Pudong Bank 1H non-performing loans ratio 1.31%

Pudong Bank 1H non-performing loans ratio 1.31%

Royal Bank of Canada (RBC) has reported its Q3 earnings, with a notable 1.7% increase in US pre-market trading following the release of its financial report. The bank's diverse business segments, including Personal & Commercial Banking, Wealth Management, Investor Services, Capital Markets, and Insurance, contributed to the overall positive performance. Here's a detailed look at the key aspects of the report.

Record Net Income and EPS Growth

RBC reported record net income of $5.4 billion for the quarter ended July 31, 2025, marking a 21% increase from the prior year. Diluted EPS also rose to $3.75, up 21% over the same period. The bank's adjusted net income and adjusted diluted EPS were $5.5 billion and $3.84, respectively, representing a 17% and 18% increase from the previous year [2].

Segment Performance

- Personal & Commercial Banking: Net income increased by $352 million or 22% year-over-year, driven by higher net interest income and non-interest income. The segment saw a 3% average volume growth and higher spreads.
- Wealth Management: Net income grew by $147 million or 15% year-over-year, primarily due to higher fee-based client assets and net sales.
- Insurance: Net income increased by $77 million or 45% year-over-year, driven by improved life insurance claims experience and lower capital funding costs.

Capital Position and Shareholder Returns

RBC's capital position remains robust, with a CET1 ratio of 13.2%. The bank returned $3.1 billion to shareholders through common share dividends and share buybacks. The PCL on loans ratio of 35 bps increased 8 bps from the prior year, reflecting higher provisions in some segments.

Key Takeaways

RBC's Q3 earnings report highlights the bank's strong performance across various segments, driven by growth in revenue and cost management. The record net income and EPS growth, coupled with a robust capital position, indicate a resilient financial health. The bank's focus on technology and talent, as well as its disciplined approach to risk and expense management, have been instrumental in achieving these results.

References

[1] https://www.nasdaq.com/articles/heres-why-you-should-consider-investing-rbc-bearings-stock-now
[2] https://finance.yahoo.com/news/royal-bank-canada-reports-third-100000645.html