Find out how the bank fared amid a challenging economic environment
Laurentian Bank of Canada reported net income of $37.5 million for the third quarter of 2025, up from $34.1 million in the same period last year, the bank announced.
The increase translated to diluted earnings per share of $0.73, compared with $0.67 in the third quarter of 2024. Return on common shareholders’ equity improved to 5.0% from 4.7% year-over-year.
However, adjusted earnings tell a different story. Adjusted net income fell to $39.6 million from $43.1 million in the third quarter of 2024, while adjusted diluted earnings per share dropped to $0.78 from $0.88.
“Our results this quarter reaffirm our strong market positioning and the value of our commercial specializations,” said Éric Provost, president and chief executive officer. “Our disciplined approach to risk management continues to serve us well through an uncertain economic environment, supported by a strong foundation of liquidity and capital.”
For the nine months ended July 31, 2025, the bank posted net income of $108.4 million and diluted earnings per share of $2.17, a significant improvement from a net loss of $46.2 million and diluted loss per share of $1.29 in the same period of 2024.
Total revenue decreased by $9.7 million to $246.8 million in the third quarter, primarily due to lower other income. This decline occurred despite net interest income rising $5.1 million to $185.9 million, driven by growth in average earning assets and favourable business mix shifts.
The bank’s provision for credit losses improved, falling to $11.1 million from $16.3 million year-over-year, representing 12 basis points of average loans compared with 18 basis points previously.
Non-interest expenses dropped $10.5 million to $189.8 million, helped by reduced salaries and employee benefits stemming from headcount reductions and lower performance-based compensation following asset divestitures.
The bank’s financial position strengthened, with total assets reaching $49.9 billion as of July 31, 2025, up 5% from $47.4 billion at the end of fiscal 2024. The Common Equity Tier 1 capital ratio improved to 11.3% from 10.9%.
Laurentian Bank declared a quarterly dividend of $0.47 per common share, unchanged from the previous quarter and previous year, payable November 1, 2025.
The Montreal-based bank, founded in 1846, employs approximately 2,800 people and manages $49.9 billion in balance sheet assets across Canada and the United States.
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