RY - Royal Bank of Canada (RY) Q2 2024 Earnings Call Transcript
2024-05-30 11:43:07 ET
Royal Bank of Canada (RY)
Q2 2024 Earnings Conference Call
May 30, 2024 08:30 A.M. ET
Company Participants
Asim Imran - Head, IR
David McKay - President and CEO
Katherine Gibson - Interim CFO
Graeme Hepworth - Chief Risk Officer
Neil McLaughlin - Group Head, Personal & Commercial Banking
Doug Guzman - Group Head, RBC Wealth Management & Insurance
Derek Neldner - CEO and Group Head, RBC Capital Markets
Conference Call Participants
John Aiken - Jefferies
Ebrahim Poonawala - Bank of America
Meny Grauman - Scotiabank
Matthew Lee - Canaccord Genuity
Gabriel Dechaine - National Bank Financial
Mario Mendonca - TD Cowen
Paul Holden - CIBC Capital Markets
Sohrab Movahedi - BMO Capital Markets
Lemar Persaud - Cormark Securities
Presentation
Operator
Good morning, ladies and gentlemen and welcome to RBC's 2024 Second Quarter Financial Results Conference Call. Please be advised that this call is being recorded. I would now like to turn the meeting over to Asim Imran, Head of Investor Relations. Please go ahead, Mr. Imran.
Asim Imran
Thank you, and good morning, everyone. Speaking today will be Dave McKay, President & Chief Executive Officer; Katherine Gibson, Interim Chief Financial Officer; and Graeme Hepworth, Chief Risk Officer. Also joining us today for your questions, Neil McLaughlin, Group Head, Personal & Commercial Banking; Doug Guzman, Group Head, Wealth Management & Insurance; and Derek Neldner, Group Head, Capital Markets.
As noted on Slide 1, our comments may contain forward-looking statements, which involve assumptions, and have inherent risks and uncertainties. Actual results could differ materially. I would also remind listeners that the bank assesses its performance on a reported and adjusted basis, and considers both to be useful in assessing underlying business performance. To give everyone a chance to ask questions, we ask that you limit your questions, and then re-queue. With that, I'll turn it over to Dave.
David McKay
Thank you, Asim and good morning, everyone. Thank you for joining us today. Today we reported second quarter earnings of $4 billion or adjusted earnings of $4.2 billion. Return on equity, which is a key pillar of our shareholder value creation framework increased to 14.5% this quarter. Adjusted ROE increased to 15.5% as we successfully executed our strategic priorities, including client-driven organic growth, expense discipline, maintaining a strong balance sheet, and accretive capital allocation, including the acquisition of HSBC Bank Canada.
This quarter we saw strong growth across diversified revenue streams. Capital markets reported record revenue of $3.2 billion as we gained market share in key areas of focus, such as advisory and origination. Canadian Banking revenue growth was driven by strong volume growth and higher interest rates, reflecting benefits of our structurally advantaged balance sheet. Asset management and North American Wealth Management Advisory revenue benefited from double-digit fee-based asset growth. ...
Royal Bank of Canada (RY) Q2 2024 Earnings Call Transcript