National Bank of Canada Sees Profits Surge on Strong Capital Markets

National Bank of Canada's fiscal third quarter saw a significant increase in profits, driven largely by its capital-markets and wealth units. The bank reported an adjusted profit of C$1.36 billion (C$3.39 per share) for the three months ended July 31st, up from C$1.1 billion (C$2.68 per share) a year earlier. This growth was particularly notable in capital markets, where profits jumped 32% to C$442 million.

Wealth management also saw a significant increase, with profits rising by 21% to C$296 million. The core lending business improved as well, with adjusted net interest income climbing to C$1.25 billion from C$1.17 billion.

The bank's results reflect the broader trend among Canadian banks, which have been trying to grow earnings without relying solely on traditional loan-and-deposit growth. Trade tensions and an uneven global outlook have made it challenging for these institutions to maintain steady profits through lending alone.