Royal Bank of Canada

Record profitability + capital strength (all-bank): - Record earnings: $6.0B, up 11% YoY; ROE nearly 18%. - Revenue growth: +9% YoY with strong operating leverage (adjusted operating leverage +2.4%) and adjusted efficiency ratio 52%. - CET1: 13.5%, unchanged; internal capital generation 80 bps this quarter. - Capital deployment: +85 bps deployed in the quarter (growth + dividends + buybacks).

Shareholder returns (dividends/buybacks): - Total payout ratio: increased to 69% this quarter as dividends grow toward the 40%–50% medium-term objective. - Buybacks: 5.6M shares (~$1.6B) repurchased in the quarter (disciplined cadence to optimize ROE/EPS/compounding book value). - Moneris sale: expected to add ~10 bps CET1 in Q1 2027; run-rate earnings impact expected to be not significant.

Segment performance—broad-based strength (with a notable exception): - Personal Banking: record revenue (+4% YoY), sequential mortgage growth +1.8% (highest since HSBC Canada acquisition); credit card balances +7% YoY; deposits/AUA +8% YoY with positive net inflows. - Commercial Banking: record net income $936M (+12% YoY); pre-provision pre-tax $1.5B; deposits +9% YoY; loans +4% YoY. - Capital Markets (RBC Capital Markets): record net income $1.5B (+16% YoY); IB revenue +23% YoY; Global Markets revenue +11% YoY (equities momentum; some rates headwinds from muted client activity). - Wealth Management: record revenue/net income; net income $1.4B (+32% YoY) with pretax margin 29.3%. U.S./Canada AUA growth helped (AUA +20% Canada, +14% U.S.). - Insurance (negative point): net income $197M (-20% YoY) due to prior-year favorable longevity reinsurance adjustments/recaptures.