BMO's 2025 audited annual consolidated financial statements and accompanying Management Discussion and Analysis (MD&A) are available online at www.bmo.com/investorrelations and at www.sedarplus.ca.
Financial Results Highlights
Fourth Quarter 2025 compared with Fourth Quarter 2024:
Reported net income1 of $2,295 million, compared with $2,304 million; adjusted net income1 of $2,514 million, an increase of 63% from $1,542 million
Reported earnings per share (EPS)2 of $2.97, an increase of 1% from $2.94; adjusted EPS1, 2 of $3.28, an increase of 73% from $1.90
Provision for credit losses (PCL) of $755 million, compared with $1,523 million
Reported return on equity (ROE) of 10.7%, compared with 11.4%; adjusted ROE1 of 11.8%, compared with 7.4%
Common Equity Tier 1 (CET1) Ratio3 of 13.3%, compared with 13.6%
Declared a quarterly dividend of $1.67 per common share, an increase of $0.04 or 2% from the prior quarter, and an increase of $0.08 or 5% from the prior year
Fiscal 2025 compared with Fiscal 2024:
Reported net income1 of $8,725 million, an increase of 19% from $7,327 million; adjusted net income1 of $9,248 million, an increase of 24% from $7,449 million
Reported EPS2 of $11.44, an increase of 20% from $9.51; adjusted EPS1, 2 of $12.16, an increase of 26% from $9.68
PCL of $3,617 million, compared with $3,761 million
Reported ROE of 10.6%, compared with 9.7%; adjusted ROE1 of 11.3%, compared with 9.8%
TORONTO, Dec. 4, 2025 /PRNewswire/ - BMO Financial Group (TSX:BMO) (NYSE:BMO) reported net income for fiscal 2025 was $8,725 million, compared with $7,327 million in the prior year, and EPS2 of $11.44, compared with $9.51. Reported ROE was 10.6%, compared with 9.7% in fiscal 2024. Adjusted net income for fiscal 2025 was $9,248 million and adjusted EPS was $12.16, an increase from $7,449 million and $9.68, respectively, in the prior year. Adjusted ROE was 11.3%, compared with 9.8% in fiscal 2024.
Reported net income for the fourth quarter of 2025 was $2,295 million, compared with $2,304 million in the prior year, and reported EPS was $2.97, compared with $2.94. Adjusted net income for the fourth quarter was $2,514 million and adjusted EPS was $3.28, an increase from $1,542 million and $1.90, respectively, in the prior year.
"Fiscal 2025 was a strong year for BMO, with consistent execution and growing momentum to achieve our commitments to shareholders. We delivered both robust earnings growth and improved return on equity, driven by significant pre-provision, pre-tax earnings expansion, and sustained positive operating leverage. Revenue increased across all of our diversified businesses reflecting our success in delivering world-class client experiences and deepening relationships. We're deploying capital to drive future growth and higher shareholder returns," said Darryl White, CEO, BMO Financial Group.
"We enter 2026 in a position of financial strength, with a focused strategy and a winning culture that continues to grow and attract talent across the bank. At the same time, we're building on our investments in digital and AI-powered solutions to drive value for our clients. We're particularly excited to welcome the teams and clients of Burgundy Asset Management to BMO, as we continue to expand our private wealth solutions. These strengths position us to accelerate our performance and create long-term shareholder value, while continuing to support the clients and communities we serve," concluded Mr. White.
Concurrent with the release of results, BMO announced a first quarter 2026 dividend of $1.67 per common share, an increase of $0.04 or 2% from the prior quarter and an increase of $0.08 or 5% from the prior year. The quarterly dividend of $1.67 per common share is equivalent to an annual dividend of $6.68 per common share. During the quarter, we purchased for cancellation 8.0 million common shares under the normal course issuer bid.
Caution
The foregoing section contains forward-looking statements. Please refer to the Caution Regarding Forward-Looking Statements section.
(1)
Results and measures in this document are presented on a generally accepted accounting principles (GAAP) basis. They are also presented on an adjusted basis that excludes the impact of certain specified items from reported results. Adjusted results and ratios are non-GAAP and are detailed in the Non-GAAP and Other Financial Measures section. Unless otherwise indicated, all amounts are in Canadian dollars. All ratios and percentage changes in this document are based on unrounded numbers.
(2)
All EPS measures in this document refer to diluted EPS, unless specified otherwise.
(3)
The CET1 Ratio is disclosed in accordance with the Capital Adequacy Requirements (CAR) Guideline, as set out by the Office of the Superintendent of Financial Institutions (OSFI), as applicable.
Fourth Quarter 2025 Performance Review
Adjusted results and ratios in this section are on a non-GAAP basis. Refer to the Non-GAAP and Other Financial Measures section for further information on adjusting items. The order in which the impact on net income is discussed in this section follows the order of revenue, expenses and provision for credit losses, regardless of their relative impact.
Effective the fourth quarter of 2025, BMO combined its U.S. wealth management business, previously reported within Wealth Management, with U.S. Personal and Commercial Banking to form a unified U.S. Banking operating segment. BMO now reports financial results for four operating segments: Canadian Personal and Commercial Banking, U.S. Banking, Wealth Management and Capital Markets. Financial results for prior periods have been reclassified to conform with the current presentation.
Canadian P&C
Reported net income was $752 million, relatively unchanged from the prior year, and adjusted net income was $800 million, an increase of $35 million or 5%. Results reflected a 7% increase in revenue, primarily driven by higher net interest income due to both higher margins and balance growth, partially offset by higher expenses and a higher provision for credit losses.
U.S. Banking
Reported net income was $807 million, an increase of $526 million from the prior year, and adjusted net income was $871 million, an increase of $518 million.
On a U.S. dollar basis, reported net income was $582 million, an increase of $372 million from the prior year, and adjusted net income was $627 million, an increase of $365 million. Results reflected a 3% increase in revenue, driven by higher non-interest revenue and net interest income, lower expenses and a lower provision for credit losses.
Wealth Management
Reported net income was $383 million, an increase of $82 million or 27% from the prior year, and adjusted net income was $384 million, an increase of $83 million or 28%. Wealth and Asset Management reported net income was $304 million, an increase of $56 million or 23%, reflecting higher revenue due to the impact of stronger global markets and net sales, balance growth and higher brokerage transaction volumes, partially offset by higher expenses. Insurance net income was $79 million, an increase of $26 million or 48% from the prior year, primarily due to favourable market movements in the current year and business growth.
Capital Markets
Reported net income was $521 million, an increase of $270 million from the prior year, and adjusted net income was $532 million, an increase of $262 million or 97%. Results reflected higher revenue in both Global Markets and Investment and Corporate Banking, higher expenses and a lower provision for credit losses.
Corporate Services
Reported net loss was $168 million, compared with reported net income of $721 million in the prior year, with the change reflecting a reversal of a legal provision in the prior year. Adjusted net loss was $73 million, compared with adjusted net loss of $147 million, with the change driven by higher treasury-related revenue, partially offset by higher expenses.
Capital
BMO's Common Equity Tier 1 (CET1) Ratio was 13.3% as at October 31, 2025, a decrease from 13.5% at the end of the third quarter of 2025, as internal capital generation was more than offset by the impact of the purchase of common shares for cancellation and higher source currency risk-weighted assets.
Regulatory Filings
BMO's continuous disclosure materials, including interim filings, annual Management's Discussion and Analysis and audited annual consolidated financial statements, Annual Information Form and Notice of Annual Meeting of Shareholders and Proxy Circular, are available on our website at www.bmo.com/investorrelations, on the Canadian Securities Administrators' website at www.sedarplus.ca, and on the EDGAR section of the U.S. Securities and Exchange Commission's website at www.sec.gov. Information contained in or otherwise accessible through our website (www.bmo.com), or any third-party websites mentioned herein, does not form part of this document.
Bank of Montreal uses a unified branding approach that links all of the organization's member companies. Bank of Montreal, together with its subsidiaries, is known as BMO Financial Group. In this document, the names BMO and BMO Financial Group, as well as the words "bank", "we" and "our", mean Bank of Montreal, together with its subsidiaries.
Caution Regarding Forward-Looking Statements
Bank of Montreal's public communications often include written or oral forward-looking statements. Statements of this type are included in this document and may be included in other filings with Canadian securities regulators or the U.S. Securities and Exchange Commission, or in other communications. All such statements are made pursuant to the "safe harbor" provisions of, and are intended to be forward-looking statements under, the United States Private Securities Litigation Reform Act of 1995 and any applicable Canadian securities legislation. Forward-looking statements in this document may include, but are not limited to: statements with respect to our objectives and priorities for fiscal 2026 and beyond; our strategies or future actions; our targets and commitments (including with respect to net zero emissions); expectations for our financial condition, capital position, the regulatory environment in which we operate, the results of, or outlook for, our operations or the Canadian, U.S. and international economies; and include statements made by our management. Forward-looking statements are typically identified by words such as "will", "would", "should", "believe", "expect", "anticipate", "project", "intend", "estimate", "plan", "goal", "commit", "target", "may", "might", "schedule", "forecast", "outlook", "timeline", "suggest", "seek" and "could" or negative or grammatical variations thereof.
By their nature, forward-looking statements require us to make assumptions and are subject to inherent risks and uncertainties, both general and specific in nature. There is significant risk that predictions, forecasts, conclusions or projections will not prove to be accurate, that our assumptions may not be correct, and that actual results may differ materially from such predictions, forecasts, conclusions or projections. We caution readers of this document not to place undue reliance on our forward-looking statements, as a number of factors, many of which are beyond our control and the effects of which can be difficult to predict, could cause actual future results, conditions, actions or events to differ materially from the targets, expectations, estimates or intentions expressed in the forward-looking statements.
The future outcomes that relate to forward-looking statements may be influenced by many factors, including, but not limited to: general economic and market conditions in the countries in which we operate, including labour challenges and changes in foreign exchange and interest rates; political conditions, including changes relating to, or affecting, economic or trade matters, including tariffs, countermeasures and tariff mitigation policies; changes to our credit ratings; cyber and information security, including the threat of data breaches, hacking, identity theft and corporate espionage, as well as the possibility of denial of service resulting from efforts targeted at causing system failure and service disruption; technology resilience, innovation and competition; failure of third parties to comply with their obligations to us; disruptions of global supply chains; environmental and social risk, including climate change; the Canadian housing market and consumer leverage; inflationary pressures; changes in laws, including tax legislation and interpretation, or in supervisory expectations or requirements, including capital, interest rate and liquidity requirements and guidance, including if the bank were designated a global systemically important bank, and the effect of such changes on funding costs and capital requirements; changes in monetary, fiscal or economic policy; weak, volatile or illiquid capital or credit markets; the level of competition in the geographic and business areas in which we operate; exposure to, and the resolution of, significant litigation or regulatory matters, our ability to successfully appeal adverse outcomes of such matters and the timing, determination and recovery of amounts related to such matters; the accuracy and completeness of the information we obtain with respect to our customers and counterparties; our ability to successfully execute our strategic plans, complete acquisitions or dispositions and integrate acquisitions, including obtaining regulatory approvals, and realize any anticipated benefits from such plans and transactions; critical accounting estimates and judgments, and the effects of changes in accounting standards, rules and interpretations on these estimates; operational and infrastructure risks, including with respect to reliance on third parties; global capital markets activities; the emergence or continuation of widespread health emergencies or pandemics, and their impact on local, national or international economies, as well as their heightening of certain risks that may affect our future results; the possible effects on our business of war or terrorist activities; natural disasters, such as earthquakes or flooding, and disruptions to public infrastructure, such as transportation, communications, power or water supply; and our ability to anticipate and effectively manage risks arising from all of the foregoing factors.
We caution that the foregoing list is not exhaustive of all possible factors. Other factors and risks could adversely affect our results. For further information, please refer to the discussion in the Risks That May Affect Future Results section, and the sections related to credit and counterparty, market, liquidity and funding, operational non-financial, legal and regulatory compliance, strategic, environmental and social, and reputation risk in the Enterprise-Wide Risk Management section of BMO's 2025 Annual Report, all of which outline certain key factors and risks that may affect our future results. Investors and others should carefully consider these factors and risks, as well as other uncertainties and potential events, and the inherent uncertainty of forward-looking statements. We do not undertake to update any forward-looking statements, whether written or oral, that may be made from time to time by the organization or on its behalf, except as required by law. The forward-looking information contained in this document is presented for the purpose of assisting shareholders and analysts in understanding our financial position as at and for the periods ended on the dates presented, as well as our strategic priorities and objectives, and may not be appropriate for other purposes.
Material economic assumptions underlying the forward-looking statements contained in this document include those set out in the Economic Developments and Outlook section and the Allowance for Credit Losses section of BMO's 2025 Annual Report. Assumptions about the performance of the Canadian and U.S. economies, as well as overall market conditions and their combined effect on our business, are material factors we consider when determining our strategic priorities, objectives and expectations for our business. In determining our expectations for economic growth, we primarily consider historical economic data, past relationships between economic and financial variables, changes in government policies, and the risks to the domestic and global economy.
Financial Highlights
TABLE 1
(Canadian $ in millions, except as noted)
Q4-2025
Q3-2025
Q4-2024
Fiscal 2025
Fiscal 2024
Summary Income Statement (1)
Net interest income
5,496
5,496
5,438
21,487
19,468
Non-interest revenue
3,845
3,492
3,519
14,787
13,327
Revenue
9,341
8,988
8,957
36,274
32,795
Provision for credit losses on impaired loans
750
773
1,107
3,147
3,066
Provision for credit losses on performing loans
5
24
416
470
695
Total provision for credit losses (PCL)
755
797
1,523
3,617
3,761
Non-interest expense
5,556
5,105
4,427
21,107
19,499
Provision for income taxes
735
756
703
2,825
2,208
Net income
2,295
2,330
2,304
8,725
7,327
Net income attributable to non-controlling interest in subsidiaries
7
3
3
16
9
Dividends on preferred shares and distributions on other equity instruments
163
66
152
436
386
Net income available to common shareholders
2,125
2,261
2,149
8,273
6,932
Adjusted net income
2,514
2,399
1,542
9,248
7,449
Adjusted net income available to common shareholders
2,344
2,330
1,387
8,796
7,054
Common Share Data ($, except as noted) (1)
Basic earnings per share
2.98
3.14
2.95
11.46
9.52
Diluted earnings per share
2.97
3.14
2.94
11.44
9.51
Adjusted diluted earnings per share
3.28
3.23
1.90
12.16
9.68
Book value per share
111.57
108.29
104.40
111.57
104.40
Closing share price
174.23
152.94
126.88
174.23
126.88
Number of common shares outstanding (in millions)
End of period
708.9
716.3
729.5
708.9
729.5
Average basic
713.3
719.5
729.4
721.9
727.7
Average diluted
715.1
720.8
730.1
723.3
728.5
Market capitalization ($ millions)
123,513
109,552
92,563
123,513
92,563
Dividends declared per common share
1.63
1.63
1.55
6.44
6.12
Dividend yield (%)
3.7
4.3
4.9
3.7
4.8
Dividend payout ratio (%)
54.7
51.9
52.6
56.2
64.3
Adjusted dividend payout ratio (%)
49.6
50.3
81.5
52.8
63.1
Financial Measures and Ratios (%) (1) (2)
Return on equity
10.7
11.6
11.4
10.6
9.7
Adjusted return on equity
11.8
12.0
7.4
11.3
9.8
Return on tangible common equity
14.4
15.6
15.6
14.3
13.5
Adjusted return on tangible common equity
15.4
15.6
9.7
14.7
13.1
Efficiency ratio
59.5
56.8
49.4
58.2
59.5
Adjusted efficiency ratio
56.7
55.8
58.3
56.3
58.6
Operating leverage
(21.2)
4.2
29.8
2.4
19.8
Adjusted operating leverage
3.0
2.9
2.4
4.3
1.6
Net interest margin on average earning assets
1.67
1.69
1.70
1.65
1.58
Adjusted net interest margin, excluding trading net interest income, and trading and insurance assets
2.06
1.99
1.91
1.99
1.85
Effective tax rate
24.24
24.52
23.37
24.45
23.16
Adjusted effective tax rate
23.60
24.54
21.71
24.32
22.91
Total PCL-to-average net loans and acceptances
0.44
0.47
0.91
0.53
0.57
PCL on impaired loans-to-average net loans and acceptances
0.44
0.45
0.66
0.46
0.47
Balance Sheet and Other Information (as at, $ millions, except as noted)
Assets
1,476,802
1,431,553
1,409,647
1,476,802
1,409,647
Average earning assets
1,304,278
1,287,815
1,272,939
1,305,072
1,235,830
Gross loans and acceptances
682,922
682,750
682,731
682,922
682,731
Net loans and acceptances
677,872
677,585
678,375
677,872
678,375
Deposits
976,202
955,363
982,440
976,202
982,440
Common shareholders' equity
79,095
77,567
76,163
79,095
76,163
Total risk-weighted assets (3)
437,945
430,134
420,838
437,945
420,838
Assets under administration
864,891
810,244
770,584
864,891
770,584
Assets under management
506,661
464,182
422,701
506,661
422,701
Capital and Liquidity Measures (%) (3)
Common Equity Tier 1 Ratio
13.3
13.5
13.6
13.3
13.6
Tier 1 Capital Ratio
15.0
15.5
15.4
15.0
15.4
Total Capital Ratio
17.3
17.8
17.6
17.3
17.6
Leverage Ratio
4.3
4.5
4.4
4.3
4.4
TLAC Ratio
29.7
29.5
29.3
29.7
29.3
Liquidity Coverage Ratio
132
130
132
132
132
Net Stable Funding Ratio
117
118
117
117
117
Foreign Exchange Rates ($)
As at Canadian/U.S. dollar
1.4016
1.3847
1.3909
1.4016
1.3909
Average Canadian/U.S. dollar
1.3887
1.3730
1.3641
1.4029
1.3591
(1)
Adjusted results exclude certain items from reported results and are used to calculate our adjusted measures as presented in the table above. Management assesses performance on a reported basis and an adjusted basis, and considers both to be useful. For further information, refer to the Non-GAAP and Other Financial Measures section.
(2)
PCL, ROE and ROTCE ratios are presented on an annualized basis.
(3)
Capital and liquidity measures are disclosed in accordance with the Capital Adequacy Requirements (CAR) Guideline and the Liquidity Adequacy Requirements (LAR) Guideline, as set out by the Office of the Superintendent of Financial Institutions (OSFI), as applicable.
Certain comparative figures have been reclassified to conform with the current period's presentation.
Non-GAAP and Other Financial Measures
Results and measures in this document are presented on a generally accepted accounting principles (GAAP) basis. Unless otherwise indicated, all amounts are in Canadian dollars and have been derived from our audited annual consolidated financial statements and our unaudited interim consolidated financial statements, prepared in accordance with International Financial Reporting Standards (IFRS), as issued by the International Accounting Standards Board (IASB). References to GAAP mean IFRS. We use a number of financial measures to assess our performance, as well as the performance of our operating segments, including amounts, measures and ratios that are presented on a non‑GAAP basis, as described below. We believe that these non‑GAAP amounts, measures and ratios, read together with our GAAP results, provide readers with a better understanding of how management assesses results.
Non-GAAP amounts, measures and ratios do not have standardized meanings under GAAP. They are unlikely to be comparable to similar measures presented by other companies and should not be viewed in isolation from, or as a substitute for, GAAP results.
Certain information contained in BMO's 2025 Annual Management's Discussion and Analysis dated December 4, 2025 for the period ended October 31, 2025, is incorporated by reference into this document. For further details on the composition of supplementary financial measures, refer to the Glossary of Financial Terms section of BMO's 2025 Annual MD&A, which is available online at www.bmo.com/investorrelations and at www.sedarplus.ca.
Adjusted measures and ratios
Management considers both reported and adjusted results and measures to be useful in assessing underlying ongoing business performance. Adjusted results and measures remove certain specified items from revenue, non‑interest expense and income taxes, as detailed in the following table. Adjusted results and measures presented in this document are non‑GAAP. Presenting results on both a reported and an adjusted basis permits readers to assess the impact of certain items on results for the periods presented, and to better assess results excluding those items that may not reflect ongoing business performance. As such, the presentation may facilitate readers' analysis of underlying trends. Except as otherwise noted, management's discussion of changes in reported results in this document applies equally to changes in the corresponding adjusted results.
Tangible common equity and return on tangible common equity
Tangible common equity is calculated as common shareholders' equity, less goodwill and acquisition-related intangible assets, net of related deferred tax liabilities. Return on tangible common equity (ROTCE) is calculated as net income available to common shareholders, adjusted for the amortization of acquisition-related intangible assets and any impairments, as a percentage of average tangible common equity. ROTCE is commonly used in the North American banking industry and is meaningful as a consistent measure of the performance of businesses, whether they were acquired or developed organically.
Adjusting Items
Adjusted results in the current quarter and prior periods excluded the following items:
Acquisition and integration costs of $3 million ($4 million pre-tax) in Q4-2025. Prior periods included expense of $4 million ($5 million pre-tax) in Q3-2025, a reversal of $1 million ($2 million pre-tax) in Q2-2025, and expenses of $7 million ($10 million pre-tax) in Q1-2025, $27 million ($35 million pre-tax) in Q4-2024, $19 million ($25 million pre-tax) in Q3-2024, $26 million ($36 million pre-tax) in Q2-2024, and $57 million ($76 million pre-tax) in Q1-2024. Amounts are recorded in non-interest expense in the related operating segment: Burgundy in Wealth Management; Bank of the West in Corporate Services; AIR MILES in Canadian P&C; and Clearpool and Radicle in Capital Markets.
Amortization of acquisition-related intangible assets of $123 million ($168 million pre-tax) in Q4-2025, including a $64 million impairment related to AIR MILES. Prior periods included $69 million ($93 million pre-tax) in Q3-2025, $81 million ($109 million pre-tax) in Q2-2025, $79 million ($106 million pre-tax) in Q1-2025, $92 million ($124 million pre-tax) in Q4-2024, $79 million ($107 million pre-tax) in Q3-2024 and Q2-2024, and $84 million ($112 million pre-tax) in Q1-2024. Amounts are recorded in non-interest expense in the related operating segment.
Impact of divestitures related to the announced sale of 138 branches in select U.S. markets resulting in a write-down of goodwill of $102 million (pre-tax and after-tax) in Q4-2025, recorded in non-interest expense in Corporate Services.
Impact of a U.S. Federal Deposit Insurance Corporation (FDIC) special assessment recorded in non-interest expense in Corporate Services. Q4-2025 included a partial reversal of a prior charge of $9 million ($12 million pre-tax). Prior periods included a $4 million ($5 million pre-tax) partial reversal in Q3-2025, $4 million ($5 million pre-tax) expense in Q2-2025, a $5 million ($7 million pre-tax) partial reversal in Q1-2025, a $11 million ($14 million pre-tax) partial reversal in Q4-2024, a $5 million ($6 million pre-tax) expense in Q3-2024, a $50 million ($67 million pre-tax) expense in Q2-2024 and a $313 million ($417 million pre-tax) expense in Q1-2024.
Impact of aligning accounting policies for employee vacation across legal entities of $70 million ($96 million pre-tax) in Q1-2025, recorded in non-interest expense in Corporate Services.
Impact of a lawsuit associated with a predecessor bank, M&I Marshall and Ilsley Bank, recorded in Corporate Services in the prior year. Q4-2024 included a reversal of the fiscal 2022 legal provision of $870 million ($1,183 million pre-tax), comprising interest expense of $589 million and non-interest expense of $594 million. Prior periods also included $13 million ($18 million pre-tax) in Q3-2024, comprising interest expense of $14 million and non-interest expense of $4 million, and $12 million ($15 million pre-tax) in Q2-2024 and $11 million ($15 million pre-tax) in Q1-2024, both comprising interest expense of $14 million and non-interest expense of $1 million.
Net accounting loss of $136 million ($164 million pre-tax) on the sale of a portfolio of recreational vehicle loans related to balance sheet optimization in Q1-2024, recorded in non-interest revenue in Corporate Services.
Adjusting items in aggregate decreased net income by $219 million in the current quarter, compared with a $762 million increase in the prior year and a decrease of $69 million in the prior quarter. On a fiscal basis, adjusting items in aggregate decreased net income by $523 million, compared with a decrease of $122 million in the prior year.
Non-GAAP and Other Financial Measures (1)
TABLE 2
(Canadian $ in millions, except as noted)
Q4-2025
Q3-2025
Q4-2024
Fiscal 2025
Fiscal 2024
Reported Results
Net interest income
5,496
5,496
5,438
21,487
19,468
Non-interest revenue
3,845
3,492
3,519
14,787
13,327
Revenue
9,341
8,988
8,957
36,274
32,795
Provision for credit losses
755
797
1,523
3,617
3,761
Non-interest expense
5,556
5,105
4,427
21,107
19,499
Income before income taxes
3,030
3,086
3,007
11,550
9,535
Provision for income taxes
735
756
703
2,825
2,208
Net income
2,295
2,330
2,304
8,725
7,327
Dividends on preferred shares and distributions on other equity instruments
163
66
152
436
386
Net income attributable to non-controlling interest in subsidiaries
7
3
3
16
9
Net income available to common shareholders
2,125
2,261
2,149
8,273
6,932
Diluted EPS ($)
2.97
3.14
2.94
11.44
9.51
Adjusting Items Impacting Revenue (Pre-tax)
Legal provision/reversal (including related interest expense and legal fees)
–
–
589
–
547
Impact of loan portfolio sale
–
–
–
–
(164)
Impact of adjusting items on revenue (pre-tax)
–
–
589
–
383
Adjusting Items Impacting Non-Interest Expense (Pre-tax)
Acquisition and integration costs
(4)
(5)
(35)
(17)
(172)
Amortization of acquisition-related intangible assets (2)
(168)
(93)
(124)
(476)
(450)
Impact of divestitures
(102)
–
–
(102)
–
Legal provision/reversal (including related interest expense and legal fees)
–
–
594
–
588
FDIC special assessment
12
5
14
19
(476)
Impact of alignment of accounting policies
–
–
–
(96)
–
Impact of adjusting items on non-interest expense (pre-tax)
(262)
(93)
449
(672)
(510)
Impact of adjusting items on reported net income (pre-tax)
(262)
(93)
1,038
(672)
(127)
Adjusting Items Impacting Revenue (After-tax)
Legal provision/reversal (including related interest expense and legal fees)
–
–
433
–
401
Impact of loan portfolio sale
–
–
–
–
(136)
Impact of adjusting items on revenue (after-tax)
–
–
433
–
265
Adjusting Items Impacting Non-Interest Expense (After-tax)
Acquisition and integration costs
(3)
(4)
(27)
(13)
(129)
Amortization of acquisition-related intangible assets (2)
(123)
(69)
(92)
(352)
(334)
Impact of divestitures
(102)
–
–
(102)
–
Legal provision/reversal (including related interest expense and legal fees)
–
–
437
–
433
FDIC special assessment
9
4
11
14
(357)
Impact of alignment of accounting policies
–
–
–
(70)
–
Impact of adjusting items on non-interest expense (after-tax)
(219)
(69)
329
(523)
(387)
Impact of adjusting items on reported net income (after-tax)
(219)
(69)
762
(523)
(122)
Impact on diluted EPS ($)
(0.31)
(0.09)
1.04
(0.72)
(0.17)
Adjusted Results
Net interest income
5,496
5,496
4,849
21,487
18,921
Non-interest revenue
3,845
3,492
3,519
14,787
13,491
Revenue
9,341
8,988
8,368
36,274
32,412
Provision for credit losses
755
797
1,523
3,617
3,761
Non-interest expense
5,294
5,012
4,876
20,435
18,989
Income before income taxes
3,292
3,179
1,969
12,222
9,662
Provision for income taxes
778
780
427
2,974
2,213
Net income
2,514
2,399
1,542
9,248
7,449
Net income available to common shareholders
2,344
2,330
1,387
8,796
7,054
Diluted EPS ($)
3.28
3.23
1.90
12.16
9.68
(1)
Adjusted results exclude certain items from reported results and are used to calculate our adjusted measures as presented in the table above. Refer to the commentary in this Non-GAAP and Other Financial Measures section for further information on adjusting items.
(2)
Represents amortization of acquisition-related intangible assets and any impairment.
Summary of Reported and Adjusted Results by Operating Segment
TABLE 3
Wealth
Capital
Corporate
U.S. Operations (1)
(Canadian $ in millions, except as noted)
Canadian P&C
U.S. Banking
Management
Markets
Services
Total Bank
(US$ in millions)
Q4-2025
Reported net income (loss)
752
807
383
521
(168)
2,295
616
Dividends on preferred shares and distributions on
other equity instruments
11
15
2
10
125
163
3
Net income attributable to non-controlling interest
in subsidiaries
–
7
–
–
–
7
5
Net income (loss) available to common shareholders
741
785
381
511
(293)
2,125
608
Acquisition and integration costs
–
–
1
–
2
3
1
Amortization of acquisition-related intangible assets
48
64
–
11
–
123
47
Impact of divestitures
–
–
–
–
102
102
73
Impact of FDIC special assessment
–
–
–
–
(9)
(9)
(6)
Adjusted net income (loss) (2)
800
871
384
532
(73)
2,514
731
Adjusted net income (loss) available to common
shareholders (2)
789
849
382
522
(198)
2,344
723
Q3-2025
Reported net income (loss)
867
767
378
438
(120)
2,330
661
Dividends on preferred shares and distributions on
other equity instruments
12
15
1
11
27
66
3
Net income (loss) attributable to non-controlling interest
in subsidiaries
–
2
–
–
1
3
3
Net income (loss) available to common shareholders
855
750
377
427
(148)
2,261
655
Acquisition and integration costs
–
–
3
–
1
4
1
Amortization of acquisition-related intangible assets
3
62
–
4
–
69
47
Impact of FDIC special assessment
–
–
–
–
(4)
(4)
(3)
Adjusted net income (loss) (2)
870
829
381
442
(123)
2,399
706
Adjusted net income (loss) available to common
shareholders (2)
858
812
380
431
(151)
2,330
700
Q4-2024
Reported net income (loss)
750
281
301
251
721
2,304
930
Dividends on preferred shares and distributions on
other equity instruments
11
14
2
10
115
152
5
Net income (loss) attributable to non-controlling interest
in subsidiaries
–
1
–
–
2
3
2
Net income (loss) available to common shareholders
739
266
299
241
604
2,149
923
Acquisition and integration costs
12
–
–
2
13
27
9
Amortization of acquisition-related intangible assets
3
72
–
17
–
92
54
Legal provision/reversal (including related interest
expense and legal fees)
–
–
–
–
(870)
(870)
(643)
Impact of FDIC special assessment
–
–
–
–
(11)
(11)
(8)
Adjusted net income (loss) (2)
765
353
301
270
(147)
1,542
342
Adjusted net income (loss) available to common
shareholders (2)
754
338
299
260
(264)
1,387
335
Fiscal 2025
Reported net income (loss)
3,295
2,810
1,381
1,977
(738)
8,725
2,431
Dividends on preferred shares and distributions on
other equity instruments
46
61
6
41
282
436
12
Net income attributable to non-controlling interest
in subsidiaries
–
14
–
–
2
16
12
Net income (loss) available to common shareholders
3,249
2,735
1,375
1,936
(1,022)
8,273
2,407
Acquisition and integration costs
–
–
4
–
9
13
6
Amortization of acquisition-related intangible assets
58
272
–
22
–
352
200
Impact of divestitures
–
–
–
–
102
102
73
Impact of FDIC special assessment
–
–
–
–
(14)
(14)
(10)
Impact of alignment of accounting policies
–
–
–
–
70
70
25
Adjusted net income (loss) (2)
3,353
3,082
1,385
1,999
(571)
9,248
2,725
Adjusted net income (loss) available to common
shareholders (2)
3,307
3,007
1,379
1,958
(855)
8,796
2,701
(1)
U.S. Operations comprises reported and adjusted results recorded in U.S. Banking, and the U.S. operations in Capital Markets and Corporate Services.
(2)
Refer to the commentary in this Non-GAAP and Other Financial Measures section for details on adjusting items.
Certain comparative figures have been reclassified to conform with the current period's presentation.
Summary of Reported and Adjusted Results by Operating Segment (Continued)
TABLE 3 (Continued)
Wealth
Capital
Corporate
U.S. Operations (1)
(Canadian $ in millions, except as noted)
Canadian P&C
U.S. Banking
Management
Markets
Services
Total Bank
(US$ in millions)
Fiscal 2024
Reported net income (loss)
3,457
2,010
1,067
1,492
(699)
7,327
2,112
Dividends on preferred shares and distributions on
other equity instruments
42
57
6
37
244
386
20
Net income attributable to non-controlling interest
in subsidiaries
–
2
–
–
