|As at or for the year ended October 31
(Canadian $ in millions, except as noted)
1 Adjusted results are non-GAAP and are discussed in the Non-GAAP Measures (PDF, 40 KB) section of the MD&A. Management assesses performance on a GAAP basis and on an adjusted basis and considers both to be useful in the assessment of underlying business performance. Presenting results on both bases provides readers with an enhanced understanding of how management assesses results.
2 Effective in 2013, regulatory capital requirements for BMO are determined on a Basel III basis. In 2012, BMO’s Basel III capital ratios were calculated on a pro-forma basis.
3 Certain prior-year data has been reclassified to conform with the current year’s presentation. See pages 44 and 45 of the 2013 Review of Operating Groups Performance (PDF, 362 KB).
4 Corporate Services, including Technology and Operations.
|Provision for credit losses||589||765||359||471|
|Earnings per share – diluted ($)||6.26||6.15||6.30||6.00|
|Return on equity||14.9%||15.9%||15.0%||15.5%|
|Basel III Common Equity Tier 1 Ratio2||9.9%||8.7%||9.9%||8.7%|
|Net Income by Segment3|
|BMO Capital Markets||1,094||1,021||1,096||1,022|
Delivering on Our Strategic Priorities
Adjusted $4.3 billion
Reported net income rose by 1%. Adjusted net income increased $0.2 billion or 5%. The bank achieved record revenue, net income and earnings per share.
See Earnings per Share Growth in the Value Measures (PDF, 83 KB) section of the MD&A.
Adjusted $15.6 billion
Reported revenue rose by 1%. Adjusted revenue increased $0.5 billion or 3%. The increase was primarily due to revenue growth in Wealth Management, BMO Capital Markets and Canadian P&C.
See Revenue in the 2013 Financial Performance Review (PDF, 190 KB) section of the MD&A.
Return on Equity (ROE)
Reported ROE was 15.9% and adjusted ROE was 15.5% in 2012. There was an increase in reported and adjusted earnings available to common shareholders and higher average common shareholders’ equity.
See Return on Equity in the Value Measures (PDF, 83 KB) section of the MD&A.
Basel III Common Equity Tier 1 Ratio
Strong capital position – Our Basel III Common Equity Tier 1 Ratio of 9.9% is strong and in excess of regulatory requirements.
See Enterprise-Wide Capital Management in the Financial Condition Review (PDF, 230 KB) section of the MD&A.