2023-05-25 07:18:06 ET
Canadian Imperial Bank of Commerce ( NYSE: CM ), or CIBC for short, saw earnings decline in its second fiscal quarter as its provision for credit losses climbed and results from its U.S. and Capital Markets divisions declined.
For the quarter ended April 30, 2023, the bank posted adjusted EPS of C$1.70 (US$1.25), topping the C$1.64 average analyst estimate but falling from C$1.94 in the prior quarter and from C$1.77 in the year-ago quarter.
Revenue of C$5.70B (US$4.19B), vs. the C$5.68B consensus, slipped from C$5.93B in Q1 2023 and increased from C$5.38B in Q2 2022.
CIBC ( CM ) also announced a 2.4% increase in its quarterly dividend to C$0.87 per share.
Net interest income of C$3.19B vs. C$3.21B in the previous quarter and C$3.01B in the year-earlier quarter.
CIBC's ( CM ) provision for credit losses rose to C$438M from C$295M in the prior quarter and C$303M in the year-ago period.
Adjusted preprovision, pretax earnings were C$2.48B, down from C$2.66B in Q1 and up from C$2.34B in Q2 2022.
Q2 noninterest expenses dropped to C$3.14B from C$4.46B in Q1 and increased from C$3.11B in Q2 2022.
Q2 adjusted return on equity was 13.9% vs. 15.5% in the prior quarter and 15.2% in the year-ago period.
Net income by segment vs. prior quarter and year-ago period:
- Canadian Personal and business Banking: C$637M vs. C$589M and C$496M.
- Canadian Commercial Banking and Wealth Management: C$452M vs C$469M and C$480M.
- U.S. Commercial Banking and Wealth Management: C$55M vs. C$210M and C$180M.
- Capital Markets: C$497M vs. C$612M and C$540M.
Conference call at 7:30 AM ET.
Earlier, Canadian Imperial Bank ( CM ) non-GAAP EPS of C$1.70 beats by C$0.07 , revenue of C$5.7B beats by C$10M
SA contributor Jishan Sidhu digs into CIBC's balance sheet and growth.
For further details see:
CIBC fiscal Q2 earnings fall but beat Wall Street expectations