RBC reports Q2 profit up, raises dividend, plans to buy back 30 million shares

By The Canadian Press on May 30, 2024.

TORONTO – Royal Bank of Canada raised its dividend as it reported its second-quarter profit rose compared with a year ago, helped by record earnings in its capital markets business.

The bank says it will now pay a quarterly dividend of $1.42 per share, an increase of four cents. It also says it plans to buy back up to 30 million of its shares.

The moves came as RBC says it earned $3.95 billion or $2.74 per diluted share for the quarter ended April 30, up from $3.68 billion or $2.60 per diluted share a year earlier.

Revenue totalled $14.15 billion, up from $12.45 billion in the same quarter last year. while the bank’s provision for credit losses amounted to $920 million for the quarter, up from $600 million a year ago.

On an adjusted basis, RBC says it earned $2.92 per diluted share, up from an adjusted profit of $2.68 per diluted share a year earlier.

Analysts on average had expected a profit of $2.75 per share, according to LSEG Data & Analytics.