Financial Results
BMO Capital Markets
Strong revenue² and PPPT³ performance reflect improved market conditions
•
Adjusted¹ net income up 36% Y/Y (reported up 37%)
Reported
Adjusted¹
•
•
•
Adjusted¹ PPPT³ up 39% Y/Y (reported up 40%)
Revenue² up 19% Y/Y:
Global Markets up 12% primarily due to higher equities
trading revenue
Investment and Corporate Banking up 29% due to higher
M&A and underwriting activity
Adjusted¹ and reported expenses up 9% Y/Y driven by
higher performance-based compensation, higher
technology and transaction-based costs
Total provision for credit losses of $1MM (impaired
provision of $11MM and recovery on performing loans
of $10MM)
($MM)²
Q4 23
Q3 23
Q4 22
Q4 23
Q3 23
Q4 22
Global Markets
951
870
851
951
870
851
I&CB
717
608
554
717
608
554
Revenue (teb)
1,668
1,478
1,405
1,668 1,478
1,405
Expenses
1,052
1,076
965
1,048 1,067 958
PPPT³
616
402
440
620
411
447
Total PCL (recovery)
1
10
(18)
1
10
(18)
Income before Taxes
615
392
458
619
401
465
Net Income
489
310
357
492
316
363
U.S. Net Income ($US)
127
71
11
127
74
14
Efficiency Ratio (%)
63.1
72.8
68.8
62.8
72.2
68.3
ROE (%)
15.8
10.2
11.3
15.9
10.4
11.5
Net Income¹ Trends
503
510
489
492
357
363
380 388
310 316
Q4'22
Q1'23
Reported Net Income ($MM)
Q2'23
Q3'23
■Adjusted Net Income ($MM)
Q4'23
1 Adjusted results and measures are non-GAAP. See slide 39 for more information and slide 40 for adjustments to reported results
2 Operating group revenue, income before taxes and income taxes are stated on a taxable equivalent basis (teb). This teb adjustment (Q4'23 $86MM, Q3'23 $81MM, Q4'22 $61MM) is offset in Corporate Services.
Efficiency ratio is calculated based on revenue (teb)
3 Reported and adjusted pre-provision pre-tax earnings (PPPT) are non-GAAP measures. See slide 39 for more information and slide 43 for calculation of PPPT
BMOM
Financial Results ⚫ December 1, 2023
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