treasury services rose 24% to $113 million. Total PCL rose 3% y/y to $345 million. RBC announced its quarterly common share dividend of 75 cents a share, payable on and after February 24, 2015. "We delivered another strong quarter of earnings growth, demonstrating the strength of our retail businesses and capital position, as well as our continued focus on efficiency management activities," said Dave McKay, RBC President and CEO. RBC shares fell 2.20% to close at $71.44 yesterday.