Canada’s largest banks delivered strong first quarter results, with all six exceeding analyst expectations and showing broad based strength across core businesses. Revenue growth remained steady, profitability improved through cost discipline and restructuring efforts, and several institutions advanced share buybacks and strategic investments to support long term returns. Credit quality remained stable overall, with provisions for credit losses modestly higher or largely unchanged as banks maintained a cautious outlook.

Royal Bank of Canada (RY)

Royal Bank of Canada reported strong first-quarter results, with profit rising 13% year over year to $5.8 billion, or $4.03 per share, driven by gains in personal banking and wealth management. Adjusted earnings were $4.08 per share, exceeding analyst expectations of $3.84. Revenue increased 7% year over year to $17.96 billion, while expenses rose 2% to $9.46 billion, reflecting higher compensation and staff-related costs. Provisions for credit losses totalled $1.09 billion, including $1.07 billion tied to performing loans based on forward-looking economic models, compared with $1.05 billion in the same quarter last year. Overall, the results highlighted solid operating momentum and disciplined expense growth, reinforcing RBC’s position as a consistent earnings leader among Canadian banks.

Toronto-Dominion Bank/The (TD)

Toronto-Dominion Bank reported first-quarter results that exceeded expectations, supported by stronger performance across its businesses despite ongoing restructuring tied to anti-money-laundering remediation efforts. Net income rose 45% year over year to $4.04 billion, or $2.34 per share, while adjusted earnings reached $2.44 per share, ahead of analyst estimates of $2.26. Revenue increased 18% year over year to $16.56 billion, with expenses rising 8% to $8.75 billion, reflecting restructuring charges, continued investments in compliance remediation, and higher employee-related costs. TD recorded a final $200 million pre-tax restructuring charge as it winds down certain businesses, reduces real estate exposure, and implements a 3% workforce reduction. Provisions for credit losses totalled $1.04 billion, compared with $1.21 billion a year earlier, signalling improving credit conditions despite a cautious economic outlook.

Bank of Montreal (BMO)

Bank of Montreal reported first-quarter results that exceeded expectations, supported by stronger earnings across its businesses as the bank works to improve profitability. Net income rose to $2.49 billion, or $3.39 per share, compared with $2.14 billion, or $2.83 per share, a year earlier, while adjusted earnings of $3.48 per share surpassed analyst estimates of $3.21. Revenue increased 6% year over year to $9.82 billion, with expenses also rising 6% to $5.75 billion, partly driven by higher performance-based compensation and severance costs. Provisions for credit losses declined to $746 million from $1.01 billion in the prior year, pointing to improved credit conditions.

Bank of Nova Scotia/The (BNS)

Bank of Nova Scotia reported stronger-than-expected first-quarter results, with earnings improving across business lines despite ongoing concerns around slower loan growth and tariffs. Net income reached $2.29 billion, or $1.73 per share, compared with $993 million, or $0.66 per share, a year earlier when results were impacted by a $1.36 billion impairment tied to the sale of certain Latin American operations. Adjusted earnings came in at $2.05 per share, exceeding analyst expectations of $1.95. Revenue increased 3% year over year to $9.65 billion, while expenses declined sharply by 18% to $5.29 billion, supporting profitability. Provisions for credit losses totalled $1.18 billion, including $73 million tied to performing loans based on forward-looking economic models. Management pointed to stabilization in Mexico, a key growth market, noting recent cartel-related violence has not disrupted operations, providing reassurance around the bank’s international exposure and broader operating outlook.

Canadian Imperial Bank of Commerce (CM)

Canadian Imperial Bank of Commerce delivered first-quarter results that exceeded expectations, supported by broad-based strength across its core businesses. Net income totalled $3.1 billion, or $3.21 per share, while adjusted earnings came in at $2.7 billion, or $2.76 per share, ahead of analyst estimates of $2.40, after excluding one-time items including a $422 million income tax gain. Canadian personal and business banking, the bank’s largest earnings contributor, saw profit rise 25% year over year to $960 million, while capital markets earnings increased 42% to $877 million. Canadian commercial banking and wealth management profit grew 9%, and U.S. commercial banking and wealth management rose 19%. The quarter marked the first full reporting period under new chief executive officer Harry Culham, highlighting strong early momentum across divisions.

National Bank of Canada (NA)

National Bank of Canada reported a strong first quarter, with profit rising sharply and exceeding expectations, supported by its acquisition of Canadian Western Bank. Net income reached $1.25 billion, or $3.08 per share, up from $997 million, or $2.78 per share, a year earlier. Adjusted earnings were $3.25 per share, ahead of analyst estimates of $2.99. Revenue increased 22% year over year to $3.89 billion, while expenses also rose 22% to $2.01 billion, reflecting the impact of the CWB acquisition along with higher variable compensation and benefits. Provisions for credit losses totalled $244 million, including $215 million tied to loans expected to face repayment challenges, compared with $254 million in the prior year. The bank also expanded its share buyback program to 14.5 million shares from 8 million, having repurchased 6.4 million shares to date.

 

Source:

https://www.theglobeandmail.com/business/article-canada-banks-first-quarter-results-earnings-2026/ (February 26, 2026)

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Published March 5, 2026.

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