Laurentian Bank of Canada reports third quarter 2025 results
The financial information reported herein is based on the condensed interim consolidated (unaudited) information for the three-month and nine-month periods ended July 31, 2025 and has been prepared in accordance with IFRS Accounting Standards, as issued by the International Accounting Standards Board (IASB). All amounts are denominated in Canadian dollars. The Laurentian Bank of Canada and its entities are collectively referred to as "Laurentian Bank" or the "Bank" and provide deposit, investment, loan, securities, trust and other products or services.
MONTREAL, Aug. 29, 2025 /CNW/ - Laurentian Bank of Canada reported net income of $37.5 million and diluted earnings per share of $0.73 for the third quarter of 2025, compared with net income of $34.1 million and diluted earnings per share of $0.67 for the third quarter of 2024. Return on common shareholders' equity(1) was 5.0% for the third quarter of 2025, compared with 4.7% for the third quarter of 2024. Adjusted net income(2) was $39.6 million and adjusted diluted earnings per share(1) were $0.78 for the third quarter of 2025, compared with $43.1 million and $0.88 for the third quarter of 2024. Adjusted return on common shareholders' equity(1) was 5.4% for the third quarter of 2025, compared with 6.2% one year ago.
For the nine months ended July 31, 2025, reported net income was $108.4 million and diluted earnings per share were $2.17, compared with a net loss of $46.2 million and a diluted loss per share of $1.29 for the nine months ended July 31, 2024. Return on common shareholders' equity was 5.1% for the nine months ended July 31, 2025, compared with (3.0)% for the nine months ended July 31, 2024. Adjusted net income was $113.0 million and adjusted diluted earnings per share were $2.28 for the nine months ended July 31, 2025, compared with $127.7 million and $2.68 for the nine months ended July 31, 2024. Adjusted return on common shareholders' equity was 5.3% for the nine months ended July 31, 2025, compared with 6.1% for the same period a year ago.
"Our results this quarter reaffirm our strong market positioning and the value of our commercial specializations," said Éric Provost, President and Chief Executive Officer of Laurentian Bank. "Our disciplined approach to risk management continues to serve us well through an uncertain economic environment, supported by a strong foundation of liquidity and capital. I'm proud of our teams' strong engagement and unwavering commitment to executing our strategic plan."
For the three months ended
For the nine months ended
In millions of dollars, except per share and percentage amounts (Unaudited)
July 31,2025
July 31,2024
Variance
July 31,2025
July 31,2024
Variance
Reported basis
Net income (loss)
$ 37.5
$ 34.1
10 %
$ 108.4
$ (46.2)
n.m.
Diluted earnings (loss) per share
$ 0.73
$ 0.67
9 %
$ 2.17
$ (1.29)
n.m.
Return on common shareholders' equity(1)
5.0 %
4.7 %
5.1 %
(3.0) %
Efficiency ratio(3)
76.9 %
78.1 %
76.0 %
102.2 %
Common Equity Tier 1 (CET1) capital ratio(4)
11.3 %
10.9 %
11.3 %
10.9 %
Adjusted basis
Adjusted net income(2)
$ 39.6
$ 43.1
(8) %
$ 113.0
$ 127.7
(12) %
Adjusted diluted earnings per share(1)
$ 0.78
$ 0.88
(11) %
$ 2.28
$ 2.68
(15) %
Adjusted return on common shareholders' equity(1)
5.4 %
6.2 %
5.3 %
6.1 %
Adjusted efficiency ratio(1)
75.7 %
73.3 %
75.1 %
73.4 %
(1)
This is a non-GAAP ratio. For additional information, refer to the Non-GAAP Financial and Other Measures below and beginning on page 5 of the Third Quarter 2025 Report to Shareholders, including the Management's Discussion & Analysis (MD&A) for the period ended July 31, 2025. These pages are incorporated herein by reference. The MD&A is available on SEDAR+ at www.sedarplus.ca.
(2)
This is a non-GAAP financial measure. For additional information, refer to the Non-GAAP Financial and Other Measures section below and beginning on page 5 of the Third Quarter 2025 Report to Shareholders, including the MD&A for the period ended July 31, 2025. These pages are incorporated herein by reference.
(3)
This is a supplementary financial measure. For additional information, refer to the Non-GAAP Financial below and beginning on page 5 of the Third Quarter 2025 Report to Shareholders, including the MD&A for the period ended July 31, 2025. These pages are incorporated herein by reference.
(4)
In accordance with the Office of the Superintendent of Financial Institutions' (OSFI) "Capital Adequacy Requirements" guideline.
Non-GAAP Financial and Other Measures
In addition to financial measures based on generally accepted accounting principles (GAAP), management uses non-GAAP financial measures to assess the Bank's underlying ongoing business performance. Non-GAAP financial measures presented throughout this document are referred to as "adjusted" measures and exclude amounts designated as adjusting items. Adjusting items include certain items of significance that arise from time to time which management believes are not reflective of underlying business performance, as well as the amortization of acquisition-related intangible assets. Non-GAAP financial measures are not standardized financial measures under the financial reporting framework used to prepare the financial statements of the Bank and might not be comparable to similar financial measures disclosed by other issuers. The Bank believes non-GAAP financial measures are useful to readers in obtaining a better understanding of how management assesses the Bank's performance and in analyzing trends.
The following tables show a reconciliation of the non-GAAP financial measures to their most directly comparable financial measure that is disclosed in the primary financial statements of the Bank.
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES, CONSOLIDATED STATEMENT OF INCOME
For the three months ended
For the nine months ended
In thousands of dollars (Unaudited)
July 312025
April 302025
July 312024
July 312025
July 312024
Total revenue
$ 246,809
$ 242,516
$ 256,503
$ 738,962
$ 767,438
Less: Adjusting items, before income taxes
Profit on sale of assets under administration(1)
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