NYSE$RY

Royal Bank of Canada · Q1 2025 earnings

Q1 2025 earnings · · Investor relations

Briefing

Royal Bank of Canada reported Q1 2025 record net income of C$5.1B on C$16.7B revenue, with diluted EPS of C$3.54.

For the quarter ended January 31, 2025, RBC earned record net income of C$5.1 billion (up 43% year over year) on total revenue of C$16.7 billion (up 24%). Diluted EPS was C$3.54 versus C$2.50 a year ago; adjusted diluted EPS was C$3.62. Pre-provision, pre-tax earnings were C$7.5 billion, up 45% (HSBC Canada added C$451 million to PPPT). The PCL on loans ratio was 42 bps. CET1 was 13.2%. The bank returned C$2.4 billion through dividends and buybacks.

  • Record Q1 net income C$5.1B (+43% YoY) on C$16.7B revenue (+24% YoY); HSBC Canada contributed C$214M to net income.
  • Personal Banking C$1.7B (+24% YoY), Wealth Management C$980M (+32% YoY), Capital Markets C$1.4B (+24% YoY).
  • PPPT C$7.5B (+45% YoY) on fee-based wealth growth and capital markets strength.
  • PCL on loans ratio 42 bps (+5 bps YoY); CET1 13.2%; C$2.4B returned to shareholders.

Headline financials

Total Revenue

C$16.7B

Previous: C$9.91B+68.9%
EPS (adj)

C$3.62

Previous: C$2.09+72.9%
ROE

16.8%

No prior period
CET1 ratio

13.2%

No prior period
PCL on loans ratio

0.4%

No prior period
Net Income

C$5.13B

Previous: C$2.6B+97.0%
Operating Income

C$6.43B

No prior period

Revenue & EPS history

RBC · Revenue · Quarterly

C$16.7B

Q1 2025+68.9%vs Q1 2024
Beat estimate in 8 of 8 quarters(100%)
ActualEstimate

Revenue by segment

RBC · C$5.14B total across 5 segments · Q1 2025

  • Personal Banking
    C$1.68B
  • Capital Markets
    C$1.43B
  • Wealth Management
    C$980M
  • Commercial Banking
    C$777M
  • Insurance
    C$272M

Forward guidance

Management did not issue quantitative revenue or EPS targets. The bank highlighted upcoming Investor Day to outline strategic priorities, a 13.2% CET1 ratio, and C$2.4 billion of capital returned in the quarter. HSBC Canada integration synergies continued to flow through Personal and Commercial Banking.

Tailwinds

  • Record first-quarter net income and PPPT with broad-based segment growth.
  • HSBC Canada acquisition contributing to earnings and synergies.
  • CET1 ratio of 13.2% supports investments in technology and talent.
  • Wealth Management and Capital Markets drove double-digit YoY earnings growth.

Headwinds

  • PCL on loans ratio up 5 bps year over year on higher commercial and wealth provisions.
  • PCL on impaired loans ratio up 13 bps QoQ including one large corporate migration.
  • Higher expenses from variable compensation and continued technology investment.
  • Insurance comparison benefits from prior-year reinsurance recaptures normalizing.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q1 2025

Historical avgQ1 2025

+0.3%

Avg return

Earnings day

+0.3%

Avg return

5 days after

-0.3%

Avg return

30 days after

57%

37 / 65 earnings

Positive

+5.5%

Q3 2025

Best reaction

-7.4%

Q4 2011

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026-0.1%+1.1%
Q1 2026-2.2%-4.5%-8.9%
Q4 2025+1.5%+5.8%+10.6%
Q3 2025+5.5%+5.6%+6.1%
Q2 2025-3.1%-1.1%+0.6%
Q1 2025-3.6%-5.8%-6.1%
Q4 2024+0.5%+1.0%-3.5%
Q3 2024+2.1%+3.8%+6.8%
Q2 2024+5.4%+4.5%+3.4%
Q1 2024+0.2%+0.3%+4.1%
Q4 2023+4.3%+4.5%+15.8%
Q3 2023+0.1%+1.8%+0.3%
Q2 2023-0.8%-0.6%+1.8%
Q1 2023-1.2%-0.7%-5.8%
Q4 2022+1.9%-0.2%-4.5%
Q3 2022-0.2%-1.4%-6.9%
Q2 2022+2.7%+4.1%-3.9%
Q1 2022+0.5%-1.9%+3.1%
Q4 2021+1.1%+2.2%+7.2%
Q3 2021-0.3%-0.7%-3.5%
Q2 2021+1.3%+1.6%-0.1%
Q1 2021-1.5%-2.4%+4.7%
Q4 2020-0.5%-0.1%-0.7%
Q3 2020+2.1%+0.2%-7.1%
Q2 2020+3.9%+5.6%+4.5%
Q1 2020+0.0%-4.1%-33.0%
Q4 2019-1.5%-2.2%-1.6%
Q3 2019+0.3%-0.8%+9.2%
Q2 2019-1.4%-2.0%+1.4%
Q1 2019+0.4%+1.5%-1.6%
Q4 2018+2.5%+2.7%-5.1%
Q3 2018+1.1%+2.2%+2.7%
Q2 2018-3.6%-5.6%-3.2%
Q1 2018+0.5%-2.0%-4.3%
Q4 2017-0.1%+1.8%+4.2%
Q3 2017+1.4%+1.7%+4.5%
Q2 2017+0.8%+0.3%+2.6%
Q4 2016-2.4%-1.1%+1.0%
Q3 2016-1.0%-1.3%-2.9%
Q2 2016+1.6%-1.1%-2.5%
Q1 2016-1.1%
Q4 2015-0.7%
Q3 2015+3.5%
Q2 2015-0.8%
Q1 2015+2.6%
Q4 2014-0.8%
Q3 2014-1.8%
Q2 2014+0.1%
Q1 2014-1.2%
Q4 2013+0.9%
Q3 2013-2.0%
Q2 2013+0.3%
Q1 2013+0.4%
Q4 2012+1.4%
Q3 2012-1.5%
Q2 2012-0.8%
Q1 2012+1.9%
Q4 2011-7.4%
Q3 2011+0.5%
Q2 2011-0.2%
Q1 2011+2.8%
Q4 2010+0.1%
Q3 2010+1.9%
Q2 2010-0.4%
Q1 2010+1.3%
Q4 2009
Q3 2009
Q2 2009
Q1 2009
Q4 2008
Q3 2008
Q2 2008
Q1 2008
Q4 2007
Q3 2007
Q2 2007
Q1 2007
Q4 2006
Q3 2006
Q2 2006
Q1 2006
Q4 2005
Q3 2005
Q2 2005
Q1 2005
Q4 2004
Q3 2004
Q2 2004
Q1 2004
Q4 2003

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro