HSBC Bank Canada reported a rise of $74 million, or 14.9%, in operating income for the second quarter year over year.
In a release, the bank attributed the increase to growth in its loans, higher interest rates and increased trading revenue.
The retail banking and wealth management business’s operating income rose by $16 million, or 9.5%, from the same period last year. The increases “are primarily due to higher net interest income from improved margins on deposits and growth in both lending and deposit balances,” said the bank.
Its commercial banking reported the highest lending balance growth since 2010 and a rise in operating income of $23 million or 10.6% for Q2. Total operating expenses also rose by $16 million or 5%.
“We are reporting assets of over $100 billion for the first time in our history due largely to significant growth in commercial banking lending balances and residential mortgages,” said Sandra Stuart, CEO at HSBC Bank Canada, in the release.
HSBC also said it paid $470 million in dividends on HSBC Bank Canada common shares in the second quarter.
*A previous headline for this story misstated the rise in operating income for the second quarter. Operating income rose by 14.9%.