BANK OF MONTREAL /CAN/ (BMO) Form 6-K — Aug 25, 2026
BMO Financial Group reported Q3 fiscal 2026 (ended July 31, 2026) net income of CAD $1,750 million, down 25% from $2,330 million a year earlier, with diluted EPS of $2.38 versus $3.14. The decline was driven by a $1.1 billion pre-tax charge — primarily goodwill — tied to the announced sale of its Transportation Finance and Vendor Finance businesses to Stonepeak. On an adjusted basis results were strong: net income rose 19% to $2,859 million and adjusted diluted EPS rose 22% to $3.96, with adjusted ROE of 14.0%. Every business segment delivered record pre-provision pre-tax earnings and the provision for credit losses improved to $722 million from $797 million.
Key figures
- Eps
- CAD $2.38 reported diluted (vs $3.14 prior year); CAD $3.96 adjusted diluted (+22% YoY)
- Revenue
- CAD $9,896 million (Q3 FY2026 reported, +10% YoY; adjusted $9,959 million, +11%)
- Net Income
- CAD $1,750 million reported (-25% YoY); CAD $2,859 million adjusted (+19% YoY)
- Total Assets
- CAD $1,538,685 million
- Cash Position
- CAD $77,286 million (cash, cash equivalents and interest-bearing deposits with banks)
- Shares Outstanding
- 697146398
- Pcl
- CAD $722 million (vs $797 million prior year)
- Buyback Q3
- 3.8 million shares at average CAD $239.37 (~$922 million incl. tax)
- Cet1 Ratio
- 13.0% (flat QoQ, down from 13.5% a year ago)
- Market Cap
- CAD $175,311 million
- Buyback YTD
- 15.8 million shares at average CAD $198.60 (~$3,193 million incl. tax)
- Roe Adjusted
- 14.0% (vs 12.0% prior year)
- Roe Reported
- 8.4% (vs 11.6% prior year)
- Ytd Net Income
- CAD $6,869 million reported (+7% YoY); CAD $8,143 million adjusted (+21% YoY)
- New NCIBShares
- up to 25 million common shares (announced Aug 25, 2026, subject to OSFI and TSX approval)
- Ytd Adjusted Eps
- CAD $11.11 (+25% YoY)
- Dividend Per Share
- CAD $1.71 quarterly (+$0.08 or 5% YoY; $6.84 annualized)
- Book Value Per Share
- CAD $113.06
- Divestiture Charge
- CAD $1.1 billion pre-tax ($1.0 billion after-tax), primarily goodwill, on announced sale of Transportation Finance and Vendor Finance to Stonepeak
- Effective Tax Rate Q3
- 29.9% (vs 24.5% prior year)
- Stonepeak Portfolio
- US$9.2 billion (CAD$12.9 billion) plus CAD$1.7 billion in related loan portfolios; BMO to retain ~19.9% equity in new entity
- Moneris Expected Gain
- ~CAD $620 million pre-tax (CAD $600 million after-tax)
- First Citizens Branch Sale
- 138 branches; US$5.3 billion (CAD$7.4 billion) deposits assumed and US$0.7 billion (CAD$1.0 billion) loans purchased
- Moneris Sale Consideration
- ~CAD $2.0 billion cash (BMO share 50%, alongside Royal Bank of Canada)
AI analysis
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