{"id":12420,"date":"2014-05-29T00:39:35","date_gmt":"2014-05-28T16:39:35","guid":{"rendered":"https:\/\/canadianinquirer.net\/v1\/?p=12420"},"modified":"2014-05-29T00:39:35","modified_gmt":"2014-05-28T16:39:35","slug":"national-bank-reports-q1-net-income-of-362m-ex-items-income-up-7-at-375m","status":"publish","type":"post","link":"https:\/\/canadianinquirer.net\/v1\/2014\/05\/29\/national-bank-reports-q1-net-income-of-362m-ex-items-income-up-7-at-375m\/","title":{"rendered":"National Bank reports Q1 net income of $362M; ex items, income up 7% at $375M"},"content":{"rendered":"
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MONTREAL — National Bank of Canada has reported second-quarter net income of $362 million and says its quarterly dividend will be going up by four per cent.<\/p>\n

The Montreal-based bank, reporting after markets closed, said net profit under standard accounting was worth the equivalent of $1.01 per diluted share, down from $1.20 per share or $417 million in the second quarter of 2013.<\/p>\n

Excluding certain items, National Bank’s profit would have been $375 million or $1.05 per share, up from $352 million or $1 per share a year earlier.<\/p>\n

The bank says its quarterly dividend will rise by two cents per share to 48 cents, to be paid on Aug. 1.<\/p>\n

“National Bank delivered another good quarter with strong performance from the Wealth Management and P&C Banking segments,” Louis Vachon, National Bank’s president and chief executive officer, said in a statement.<\/p>\n

The adjusted earnings per share were a penny above the $1.04 consensus estimate of analysts polled by Thomson Reuters, but National Bank missed expectations in terms of revenue, which fell eight per cent year-over-year to $1.276 billion from $1.383 billion in the second quarter of 2013. Analysts had called for second-quarter revenue of $1.34 billion.<\/p>\n

Financial markets revenue was down $26 million or seven per cent at $337 million due to declines in fixed-income, commodities and foreign-exchange trading activities. The segment’s contribution to net income, excluding specified items, was $128 million, down nine per cent.<\/p>\n

Meanwhile, the contribution to net income from personal and commercial banking operations after excluding specified items was $162 million, up six per cent from a year earlier, while the contribution from wealth management rose 40 per cent to $77 million, also after excluding specified items.<\/p>\n

Vachon recently told shareholders at the bank’s annual meeting in Calgary that Quebec’s new Liberal government must restore a “climate of trust” to reverse two years of lagging confidence that has hurt the province’s economic growth.<\/p>\n

Vachon said investor confidence in Quebec has taken a beating since 2012 from the investigation into the construction industry, student strikes, the debate on mining royalties and the charter of values.<\/p>\n

He told shareholders that National Bank’s shares trade at a discount to its Canadian peers, in part, because of the perception that the province is “condemned to grow slower than the rest of the country.”<\/p>\n

Barclays analyst John Aiken said that although the underlying earning metrics in the bank’s second quarter results remained solid, the recent outperformance, combined with a “modest beat relative to peers reporting to date” mean its stock could face some “relative valuation pressure in the near term.”<\/p>\n

On the Toronto Stock Exchange, National Bank shares closed up 28 cents at $47.03 on Tuesday, three cents above Aiken’s target price.<\/p>\n","protected":false},"excerpt":{"rendered":"

MONTREAL — National Bank of Canada has reported second-quarter net income of $362 million and says its quarterly dividend will …<\/p>\n","protected":false},"author":44,"featured_media":11061,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1482,19,18],"tags":[4198],"class_list":["post-12420","post","type-post","status-publish","format-standard","has-post-thumbnail","category-breaking","category-business","category-news-ca","tag-canada-national-bank","mauthors-the-canadian-press"],"_links":{"self":[{"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/posts\/12420","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/users\/44"}],"replies":[{"embeddable":true,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/comments?post=12420"}],"version-history":[{"count":0,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/posts\/12420\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/media\/11061"}],"wp:attachment":[{"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/media?parent=12420"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/categories?post=12420"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/tags?post=12420"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}