CIBC reported a jump in profits that beat analyst expectations as its outgoing chief executive said the bank is well positioned to weather macroeconomic volatility ahead.
"We're moving our bank forward, even as the operating environment remains uncertain," Victor Dodig told analysts Thursday during his final quarterly conference call before he retires.
"Global trade tensions may result in slower growth and higher inflation in many countries, including Canada and the United States. However, we anticipate that declining interest rates will help support economic growth, while fiscal policy will offer targeted relief to the sectors most affected by trade negotiations."
Dodig is set to leave the top job on Oct. 31 after more than a decade, handing the reins to current chief operating officer Harry Culham. The transition is taking place against the backdrop of rising geopolitical and trade tensions, with uncertainty swirling around U.S. President Donald Trump's tariff policies.
"As the global trade environment becomes clearer, we expect increased client activity and we remain well positioned to capture emerging opportunities through our diversified platform," Dodig said.
"And regardless of what the macroeconomic environment serves up, we're going to continue to execute against our strategy. We're going to continue to support our clients. We're going to continue to control what we control and position CIBC for continued strength."
All six of Canada's top banks reported their third-quarter earnings this week. There appeared to a common sentiment that while there is reason for cautious optimism around the economy, prudence is warranted while the fate of the Canada-U.S.-Mexico trade agreement remains unsettled.
Earlier Thursday, CIBC reported a third-quarter profit of $2.10 billion, up from $1.80 billion in the same quarter last year.
That amounted to $2.15 per share for the quarter ending July 31, up from $1.82 per share last year.
Revenue totalled $7.25 billion, up from $6.60 billion.
The bank's provisions for credit losses totalled $559 million, up from $483 million last year.
On an adjusted basis, CIBC earned $2.16 per share in the quarter, up from $1.93 per share last year.
Analysts on average had expected earnings of $2.00 per share, according to LSEG Data & Analytics.
The bank's personal and business banking segment reported a net income of $812 million in the third quarter, up $119 million or 17 per cent from a year earlier. Canadian commercial banking and wealth management reported a net income of $598 million, up $97 million or 19 per cent from last year.
Capital markets profit was $540 million, up $251 million or 87 per cent from last year.
Meanwhile, its U.S. commercial banking and wealth management division posted a net income of $254 million, up $38 million or 17 per cent from a year ago.
CIBC also announced Thursday it intends to purchase up to 20 million or 2.2 per cent of common shares under a normal course issuer bid for the purpose of cancellation.
It said the normal course issuer bid, which is subject to the approval of the TSX, will provide additional flexibility in managing its capital position and generate shareholder value.
This report by The Canadian Press was first published Aug. 28, 2025.
Companies in this story: (TSX:CM)
Lauren Krugel, The Canadian Press
