CIBC (TSX: CM) posted a quarterly revenue of $8.0 billion, up from $7.0 billion a year earlier. On the bottomline, reported net income increased to $2.5 billion from $2.0 billion last year, translating to diluted earnings per share of $2.53.
On adjusted basis, net income was $2.5 billion, up from $2.0 billion last year, translating to $2.54 diluted EPS.
Breaking it down, Canadian Personal and Business Banking generated net income of $846.0 million, up 15% from last year, while Canadian Commercial Banking and Wealth Management reported net income of $614.0 million, up 12%.
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US Commercial Banking and Wealth Management posted net income of $260.0 million, up 56% in US dollars. Capital Markets was the largest year-over-year earnings mover, with net income rising to $792.0 million, up 40% from last year.
Reported ROE improved to 16.4% from 13.8% a year earlier, while adjusted ROE was also 16.4%, up from 13.9%.
Provision for credit losses was $605.0 million, unchanged from last year. Performing-loan provisions declined year over year because the change in the bank’s economic outlook was less unfavourable, but partly offset by weaker credit migration. Impaired-loan provisions rose mainly in Canadian Commercial Banking and Wealth Management and Canadian Personal and Business Banking, partly offset by lower provisions in US Commercial Banking and Wealth Management.
Common Equity Tier 1 ratio was 13.6%, up from 13.4% last year.
CIBC announced an agreement to sell its 91.67% stake in CIBC Caribbean to The Bank of N.T. Butterfield & Son for about US$1.6 billion. Consideration includes US$1.0 billion in cash and 52.1 million Butterfield common shares valued at US$645.0 million, giving CIBC an expected minority stake of about 22% at closing. The transaction is expected to lift CIBC’s CET1 ratio by 24 basis points and close in the first half of 2027, subject to shareholder and regulatory approvals.
The bank also declared a dividend of $1.07 per shar, payable on July 28, 2026.
CIBC last traded at $159.54 on the TSX.
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