Canadian Imperial Bank of Commerce (NYSE: CM) Second-quarter earnings on Thursday beat consensus estimates, supported by its Canadian commercial banking and wealth management and capital markets businesses.
CM shares rise 0.9% in pre-market commerce.
Adjusted EPS of C$1.77 ($1.38) in the second quarter beat analysts’ average estimate of C$1.72, but down from C$2.04 in Q1 and 1, CA$79 in Q2 2021. Revenue of CA$5.5B ($4.3B) in Q2 also beat consensus of CA$5.32 billion and gained CA$5.12 billion there. one year old.
Adjusted return on equity was 15.2% in Q2 compared to 17.6% in Q1 and 17.3% in Q2 last year.
Net income for its Canadian Commercial Banking and Wealth Management segment was C$480 million in the second quarter, up 20% from the prior year quarter, primarily due to higher revenue. high, partially offset by higher expenses and lower provision reversal.
Q2 Capital Markets net income increased 9% to C$540m, helped by higher revenue, partially offset by higher expenses.
Still, its Canadian Personal and Commercial Banking unit reported net income of C$496 million in the second quarter, down 18% from the second quarter a year earlier, mainly due to a higher provision. higher for credit losses and higher expenses, partially offset by higher revenues.
Provision for credit losses was C$303m in Q2, up C$271m from Q2 2021, highlighting the acquisition of Canadian credit card portfolio Costco.
Earlier, Canadian Imperial Bank raised its quarterly dividend to C$0.83 per share.