Royal Bank profit jumps 11% to $2.33 billion

Royal Bank of Canada reports its fourth-quarter net income was $2.33 billion, up 11 per cent from a year earlier.
Royal Bank saw its quarterly profit increase by 11 per cent to finish out the fiscal year.

Royal Bank of Canada reports its fourth-quarter net income was $2.33 billion, up 11 per cent from a year earlier.

The profit amounted to $1.57 per common share, up 18 cents from a year earlier. For the fiscal year as a whole, the bank earned $9.04 billion in profit, up almost 8 per cent from 2013's level.

On an adjusted basis, RBC earned $1.59 per diluted share, which was a cent above the average estimate compiled by Thomson Reuters.

RBC said its Canadian banking arm had record-high net income of $1.21 billion in the quarter ended Oct. 31, up $123 million from a year earlier.

The bank its Canadian personal and commercial banking arm benefited from higher fee-based revenue, more volume and $40 million of accounting adjustments recognized in the quarter.

RBC Capital Markets was one of the few weak spots for Canada's biggest bank, with net income falling 14 per cent to $402 million.

On average, analysts were expecting adjusted earnings per share of $1.58 and $8.40 billion of revenue during the quarter.

Last month, Royal Bank announced plans to exit its wealth management business in the Caribbean. The company also sold its Jamaican operations at a loss earlier this year.

The bank said the moves would allow it to focus on serving high net worth and ultra-high net work clients in several key areas such as Canada, the U.S., Asia and the British Isles.

The company said its European RBC Suisse business will undergo a strategic review.

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