Profits at RBC Investor and Treasury Services Business Increase in Q2

RBC reported $104 million in net income for its Investor & Treasury Services business for second quarter, up $53 million from a year ago.

The increase is primarily due to higher revenue and ongoing focus on cost management activities in Investor Services. Incremental earnings related to an additional 50% ownership of Investor Services also contributed to the increase, said RBC. These factors were partially offset by lower funding and liquidity revenue.

Excluding last year’s loss related to the acquisition of RBC Dexia, net income increased $42 million.

Compared to the prior quarter, net income increased $37 million, largely driven by higher securities lending as the current quarter was favourably impacted by the European dividend season, partially offset by lower funding and liquidity revenue. Excluding last quarter’s restructuring charge, net income increased $6 million or 6%.