CIBC 3Q adj ROE 14.2%, est. 13.3%

CIBC 3Q adj ROE 14.2%, est. 13.3%

Royal Bank of Canada (RBC) has reported record net income of C$5.4 billion for the quarter ended July 31, 2025, up 21% year-on-year. The Toronto-listed bank attributed this growth to strong performance across its business segments, including wealth management. Diluted earnings per share (EPS) rose 21% to C$3.75, while adjusted net income and adjusted EPS increased 17% and 18%, respectively [1].

RBC's wealth management division played a significant role in the bank's financial performance. Wealth management net income stood at C$1.1 billion, a 15% increase from the previous year, primarily driven by higher fee-based client assets as markets rose. The net income figure also improved by 18% from the previous quarter [1].

The bank's strong capital position is evident in its Common Equity Tier 1 ratio of 13.2%, a standard international benchmark of capital shock absorber. This robust capital base supports RBC's diversified business model and disciplined approach to risk and expense management [1].

In contrast, CIBC reported its adjusted return on equity (ROE) for the third quarter as 14.2%, with an estimated ROE of 13.3% for the year. While CIBC's performance is notable, RBC's significant growth in wealth management and overall financial health highlights the resilience and strength of its operations [2].

References:
[1] https://www.familywealthreport.com/article.php/RBC%27s-Latest-2025-Quarterly-Results-Show-Rising-Net-Income%2C-Higher-Wealth-Fees
[2] CIBC 3Q adj ROE 14.2%, est. 13.3%