Shares of Bank of Montreal (BMO) plunged 9.5% in response to its second-quarter fiscal 2024 (ended Apr 30) results. Adjusted earnings per share of C$2.59 declined 10.4% year over year.A significant jump in provision for credit losses and lower net interest income (NII) primarily hurt the results. However, increases in non-interest income, higher loans and deposit balance and slightly lower expenses acted as tailwinds.After considering non-recurring items, net income was C$1.87 billion ($1.38 billion), which ...

Key TakeawaysBank of Montreal missed profit and sales estimates Wednesday as it increased its provision for credit losses and reported a decline for its U.S. unit.The Canadian bank set aside C$705 million ($517 million) to cover bad loans, more than in the previous quarter and above analysts' forecasts.Bank of Montreal's U.S. personal and commercial banking income dropped as net interest income fell. Shares of Bank of Montreal or BMO Financial Group (BMO) plunged over 8% in intraday trading Wednesday after ...

Interim Consolidated Financial Statements | (Unaudited) (Canadian $ in millions) | | | | For the three months ended | | | | | For the six months ended | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | | | April 30, | | January 31, | | April 30, | | April 30, | | April 30, | | | | 2024 | | 2024 | | 2023 | | 2024 | | 2023 | | Net Income | $ | 1,866 | $ | 1,292 | $ | 1,029 | $ | 3,158 | $ | 1,162 | | Other Comprehensive Income, net of taxes | | | | | | | | | | | | Items that may subsequ ...

Financial Data and Key Metrics - Adjusted net income of $2 billion and adjusted EPS of $2 59, with a $0 04 increase in dividend, up 5% YoY [7] - Strong pre-provision pre-tax earnings (PPPT) growth of 7% YoY, driven by Canadian P&C, capital markets, and wealth management [7] - CET1 ratio improved to 13 1%, up 30 basis points QoQ, driven by internal capital generation and lower RWA [22] - Total provision for credit losses (PCL) was $705 million or 44 basis points, up from 38 basis points last quarter [28] Business Line Performance Canadian P&C - Record revenue of $2 8 billion, up 13% YoY, driven by higher net interest income and non-interest revenue [23] - Loans grew 5% YoY, with strong growth in mortgages and commercial loans, while deposits increased 11% [23] - Net income up 7% YoY, driven by strong PPPT performance, partially offset by higher PCLs [23] US P&C - Net income down 25% YoY, with lower revenue and higher PCLs, partially offset by lower expenses [24] - Revenue declined 7% YoY, driven by lower net interest income due to a 23 basis point reduction in margins [24] - Loans up 1% YoY, excluding the impact of the RV loan portfolio sale, while deposits remained stable [25] Wealth Management - Net income up 33% YoY, driven by strong operating performance and client asset growth [25] - Revenue increased 4% YoY, reflecting stronger markets and client asset growth, offsetting lower net interest income [25] Capital Markets - Net income up 23% YoY, with strong PPPT performance of $642 million, consistent with guidance [26] - Revenue in Global Markets up 8% YoY, driven by improved market conditions and higher interest rate trading [26] Market Performance - US Segment contributed 45% to the bank's earnings, with strong deposit growth and stable commercial lending [11][12] - Canadian P&C saw strong momentum from newcomers to Canada, up 35% YoY, driven by BMO's New Start program [7] - US P&C achieved record new business generation in retail and commercial banking, with strong digital adoption [13] Strategy and Industry Competition - Focus on delivering positive operating leverage, with a strong 3% achieved this quarter [8] - Digital-first strategy driving growth, with 2 million AI-enabled conversations and 80 million BMO Insights delivered [15] - Competitive advantages in the US market, with a presence in 14 of the top 25 MSAs and leading market share in key sectors [11][12] Management Commentary on Operating Environment and Outlook - Elevated credit risk due to prolonged higher interest rates and a slowing economy, with delayed rate cuts expected in Canada and the US [9] - Expectation of relative full bank margin stability for the remainder of the year, despite competitive deposit pricing [20] - Continued investment in growth opportunities, with a focus on capturing profitable market share in Canada and the US [21] Other Important Information - Recognized as one of the world's most ethical companies by the Ethisphere Institute for the seventh consecutive year [16] - Ranked among Fast Company's list of the world's most innovative companies for 2024 [15] Q&A Session Summary Question: Impaired PCLs and Credit Risk - Impaired PCLs expected to remain around 41 basis points for the next few quarters, driven by higher unemployment and delayed rate cuts [36][37] - Credit risk is well-managed, with a diversified portfolio and strong risk management capabilities [33] Question: US Deposit Growth Strategy - US deposit growth driven by a combination of branch productivity, digital capabilities, and attracting mass-affluent customers [67][68] - Focus on simplifying Treasury business and targeting emerging mid-market clients with strong ROE [71] Question: Performing Loan Book and Stage 2 Classifications - Stage 2 classifications increased to 16%, reflecting credit migration due to higher rates and inflation [73][74] - Performing provisions expected to remain stable, with no significant releases anticipated in the near term [77] Question: US P&C NIM Outlook - US P&C NIM expected to stabilize, with modest compression remaining but less severe than in Q2 [80] Question: Commercial Real Estate and Maturities - Active management of commercial real estate loans, with refinancing and modifications to mitigate risks [97][98] - Expectation of partial recoveries on impaired loans in the commercial real estate sector [98] Question: US Mid-Market Private Equity Lending - No significant noise from private equity lending in impairments or revenue lines, with muted activity due to the election cycle [113][114]

Group 1: Earnings Performance - Bank of Montreal (BMO) reported quarterly earnings of $1.91 per share, missing the Zacks Consensus Estimate of $2.01 per share, and down from $2.16 per share a year ago, representing an earnings surprise of -4.98% [1] - The bank's revenues for the quarter ended April 2024 were $5.88 billion, which also missed the Zacks Consensus Estimate by 1.33%, compared to $6.22 billion in the same quarter last year [1] - Over the last four quarters, the company has consistently failed to surpass consensus EPS and revenue estimates [1] Group 2: Stock Performance and Outlook - Bank of Montreal shares have declined approximately 2.9% since the beginning of the year, contrasting with the S&P 500's gain of 11.2% [2] - The current consensus EPS estimate for the upcoming quarter is $2.32 on revenues of $6.13 billion, and for the current fiscal year, it is $8.31 on revenues of $24.05 billion [4] - The estimate revisions trend for Bank of Montreal is currently unfavorable, resulting in a Zacks Rank 4 (Sell), indicating expected underperformance in the near future [4] Group 3: Industry Context - The Zacks Industry Rank for Banks - Foreign places it in the top 22% of over 250 Zacks industries, suggesting that the industry outlook can significantly impact stock performance [5] - Another bank in the same industry, Canadian Imperial Bank (CM), is expected to report quarterly earnings of $1.22 per share, reflecting a year-over-year change of -2.4%, with revenues anticipated to be $4.48 billion, up 6.5% from the previous year [6]

Financial Performance - Q2 2024 - Adjusted net income was $2.03 billion, a decrease of 7% year-over-year, while reported net income increased significantly by 81% to $1.87 billion[10] - Adjusted EPS was $2.59, down $0.30 year-over-year, while reported EPS was $2.36, up $1.10[10, 25] - Total assets reached $1.4 trillion[10] - The efficiency ratio was 58.0% adjusted and 60.7% reported, reflecting improvements of 170 bps and 990 bps year-over-year, respectively[10] - The Common Equity Tier 1 (CET1) ratio stood at 13.1%[10] U.S. Segment Performance - BMO U.S. Segment pre-provision pre-tax earnings (PPPT) for Q2 2024 were US$924 million[16] - BMO U.S. Segment net income was US$676 million reported and US$559 million adjusted[25] - BMO U.S. Bank has US$267 billion in assets, while the BMO U.S. Segment has US$441 billion in assets[12] - BMO U.S. Segment efficiency ratio was 64.0% reported and 58.2% adjusted[16] Canadian P&C Banking - Canadian P&C reported net income increased by 6% year-over-year to $872 million, while adjusted net income increased by 7% to $877 million[40] - Canadian P&C revenue increased by 13% year-over-year to $2.82 billion[40] - Canadian P&C net interest income increased by 12% year-over-year[40]

TORONTO, May 29, 2024 /PRNewswire/ - Bank of Montreal (TSX: BMO) (NYSE: BMO) today announced at its Board of Directors declared a quarterly dividend of $1.55 per share on paid-up common shares of Bank of Montreal for the third quarter of fiscal year 2024 ("Q3 2024 Dividend"), a 4 cent, or 3 per cent, increase from the prior quarter, up 5 per cent from the prior year.The Board of Directors also declared dividends of:$0.2265 per share on paid-up Class B Preferred Shares Series 29;$0.240688 per share on paid-u ...

BMO's Second Quarter 2024 Report to Shareholders, including the unaudited interim consolidated financial statements for the period ended April 30, 2024 are available online at www.bmo.com/investorrelations and at www.sedarplus.ca.Financial Results HighlightsSecond Quarter 2024 compared with Second Quarter 2023:Net income of $1,866 million, compared with $1,029 million; adjusted net income1, 2 of $2,033 million, compared with $2,186 millionReported earnings per share (EPS)3 of $2.36, compared with $1.26; adj ...

The market expects Bank of Montreal (BMO) to deliver a year-over-year decline in earnings on lower revenues when it reports results for the quarter ended April 2024. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.The earnings report, which is expected to be released on May 29, 2024, might help the stock move higher if these key numbers are b ...

Core Insights - The article discusses the largest banks in the US by consolidated asset size as of September 30, 2025, highlighting their product offerings and branch networks Bank Rankings - **Chase Bank** is the largest bank in the US with $3.8 trillion in assets, operating over 5,000 branches and 15,000 ATMs, offering a wide range of financial products [3] - **Bank of America** follows as the second-largest bank with $2.7 trillion in assets, providing various products for personal and business customers, and operates more than 3,600 branches and approximately 15,000 ATMs [3] - **Citibank** ranks third with $1.8 trillion in assets, operating 660 branches and over 2,300 ATMs, offering products such as deposit accounts and personal loans [4] - **Wells Fargo**, also with $1.8 trillion in assets, has been serving customers since 1852 and operates more than 4,100 branches and over 11,000 ATMs [4] - **U.S. Bank** is the fifth-largest bank with $680 billion in assets, operating more than 2,100 branches and offering a variety of banking products [5] - **Capital One** has $652 billion in assets, operates 258 branches, and offers a full suite of financial products [6][7] - **Goldman Sachs Bank** has $644 billion in assets, primarily known for its investment banking, operates two branches, and offers online banking services [8] - **PNC Bank** has $564 billion in assets, serving personal and business clients with over 2,300 branches [9] - **Truist Bank** has $536 billion in assets, operates nearly 2,000 branches, and offers a range of financial services [10] - **Bank of New York Mellon** has $367 billion in assets, primarily known for asset servicing and investment management, operating just one domestic branch [10] - **State Street Bank and Trust Company** has $366 billion in assets, serving as a global custodian bank with two domestic branches [11] - **TD Bank** has $351 billion in assets, serving over 10 million customers with 1,100 branches [12] - **Morgan Stanley Bank** has $250 billion in assets, providing financial services to individuals and institutions [13] - **BMO Bank** has $249 billion in assets, operating over 1,000 branches and offering various banking products [14] - **Morgan Stanley Private Bank** has $240 billion in assets, focusing on high-net-worth clients without any branches [16] - **First Citizens Bank** has $233 billion in assets, serving personal and business clients with about 500 branches [16] - **Citizens Bank** has $222 billion in assets, operating nearly 1,000 branches and offering a range of financial products [17] - **Fifth Third Bank** operates over 1,100 branches and has a network of more than 40,000 fee-free ATMs [18] - **American Express National Bank** has $211 billion in assets, focusing on high-yield savings accounts and personal loans [18] - **M&T Bank** also has $211 billion in assets, operating almost 1,000 branches and offering various banking services [19]