Bank of Montreal Raises Quarterly Dividend 2.6%

By Robb M. Stewart

Bank of Montreal boosted its quarterly dividend payout 2.6% amid stronger reported revenue in the latest period.

The big Canadian bank's board declared a dividend of 1.55 Canadian dollars ($1.14) a share for the third quarter of its fiscal year, an increase of C$0.04 from the previous quarter.

The dividend is payable Aug. 27 to shareholders of record on July 30.

The new payout, equal to C$6.20 a year, represents an annual yield of about 4.7% based on Tuesday's closing price of C$131.10.

Bank of Montreal reported earnings of C$2.59 a share for the three months to April 30, ahead of the C$2.77 consensus forecast of analysts polled by FactSet, on the back of a rise in revenue to C$7.97 billion from C$7.79 billion a year earlier.

Bank of Montreal joins fellow "Big Six" Canadian bank National Bank of Canada in raising its dividend so far this earnings season, after Bank of Nova Scotia this week held its quarterly dividend steady at C$1.06 a share and Toronto-Dominion Bank's dividend remained at C$1.02 a share. Canadian Imperial Bank of Commerce and Royal Bank of Canada are scheduled to report fiscal second-quarter earnings Thursday.

National Bank lifted its dividend 3.8% to C$1.10 a share, payable Aug. 1 to shareholders of record on June 24.

Its payout, equal to C$4.40 annually, represents a yield of about 3.9%, based on the last closing price of C$113.01.

Write to Robb M. Stewart at robb.stewart@wsj.com

(END) Dow Jones Newswires

May 29, 2024 06:59 ET (10:59 GMT)

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