Royal Bank of Canada reported net income of $5.5 billion for the second quarter ended April 30, a rise of $1.1 billion, or 25% from a year earlier.
Dave McKay, president and CEO, attributed the result to the bank's consistency across a diversified business.
"Our second quarter earnings showcase our consistency in delivering premium profitability and long-term shareholder value, underpinned by solid growth across our diversified businesses and balance sheet strength," McKay said.
RBC Insurance posted net income of $218 million for the quarter, up $7 million or 3% from a year ago.
The result was driven by a higher insurance investment result reflecting lower capital funding costs, partially offset by a lower insurance service result as adverse claims experience outweighed the favorable impact of reinsurance contract recaptures.
Quarter on quarter, insurance net income increased $5 million, or 2%, again driven by investment-related experience against continued claims pressure, a pattern consistent with conditions across Canada's broader property and casualty market, where insured weather-related losses exceeded $2.4 billion in 2025 and have nearly tripled over the past decade.
RBC's result was the largest in absolute terms, though several peers posted stronger percentage gains from a lower base.
BMO Financial Group reported net income of $2.63 billion, up 34% year on year, with adjusted EPS of $3.67 beating the consensus estimate of $3.45. BMO's insurance segment posted net income of $86 million, up 47% from a year ago, primarily due to favourable market movements.
TD Bank Group reported adjusted net income of $4.17 billion, up 15% year on year, with adjusted EPS of $2.38 beating the analyst estimate of $2.26. TD's combined Wealth Management and Insurance segment posted net income of $837 million, up from $707 million a year earlier - described by CEO Raymond Chun as an all-time high.
Meanwhile, National Bank of Canada earned $1.23 billion for the quarter, or $3.06 per share, up from $896 million a year earlier, with adjusted EPS of $3.23 beating the $3.14 estimate.
Scotiabank posted adjusted EPS of $2.02 against a consensus of $1.93, with its CET1 ratio holding at 13.3%. The bank's management noted in its earnings call that insurance revenue is providing a growing lift to non-interest revenue alongside record mutual fund sales.
RBC's CET1 ratio stood at 13.5% as at April 30, down 20 basis points from the prior quarter as share repurchases and business-driven risk-weighted asset growth outpaced internal capital generation.
The bank returned $4.0 billion to shareholders during the quarter and declared a quarterly dividend of $1.76 per share, an increase of 7%.
It also announced plans to repurchase up to 45 million common shares, or approximately 3% of shares outstanding, subject to regulatory approval.
