For the second quarter of fiscal 2024, ended April 30, Royal Bank of Canada (RBC) reported an improvement in net income in its wealth management and insurance segments compared to results from the same period a year earlier.

In Wealth Management, net income available to common shareholders reached $755 million in the second quarter of 2024, compared with the $704 million reported for the same period in 2023. This is an increase of 7%.

The company attributes this growth primarily to higher fee-based client assets, reflecting market appreciation and net sales. 

Revenues from the Wealth Management segment reached $4.6 billion in the second quarter of fiscal 2024, up 5% compared to the $4.4 billion reported for the same quarter last year.

Insurance 

For its insurance segment, RBC reported net income of $177 million for the second quarter of 2024, compared with $169 million for the same period in 2023, an increase of 4%.

Total insurance revenue amounted to $298 million in the second quarter of 2024, compared with $272 million in the same quarter of 2023.

Premiums and deposits  

Premiums and deposits from insurance activities amounted to $1.6 billion in the second quarter of 2024, up $191 million, or 13%, compared with the same quarter in 2023.

Premiums and deposits include premiums on risk-based individual and group insurance and annuity products as well as segregated fund deposits, says the bank. 

The Group  

For its second quarter of fiscal 2024, RBC reported net income attributable to common shareholders of $3.9 billion. This is an increase of $270 million, or 7%, compared to the same quarter of 2023.

All of the bank's business segments reported improved results, with the exception of Corporate Support. In this case, the HSBC Canada transaction and integration costs explain the difference. The acquisition was completed on March 28, 2024.

Dave McKay, President and CEO of RBC, stated, “This historic acquisition, along with our solid results driven by our strong balance sheet, expense control and volume growth across our premium franchises, shows that RBC has the right strategy in place to continue building the bank of the future . . . " 

The provision for credit losses reached $920 million in the second quarter of 2024, up $320 million or 53% compared with the same period in 2023, mainly due to higher provisions in the personal and commercial banking sector.