CWB Financial reports first-quarter profit up from year ago
EDMONTON — CWB Financial Group reported its first-quarter profit rose compared with a year ago, helped by a reversal of a previously recognized impaired loan writeoff.
The Edmonton-based bank reported its common shareholders' net income amounted to $94.4 million or 99 cents per share for the quarter ended Jan. 31, up from $87.6 million or 97 cents per share in the same period a year earlier.
Revenue totalled $272.9 million, up from $266.0 million in the same quarter last year.
CWB posted a recovery of credit losses of $8.5 million as the impaired loan reversal off more than offset net new impaired loan provisions for credit losses in the quarter. The bank had a $9.1-million provision for credit losses a year earlier.
On an adjusted basis, CWB says it earned $1.02 per share, up from an adjusted profit of 99 cents per share a year earlier.
Analysts on average had expected a profit of 90 cents per share, according to estimates compiled by financial markets data firm Refinitiv.
"Our teams delivered strategically targeted loan growth this quarter, with very strong increases in Ontario and in general commercial loans, which represent our largest opportunity to convert clients into full-service relationships," CWB chief executive Chris Fowler said in a statement.
"Gross impaired loans are returning to more normal levels from very benign conditions last year. Our secured lending model and disciplined underwriting processes continue to support our expectation that our provision for credit losses will remain within our strong historical range."
This report by The Canadian Press was first published March 2, 2023.
Companies in this story: (TSX:CWB)
The Canadian Press