Canadian Personal & Commercial Banking - Financial Results
BMO Wealth Management
Good growth in client assets offset by term deposit migration
Adjusted¹ and reported net income down 7% Y/Y
Wealth and Asset Management adjusted¹ and
reported net income down 16% Y/Y
Revenue up 8% due to BOTW; underlying
performance reflects growth from new client
assets, offset by lower net interest income
AUM and AUA both up 1% Q/Q due to growth in
client assets and stronger global equity
markets, partially offset by unfavourable
foreign exchange movements
Insurance net income up 34% Y/Y due to
favourable market movements in the current
year compared with unfavourable movements in
the prior year
Adjusted¹ and reported expenses up 15% Y/Y
primarily due to BOTW, and higher
employee-related expenses including
severance4
Reported
Adjusted¹
($MM)
Q3 23
Q2 23
Q3 22
Q3 23
Q2 23
Q3 22
Gross Revenue
CCPB
1,422
1,960
1,705
1,422 1,960
4
591
413
4
591
1,705
413
Net Revenue²
1,418
1,369
1,292
1,418
1,369 1,292
Expenses
1,011
993
881
1,009
991
880
PPPT³
407
376
411
409
378
412
Total PCL (recovery)
7
4
(10)
7
4
(10)
Income before Taxes
400
372
421
402
374
422
Net Income
303
284
324
304
285
325
Wealth and Asset
222
221
263
223
222
264
Management NI
Insurance NI
81
63
61
81
63
61
AUM/AUA ($B)
773
767
730
773
767
730
Efficiency Ratio² (%)
71.4
72.5
68.3
71.2
72.4
68.2
ROE (%)
17.8
17.8
24.3
17.8
17.9
24.4
Net Income¹ Trends
324 325
61 61
298
298
277 278
284
285
303 304
77
77
70
70
63
63
81
81
263 264
221 221
207 208
221
222
222 223
Reported Adjusted Reported Adjusted
Reported Adjusted Reported Adjusted Reported Adjusted
Q3'22
Q4'22
Q1'23
Wealth and Asset Management ($MM)
Q2'23
Insurance ($MM)
Q3'23
1 Adjusted results and measures are non-GAAP, see slide 37 for more information and slide 39 for adjustments to reported results
2 Reported and Adjusted Net Revenue and measures calculated based on Net Revenue are non-GAAP measures. Net Revenue is net of insurance claims, commissions and changes in policy benefit liabilities (CCPB).
Efficiency ratio is calculated based on net revenue and is also a non-GAAP measure. See slide 37 for more information and slide 40 for calculation of net revenue
3 Reported and Adjusted Pre-Provision Pre-Tax earnings (PPPT) are non-GAAP measures. See slide 37 for more information and slide 41 for calculation of PPPT
4 Q3'23 severance costs $26MM pre-tax, $19MM after-tax
BMOM
Financial Results ⚫ August 29, 2023
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