RBC Financial Strategy and Performance slide image

RBC Financial Strategy and Performance

Strong financial profile Consistent earnings growth and solid ROE while maintaining a strong capital position with a disciplined approach to risk Consistent Earnings Growth Net income ($ billions) Strong Return on Equity(1) 11.5 10.5 12.4 3.0 3.2 RBC 17.6% 17.4% 17.0% 16.7% 16.3% 2016 2017 2018 Q1/18 Q1/19 2016 2017 2018 Strong Capital Position Q1/18 Q1/19 Strong Leverage and Liquidity Ratios. Leverage Ratio 4.3% 14.4% 14.6% 14.5% 14.1% 14.1% Liquidity Coverage Ratio 128% 11.5% 11.0% 10.9% 11.1% 11.4% Credit Ratings Amongst the Highest Globally Moody's S&P DBRS Fitch Legacy senior Aa2 AA- AA AA long-term debt (2) Q1/18 Q2/18 ■Total Capital Q3/18 Q4/18 Q1/19 Senior long-term debt(3) A2 A AA (low) AA ■Common Equity Tier 1 (CET1) Outlook Stable Stable Positive Stable About RBC 6 (1) Return on Equity (ROE). This measure does not have a standardized meaning under GAAP. For further information, refer to the Key performance and non-GAAP measures section of Q1 2019 Report to Shareholders. (2) Includes senior long-term debt issued prior to September 23, 2018 and senior long-term debt issued on or after September 23, 2018 which is excluded from the Canadian Bank Recapitalization (Bail-in) regime (ratings as of February 21, 2019). (3) Includes senior long-term debt issued on or after September 23, 2018 which is subject to conversion under the Bail-in regime (ratings as of February 21, 2019).
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