BMO Financial wealth income rises in Q2

BMO Financial wealth management unit has reported a net income of C$305m ($225.7m) for the second quarter of 2019.

This marks a rise of 3% from last year’s figure of C$296m.

The unit’s adjusted net income, which excludes the amortisation of acquisition-related intangible assets, also increased 3% year-on-year to C$315m.

Reported net income of C$226m and adjusted net income of C$236m in traditional wealth remained almost stable.

Total revenue at the wealth division was C$1.84bn, up 16% from C$1.58bn in the previous year.

Traditional wealth revenue rose 1% to C$1.14bn on a year-on-year basis.

Assets under management totalled C$465.5bn at the end of April 2019, an increase of 6% from a year ago.

The firm attributed the rise to “stronger equity markets, growth in client assets and favourable foreign exchange”.

Group performance

Overall, the banking group registered a net income of C$1.49bn for the three-month period ended 30 April 2019.

This is a 20% surge from last year’s income of C$1.24bn.

Adjusted net income at the group increased 4% to C$1.52bn from C$1.46bn.

The group’s net revenue also increased, recording a 8% growth from C$5.25bn to C$5.65bn.

BMO Financial Group CEO Darryl White said: “BMO’s continued strong performance this quarter is highlighted by good momentum across our U.S. platform and in our North American Commercial Banking business, reflecting our differentiated approach to growing customer relationships.

“For the first half of the year, adjusted earnings per share are up 7% and our U.S. segment contributed 35% to BMO’s adjusted earnings.”