Bank of Montreal reported a decline in net income to C$1.75 billion for the fiscal third quarter, down from C$2.33 billion a year earlier, primarily due to a C$962 million charge from the sale of its transportation and vendor finance businesses. Despite the charge, the bank exceeded analyst expectations on an adjusted basis, reporting C$3.96 per share compared to a C$3.77 consensus forecast. Revenue increased 10% to C$9.9 billion, driven by growth in noninterest income and strong performance across business segments.

Chief Executive Darryl White highlighted momentum in capital markets and wealth management, as well as continued commercial loan growth in Canada and the U.S. The bank's credit quality improved, with provisions for credit losses decreasing to C$722 million. Bank of Montreal maintained a strong capital position, with its common equity tier 1 ratio holding at 13%, and announced plans to buy back up to 25 million shares under a normal course issuer bid, targeting a start date around September 8. The lender also expanded its presence in Australia and metals mining through the acquisition of Euroz Hartleys Group's capital markets business, while agreeing to sell its Moneris commerce platform to Francisco Partners for C$2 billion.

The bank aims to achieve a 15% return on equity by 2027.