RBC Crushes Q3 Earnings with Record Net Income
Royal Bank of Canada reported record-breaking net income for its third quarter ended July 31, 2026. The bank's diluted earnings per share (EPS) rose 11% year-over-year to $4.23, while adjusted net income reached a new high of $6.1 billion.
The bank attributed the strong performance to higher fee-based wealth management revenue, robust capital markets results, and growth in net interest income across personal, commercial, and wealth segments. Credit quality remained stable, with total provisions for credit losses increasing modestly to $1.0 billion and a provision coverage ratio of 36 basis points.
Despite softer performance in Personal Banking and Insurance, the bank's diversified earnings profile and strong balance sheet were highlighted as key strengths. Liquidity metrics remained healthy, with an LCR of 125%, comfortably above regulatory requirements. The bank returned $4.0 billion to shareholders through buybacks and dividends.