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      News Releases

      BMO Financial Group Reports Fourth Quarter and Fiscal 2025 Results

      Fourth Quarter 2025 Earnings Release

      BMO's 2025 audited annual consolidated financial statements and accompanying Management Discussion and Analysis (MD&A) are available online at  www.bmo.com/investorrelations and at www.sedarplus.ca.

      Financial Results Highlights

      Fourth Quarter 2025 compared with Fourth Quarter 2024:

      • Reported net income1 of $2,295 million, compared with $2,304 million; adjusted net income1 of $2,514 million, an increase of 63% from $1,542 million
      • Reported earnings per share (EPS)2 of $2.97, an increase of 1% from $2.94; adjusted EPS1, 2 of $3.28, an increase of 73% from $1.90
      • Provision for credit losses (PCL) of $755 million, compared with $1,523 million
      • Reported return on equity (ROE) of 10.7%, compared with 11.4%; adjusted ROE1 of 11.8%, compared with 7.4%
      • Common Equity Tier 1 (CET1) Ratio3 of 13.3%, compared with 13.6%
      • Declared a quarterly dividend of $1.67 per common share, an increase of $0.04 or 2% from the prior quarter, and an increase of $0.08 or 5% from the prior year

      Fiscal 2025 compared with Fiscal 2024:

      • Reported net income1 of $8,725 million, an increase of 19% from $7,327 million; adjusted net income1 of $9,248 million, an increase of 24% from $7,449 million
      • Reported EPS2 of $11.44, an increase of 20% from $9.51; adjusted EPS1, 2 of $12.16, an increase of 26% from $9.68
      • PCL of $3,617 million, compared with $3,761 million
      • Reported ROE of 10.6%, compared with 9.7%; adjusted ROE1 of 11.3%, compared with 9.8%

      TORONTO, Dec. 4, 2025 /CNW/ - BMO Financial Group (TSX:BMO) (NYSE:BMO) reported net income for fiscal 2025 was $8,725 million, compared with $7,327 million in the prior year, and EPS2 of $11.44, compared with $9.51. Reported ROE was 10.6%, compared with 9.7% in fiscal 2024. Adjusted net income for fiscal 2025 was $9,248 million and adjusted EPS was $12.16, an increase from $7,449 million and $9.68, respectively, in the prior year. Adjusted ROE was 11.3%, compared with 9.8% in fiscal 2024.

      Reported net income for the fourth quarter of 2025 was $2,295 million, compared with $2,304 million in the prior year, and reported EPS was $2.97, compared with $2.94. Adjusted net income for the fourth quarter was $2,514 million and adjusted EPS was $3.28, an increase from $1,542 million and $1.90, respectively, in the prior year.

      "Fiscal 2025 was a strong year for BMO, with consistent execution and growing momentum to achieve our commitments to shareholders. We delivered both robust earnings growth and improved return on equity, driven by significant pre-provision, pre-tax earnings expansion, and sustained positive operating leverage. Revenue increased across all of our diversified businesses reflecting our success in delivering world-class client experiences and deepening relationships. We're deploying capital to drive future growth and higher shareholder returns," said Darryl White, CEO, BMO Financial Group.

      "We enter 2026 in a position of financial strength, with a focused strategy and a winning culture that continues to grow and attract talent across the bank. At the same time, we're building on our investments in digital and AI-powered solutions to drive value for our clients. We're particularly excited to welcome the teams and clients of Burgundy Asset Management to BMO, as we continue to expand our private wealth solutions. These strengths position us to accelerate our performance and create long-term shareholder value, while continuing to support the clients and communities we serve," concluded Mr. White.

      Concurrent with the release of results, BMO announced a first quarter 2026 dividend of $1.67 per common share, an increase of $0.04 or 2% from the prior quarter and an increase of $0.08 or 5% from the prior year. The quarterly dividend of $1.67 per common share is equivalent to an annual dividend of $6.68 per common share. During the quarter, we purchased for cancellation 8.0 million common shares under the normal course issuer bid.

      Caution

      The foregoing section contains forward-looking statements. Please refer to the Caution Regarding Forward-Looking Statements section.



      (1)

      Results and measures in this document are presented on a generally accepted accounting principles (GAAP) basis. They are also presented on an adjusted basis that excludes the impact of certain specified items from reported results. Adjusted results and ratios are non-GAAP and are detailed in the Non-GAAP and Other Financial Measures section. Unless otherwise indicated, all amounts are in Canadian dollars. All ratios and percentage changes in this document are based on unrounded numbers.

      (2)

      All EPS measures in this document refer to diluted EPS, unless specified otherwise.

      (3)

      The CET1 Ratio is disclosed in accordance with the Capital Adequacy Requirements (CAR) Guideline, as set out by the Office of the Superintendent of Financial Institutions (OSFI), as applicable.

      Fourth Quarter 2025 Performance Review

      Adjusted results and ratios in this section are on a non-GAAP basis. Refer to the Non-GAAP and Other Financial Measures section for further information on adjusting items. The order in which the impact on net income is discussed in this section follows the order of revenue, expenses and provision for credit losses, regardless of their relative impact.

      Effective the fourth quarter of 2025, BMO combined its U.S. wealth management business, previously reported within Wealth Management, with U.S. Personal and Commercial Banking to form a unified U.S. Banking operating segment. BMO now reports financial results for four operating segments: Canadian Personal and Commercial Banking, U.S. Banking, Wealth Management and Capital Markets. Financial results for prior periods have been reclassified to conform with the current presentation.

      Canadian P&C

      Reported net income was $752 million, relatively unchanged from the prior year, and adjusted net income was $800 million, an increase of $35 million or 5%. Results reflected a 7% increase in revenue, primarily driven by higher net interest income due to both higher margins and balance growth, partially offset by higher expenses and a higher provision for credit losses.

      U.S. Banking

      Reported net income was $807 million, an increase of $526 million from the prior year, and adjusted net income was $871 million, an increase of $518 million.

      On a U.S. dollar basis, reported net income was $582 million, an increase of $372 million from the prior year, and adjusted net income was $627 million, an increase of $365 million. Results reflected a 3% increase in revenue, driven by higher non-interest revenue and net interest income, lower expenses and a lower provision for credit losses.

      Wealth Management

      Reported net income was $383 million, an increase of $82 million or 27% from the prior year, and adjusted net income was $384 million, an increase of $83 million or 28%. Wealth and Asset Management reported net income was $304 million, an increase of $56 million or 23%, reflecting higher revenue due to the impact of stronger global markets and net sales, balance growth and higher brokerage transaction volumes, partially offset by higher expenses. Insurance net income was $79 million, an increase of $26 million or 48% from the prior year, primarily due to favourable market movements in the current year and business growth.

      Capital Markets

      Reported net income was $521 million, an increase of $270 million from the prior year, and adjusted net income was $532 million, an increase of $262 million or 97%. Results reflected higher revenue in both Global Markets and Investment and Corporate Banking, higher expenses and a lower provision for credit losses. 

      Corporate Services

      Reported net loss was $168 million, compared with reported net income of $721 million in the prior year, with the change reflecting a reversal of a legal provision in the prior year. Adjusted net loss was $73 million, compared with adjusted net loss of $147 million, with the change driven by higher treasury-related revenue, partially offset by higher expenses.

      Capital

      BMO's Common Equity Tier 1 (CET1) Ratio was 13.3% as at October 31, 2025, a decrease from 13.5% at the end of the third quarter of 2025, as internal capital generation was more than offset by the impact of the purchase of common shares for cancellation and higher source currency risk-weighted assets.

      Regulatory Filings

      BMO's continuous disclosure materials, including interim filings, annual Management's Discussion and Analysis and audited annual consolidated financial statements, Annual Information Form and Notice of Annual Meeting of Shareholders and Proxy Circular, are available on our website at www.bmo.com/investorrelations, on the Canadian Securities Administrators' website at www.sedarplus.ca, and on the EDGAR section of the U.S. Securities and Exchange Commission's website at www.sec.gov. Information contained in or otherwise accessible through our website (www.bmo.com), or any third-party websites mentioned herein, does not form part of this document.

      Bank of Montreal uses a unified branding approach that links all of the organization's member companies. Bank of Montreal, together with its subsidiaries, is known as BMO Financial Group. In this document, the names BMO and BMO Financial Group, as well as the words "bank", "we" and "our", mean Bank of Montreal, together with its subsidiaries.

      Caution Regarding Forward-Looking Statements 

      Bank of Montreal's public communications often include written or oral forward-looking statements. Statements of this type are included in this document and may be included in other filings with Canadian securities regulators or the U.S. Securities and Exchange Commission, or in other communications. All such statements are made pursuant to the "safe harbor" provisions of, and are intended to be forward-looking statements under, the United States Private Securities Litigation Reform Act of 1995 and any applicable Canadian securities legislation. Forward-looking statements in this document may include, but are not limited to: statements with respect to our objectives and priorities for fiscal 2026 and beyond; our strategies or future actions; our targets and commitments (including with respect to net zero emissions); expectations for our financial condition, capital position, the regulatory environment in which we operate, the results of, or outlook for, our operations or the Canadian, U.S. and international economies; and include statements made by our management. Forward-looking statements are typically identified by words such as "will", "would", "should", "believe", "expect", "anticipate", "project", "intend", "estimate", "plan", "goal", "commit", "target", "may", "might", "schedule", "forecast", "outlook", "timeline", "suggest", "seek" and "could" or negative or grammatical variations thereof.

      By their nature, forward-looking statements require us to make assumptions and are subject to inherent risks and uncertainties, both general and specific in nature. There is significant risk that predictions, forecasts, conclusions or projections will not prove to be accurate, that our assumptions may not be correct, and that actual results may differ materially from such predictions, forecasts, conclusions or projections. We caution readers of this document not to place undue reliance on our forward-looking statements, as a number of factors – many of which are beyond our control and the effects of which can be difficult to predict – could cause actual future results, conditions, actions or events to differ materially from the targets, expectations, estimates or intentions expressed in the forward-looking statements.

      The future outcomes that relate to forward-looking statements may be influenced by many factors, including, but not limited to: general economic and market conditions in the countries in which we operate, including labour challenges and changes in foreign exchange and interest rates; political conditions, including changes relating to, or affecting, economic or trade matters, including tariffs, countermeasures and tariff mitigation policies; changes to our credit ratings; cyber and information security, including the threat of data breaches, hacking, identity theft and corporate espionage, as well as the possibility of denial of service resulting from efforts targeted at causing system failure and service disruption; technology resilience, innovation and competition; failure of third parties to comply with their obligations to us; disruptions of global supply chains; environmental and social risk, including climate change; the Canadian housing market and consumer leverage; inflationary pressures; changes in laws, including tax legislation and interpretation, or in supervisory expectations or requirements, including capital, interest rate and liquidity requirements and guidance, including if the bank were designated a global systemically important bank, and the effect of such changes on funding costs and capital requirements; changes in monetary, fiscal or economic policy; weak, volatile or illiquid capital or credit markets; the level of competition in the geographic and business areas in which we operate; exposure to, and the resolution of, significant litigation or regulatory matters, our ability to successfully appeal adverse outcomes of such matters and the timing, determination and recovery of amounts related to such matters; the accuracy and completeness of the information we obtain with respect to our customers and counterparties; our ability to successfully execute our strategic plans, complete acquisitions or dispositions and integrate acquisitions, including obtaining regulatory approvals, and realize any anticipated benefits from such plans and transactions; critical accounting estimates and judgments, and the effects of changes in accounting standards, rules and interpretations on these estimates; operational and infrastructure risks, including with respect to reliance on third parties; global capital markets activities; the emergence or continuation of widespread health emergencies or pandemics, and their impact on local, national or international economies, as well as their heightening of certain risks that may affect our future results; the possible effects on our business of war or terrorist activities; natural disasters, such as earthquakes or flooding, and disruptions to public infrastructure, such as transportation, communications, power or water supply; and our ability to anticipate and effectively manage risks arising from all of the foregoing factors.

      We caution that the foregoing list is not exhaustive of all possible factors. Other factors and risks could adversely affect our results. For further information, please refer to the discussion in the Risks That May Affect Future Results section, and the sections related to credit and counterparty, market, liquidity and funding, operational non-financial, legal and regulatory compliance, strategic, environmental and social, and reputation risk in the Enterprise-Wide Risk Management section of BMO's 2025 Annual Report, all of which outline certain key factors and risks that may affect our future results. Investors and others should carefully consider these factors and risks, as well as other uncertainties and potential events, and the inherent uncertainty of forward-looking statements. We do not undertake to update any forward-looking statements, whether written or oral, that may be made from time to time by the organization or on its behalf, except as required by law. The forward-looking information contained in this document is presented for the purpose of assisting shareholders and analysts in understanding our financial position as at and for the periods ended on the dates presented, as well as our strategic priorities and objectives, and may not be appropriate for other purposes.

      Material economic assumptions underlying the forward-looking statements contained in this document include those set out in the Economic Developments and Outlook section and the Allowance for Credit Losses section of BMO's 2025 Annual Report. Assumptions about the performance of the Canadian and U.S. economies, as well as overall market conditions and their combined effect on our business, are material factors we consider when determining our strategic priorities, objectives and expectations for our business. In determining our expectations for economic growth, we primarily consider historical economic data, past relationships between economic and financial variables, changes in government policies, and the risks to the domestic and global economy.

      Financial Highlights

      TABLE 1






      (Canadian $ in millions, except as noted)

      Q4-2025

      Q3-2025

      Q4-2024

      Fiscal 2025

      Fiscal 2024

      Summary Income Statement (1)






      Net interest income

      5,496

      5,496

      5,438

      21,487

      19,468

      Non-interest revenue

      3,845

      3,492

      3,519

      14,787

      13,327

      Revenue

      9,341

      8,988

      8,957

      36,274

      32,795

      Provision for credit losses on impaired loans

      750

      773

      1,107

      3,147

      3,066

      Provision for credit losses on performing loans

      5

      24

      416

      470

      695

      Total provision for credit losses (PCL)

      755

      797

      1,523

      3,617

      3,761

      Non-interest expense

      5,556

      5,105

      4,427

      21,107

      19,499

      Provision for income taxes

      735

      756

      703

      2,825

      2,208

      Net income

      2,295

      2,330

      2,304

      8,725

      7,327

      Net income attributable to non-controlling interest in subsidiaries

      7

      3

      3

      16

      9

      Dividends on preferred shares and distributions on other equity instruments

      163

      66

      152

      436

      386

      Net income available to common shareholders

      2,125

      2,261

      2,149

      8,273

      6,932

      Adjusted net income

      2,514

      2,399

      1,542

      9,248

      7,449

      Adjusted net income available to common shareholders

      2,344

      2,330

      1,387

      8,796

      7,054

      Common Share Data ($, except as noted) (1)






      Basic earnings per share

      2.98

      3.14

      2.95

      11.46

      9.52

      Diluted earnings per share

      2.97

      3.14

      2.94

      11.44

      9.51

      Adjusted diluted earnings per share

      3.28

      3.23

      1.90

      12.16

      9.68

      Book value per share

      111.57

      108.29

      104.40

      111.57

      104.40

      Closing share price

      174.23

      152.94

      126.88

      174.23

      126.88

      Number of common shares outstanding (in millions)






      End of period

      708.9

      716.3

      729.5

      708.9

      729.5

      Average basic

      713.3

      719.5

      729.4

      721.9

      727.7

      Average diluted

      715.1

      720.8

      730.1

      723.3

      728.5

      Market capitalization ($ millions)

      123,513

      109,552

      92,563

      123,513

      92,563

      Dividends declared per common share

      1.63

      1.63

      1.55

      6.44

      6.12

      Dividend yield (%)

      3.7

      4.3

      4.9

      3.7

      4.8

      Dividend payout ratio (%)

      54.7

      51.9

      52.6

      56.2

      64.3

      Adjusted dividend payout ratio (%)

      49.6

      50.3

      81.5

      52.8

      63.1

      Financial Measures and Ratios (%) (1) (2)






      Return on equity

      10.7

      11.6

      11.4

      10.6

      9.7

      Adjusted return on equity

      11.8

      12.0

      7.4

      11.3

      9.8

      Return on tangible common equity

      14.4

      15.6

      15.6

      14.3

      13.5

      Adjusted return on tangible common equity

      15.4

      15.6

      9.7

      14.7

      13.1

      Efficiency ratio

      59.5

      56.8

      49.4

      58.2

      59.5

      Adjusted efficiency ratio

      56.7

      55.8

      58.3

      56.3

      58.6

      Operating leverage

      (21.2)

      4.2

      29.8

      2.4

      19.8

      Adjusted operating leverage

      3.0

      2.9

      2.4

      4.3

      1.6

      Net interest margin on average earning assets

      1.67

      1.69

      1.70

      1.65

      1.58

      Adjusted net interest margin, excluding trading net interest income, and trading and insurance assets

      2.06

      1.99

      1.91

      1.99

      1.85

      Effective tax rate

      24.24

      24.52

      23.37

      24.45

      23.16

      Adjusted effective tax rate

      23.60

      24.54

      21.71

      24.32

      22.91

      Total PCL-to-average net loans and acceptances

      0.44

      0.47

      0.91

      0.53

      0.57

      PCL on impaired loans-to-average net loans and acceptances

      0.44

      0.45

      0.66

      0.46

      0.47

      Balance Sheet and Other Information (as at, $ millions, except as noted)






      Assets

      1,476,802

      1,431,553

      1,409,647

      1,476,802

      1,409,647

      Average earning assets

      1,304,278

      1,287,815

      1,272,939

      1,305,072

      1,235,830

      Gross loans and acceptances

      682,922

      682,750

      682,731

      682,922

      682,731

      Net loans and acceptances

      677,872

      677,585

      678,375

      677,872

      678,375

      Deposits

      976,202

      955,363

      982,440

      976,202

      982,440

      Common shareholders' equity

      79,095

      77,567

      76,163

      79,095

      76,163

      Total risk-weighted assets (3)

      437,945

      430,134

      420,838

      437,945

      420,838

      Assets under administration

      864,891

      810,244

      770,584

      864,891

      770,584

      Assets under management

      506,661

      464,182

      422,701

      506,661

      422,701

      Capital and Liquidity Measures (%) (3)






      Common Equity Tier 1 Ratio

      13.3

      13.5

      13.6

      13.3

      13.6

      Tier 1 Capital Ratio

      15.0

      15.5

      15.4

      15.0

      15.4

      Total Capital Ratio

      17.3

      17.8

      17.6

      17.3

      17.6

      Leverage Ratio

      4.3

      4.5

      4.4

      4.3

      4.4

      TLAC Ratio

      29.7

      29.5

      29.3

      29.7

      29.3

      Liquidity Coverage Ratio

      132

      130

      132

      132

      132

      Net Stable Funding Ratio

      117

      118

      117

      117

      117

      Foreign Exchange Rates ($)






      As at Canadian/U.S. dollar

      1.4016

      1.3847

      1.3909

      1.4016

      1.3909

      Average Canadian/U.S. dollar

      1.3887

      1.3730

      1.3641

      1.4029

      1.3591

      (1)

      Adjusted results exclude certain items from reported results and are used to calculate our adjusted measures as presented in the table above. Management assesses performance on a reported basis and an adjusted basis, and considers both to be useful. For further information, refer to the Non-GAAP and Other Financial Measures section.

      (2)

      PCL, ROE and ROTCE ratios are presented on an annualized basis.

      (3)

      Capital and liquidity measures are disclosed in accordance with the Capital Adequacy Requirements (CAR) Guideline and the Liquidity Adequacy Requirements (LAR) Guideline, as set out by the Office of the Superintendent of Financial Institutions (OSFI), as applicable.

      Certain comparative figures have been reclassified to conform with the current period's presentation.

      Non-GAAP and Other Financial Measures

      Results and measures in this document are presented on a generally accepted accounting principles (GAAP) basis. Unless otherwise indicated, all amounts are in Canadian dollars and have been derived from our audited annual consolidated financial statements and our unaudited interim consolidated financial statements, prepared in accordance with International Financial Reporting Standards (IFRS), as issued by the International Accounting Standards Board (IASB). References to GAAP mean IFRS. We use a number of financial measures to assess our performance, as well as the performance of our operating segments, including amounts, measures and ratios that are presented on a non‑GAAP basis, as described below. We believe that these non‑GAAP amounts, measures and ratios, read together with our GAAP results, provide readers with a better understanding of how management assesses results.

      Non-GAAP amounts, measures and ratios do not have standardized meanings under GAAP. They are unlikely to be comparable to similar measures presented by other companies and should not be viewed in isolation from, or as a substitute for, GAAP results.

      Certain information contained in BMO's 2025 Annual Management's Discussion and Analysis dated December 4, 2025 for the period ended October 31, 2025, is incorporated by reference into this document. For further details on the composition of supplementary financial measures, refer to the Glossary of Financial Terms section of BMO's 2025 Annual MD&A, which is available online at www.bmo.com/investorrelations and at www.sedarplus.ca.

      Adjusted measures and ratios

      Management considers both reported and adjusted results and measures to be useful in assessing underlying ongoing business performance. Adjusted results and measures remove certain specified items from revenue, non‑interest expense and income taxes, as detailed in the following table. Adjusted results and measures presented in this document are non‑GAAP. Presenting results on both a reported and an adjusted basis permits readers to assess the impact of certain items on results for the periods presented, and to better assess results excluding those items that may not reflect ongoing business performance. As such, the presentation may facilitate readers' analysis of underlying trends. Except as otherwise noted, management's discussion of changes in reported results in this document applies equally to changes in the corresponding adjusted results.

      Tangible common equity and return on tangible common equity

      Tangible common equity is calculated as common shareholders' equity, less goodwill and acquisition-related intangible assets, net of related deferred tax liabilities. Return on tangible common equity (ROTCE) is calculated as net income available to common shareholders, adjusted for the amortization of acquisition-related intangible assets and any impairments, as a percentage of average tangible common equity. ROTCE is commonly used in the North American banking industry and is meaningful as a consistent measure of the performance of businesses, whether they were acquired or developed organically.

      Adjusting Items

      Adjusted results in the current quarter and prior periods excluded the following items:

      • Acquisition and integration costs of $3 million ($4 million pre-tax) in Q4-2025. Prior periods included expense of $4 million ($5 million pre-tax) in Q3-2025, a reversal of $1 million ($2 million pre-tax) in Q2-2025, and expenses of $7 million ($10 million pre-tax) in Q1-2025, $27 million ($35 million pre-tax) in Q4-2024, $19 million ($25 million pre-tax) in Q3-2024, $26 million ($36 million pre-tax) in Q2-2024, and $57 million ($76 million pre-tax) in Q1-2024. Amounts are recorded in non-interest expense in the related operating segment: Burgundy in Wealth Management; Bank of the West in Corporate Services; AIR MILES in Canadian P&C; and Clearpool and Radicle in Capital Markets.
      • Amortization of acquisition-related intangible assets of $123 million ($168 million pre-tax) in Q4-2025, including a $64 million impairment related to AIR MILES. Prior periods included $69 million ($93 million pre-tax) in Q3-2025, $81 million ($109 million pre-tax) in Q2-2025, $79 million ($106 million pre-tax) in Q1-2025, $92 million ($124 million pre-tax) in Q4-2024, $79 million ($107 million pre-tax) in Q3-2024 and Q2-2024, and $84 million ($112 million pre-tax) in Q1-2024. Amounts are recorded in non-interest expense in the related operating segment.
      • Impact of divestitures related to the announced sale of 138 branches in select U.S. markets resulting in a write-down of goodwill of $102 million (pre-tax and after-tax) in Q4-2025, recorded in non-interest expense in Corporate Services.
      • Impact of a U.S. Federal Deposit Insurance Corporation (FDIC) special assessment recorded in non-interest expense in Corporate Services. Q4-2025 included a partial reversal of a prior charge of $9 million ($12 million pre-tax). Prior periods included a $4 million ($5 million pre-tax) partial reversal in Q3-2025, $4 million ($5 million pre-tax) expense in Q2-2025, a $5 million ($7 million pre-tax) partial reversal in Q1-2025, a $11 million ($14 million pre-tax) partial reversal in Q4-2024, a $5 million ($6 million pre-tax) expense in Q3-2024, a $50 million ($67 million pre-tax) expense in Q2-2024 and a $313 million ($417 million pre-tax) expense in Q1-2024.
      • Impact of aligning accounting policies for employee vacation across legal entities of $70 million ($96 million pre-tax) in Q1-2025, recorded in non-interest expense in Corporate Services.
      • Impact of a lawsuit associated with a predecessor bank, M&I Marshall and Ilsley Bank, recorded in Corporate Services in the prior year. Q4-2024 included a reversal of the fiscal 2022 legal provision of $870 million ($1,183 million pre-tax), comprising interest expense of $589 million and non-interest expense of $594 million. Prior periods also included $13 million ($18 million pre-tax) in Q3-2024, comprising interest expense of $14 million and non-interest expense of $4 million, and $12 million ($15 million pre-tax) in Q2-2024 and $11 million ($15 million pre-tax) in Q1-2024, both comprising interest expense of $14 million and non-interest expense of $1 million.
      • Net accounting loss of $136 million ($164 million pre-tax) on the sale of a portfolio of recreational vehicle loans related to balance sheet optimization in Q1-2024, recorded in non-interest revenue in Corporate Services.

      Adjusting items in aggregate decreased net income by $219 million in the current quarter, compared with a $762 million increase in the prior year and a decrease of $69 million in the prior quarter. On a fiscal basis, adjusting items in aggregate decreased net income by $523 million, compared with a decrease of $122 million in the prior year.

      Non-GAAP and Other Financial Measures (1)

      TABLE 2






      (Canadian $ in millions, except as noted)

      Q4-2025

      Q3-2025

      Q4-2024

      Fiscal 2025

      Fiscal 2024

      Reported Results






      Net interest income

      5,496

      5,496

      5,438

      21,487

      19,468

      Non-interest revenue

      3,845

      3,492

      3,519

      14,787

      13,327

      Revenue

      9,341

      8,988

      8,957

      36,274

      32,795

      Provision for credit losses

      755

      797

      1,523

      3,617

      3,761

      Non-interest expense

      5,556

      5,105

      4,427

      21,107

      19,499

      Income before income taxes

      3,030

      3,086

      3,007

      11,550

      9,535

      Provision for income taxes

      735

      756

      703

      2,825

      2,208

      Net income

      2,295

      2,330

      2,304

      8,725

      7,327

      Dividends on preferred shares and distributions on other equity instruments

      163

      66

      152

      436

      386

      Net income attributable to non-controlling interest in subsidiaries

      7

      3

      3

      16

      9

      Net income available to common shareholders

      2,125

      2,261

      2,149

      8,273

      6,932

      Diluted EPS ($)

      2.97

      3.14

      2.94

      11.44

      9.51

      Adjusting Items Impacting Revenue (Pre-tax)






      Legal provision/reversal (including related interest expense and legal fees)

      –

      –

      589

      –

      547

      Impact of loan portfolio sale

      –

      –

      –

      –

      (164)

      Impact of adjusting items on revenue (pre-tax)

      –

      –

      589

      –

      383

      Adjusting Items Impacting Non-Interest Expense (Pre-tax)






      Acquisition and integration costs

      (4)

      (5)

      (35)

      (17)

      (172)

      Amortization of acquisition-related intangible assets (2)

      (168)

      (93)

      (124)

      (476)

      (450)

      Impact of divestitures

      (102)

      –

      –

      (102)

      –

      Legal provision/reversal (including related interest expense and legal fees)

      –

      –

      594

      –

      588

      FDIC special assessment

      12

      5

      14

      19

      (476)

      Impact of alignment of accounting policies

      –

      –

      –

      (96)

      –

      Impact of adjusting items on non-interest expense (pre-tax)

      (262)

      (93)

      449

      (672)

      (510)

      Impact of adjusting items on reported net income (pre-tax)

      (262)

      (93)

      1,038

      (672)

      (127)

      Adjusting Items Impacting Revenue (After-tax)






      Legal provision/reversal (including related interest expense and legal fees)

      –

      –

      433

      –

      401

      Impact of loan portfolio sale

      –

      –

      –

      –

      (136)

      Impact of adjusting items on revenue (after-tax)

      –

      –

      433

      –

      265

      Adjusting Items Impacting Non-Interest Expense (After-tax)






      Acquisition and integration costs

      (3)

      (4)

      (27)

      (13)

      (129)

      Amortization of acquisition-related intangible assets (2)

      (123)

      (69)

      (92)

      (352)

      (334)

      Impact of divestitures

      (102)

      –

      –

      (102)

      –

      Legal provision/reversal (including related interest expense and legal fees)

      –

      –

      437

      –

      433

      FDIC special assessment

      9

      4

      11

      14

      (357)

      Impact of alignment of accounting policies

      –

      –

      –

      (70)

      –

      Impact of adjusting items on non-interest expense (after-tax)

      (219)

      (69)

      329

      (523)

      (387)

      Impact of adjusting items on reported net income (after-tax)

      (219)

      (69)

      762

      (523)

      (122)

      Impact on diluted EPS ($)

      (0.31)

      (0.09)

      1.04

      (0.72)

      (0.17)

      Adjusted Results






      Net interest income

      5,496

      5,496

      4,849

      21,487

      18,921

      Non-interest revenue

      3,845

      3,492

      3,519

      14,787

      13,491

      Revenue

      9,341

      8,988

      8,368

      36,274

      32,412

      Provision for credit losses

      755

      797

      1,523

      3,617

      3,761

      Non-interest expense

      5,294

      5,012

      4,876

      20,435

      18,989

      Income before income taxes

      3,292

      3,179

      1,969

      12,222

      9,662

      Provision for income taxes

      778

      780

      427

      2,974

      2,213

      Net income

      2,514

      2,399

      1,542

      9,248

      7,449

      Net income available to common shareholders

      2,344

      2,330

      1,387

      8,796

      7,054

      Diluted EPS ($)

      3.28

      3.23

      1.90

      12.16

      9.68

      (1)

      Adjusted results exclude certain items from reported results and are used to calculate our adjusted measures as presented in the table above. Refer to the commentary in this Non-GAAP and Other Financial Measures section for further information on adjusting items.

      (2)

      Represents amortization of acquisition-related intangible assets and any impairment.

      Summary of Reported and Adjusted Results by Operating Segment

      TABLE 3











      Wealth

      Capital

      Corporate


      U.S. Operations (1)

      (Canadian $ in millions, except as noted)

      Canadian P&C

      U.S. Banking

      Management

      Markets

      Services

      Total Bank

      (US$ in millions)

      Q4-2025








      Reported net income (loss)

      752

      807

      383

      521

      (168)

      2,295

      616

      Dividends on preferred shares and distributions on








      other equity instruments

      11

      15

      2

      10

      125

      163

      3

      Net income attributable to non-controlling interest








      in subsidiaries

      –

      7

      –

      –

      –

      7

      5

      Net income (loss) available to common shareholders

      741

      785

      381

      511

      (293)

      2,125

      608

      Acquisition and integration costs

      –

      –

      1

      –

      2

      3

      1

      Amortization of acquisition-related intangible assets

      48

      64

      –

      11

      –

      123

      47

      Impact of divestitures

      –

      –

      –

      –

      102

      102

      73

      Impact of FDIC special assessment

      –

      –

      –

      –

      (9)

      (9)

      (6)

      Adjusted net income (loss) (2)

      800

      871

      384

      532

      (73)

      2,514

      731

      Adjusted net income (loss) available to common








      shareholders (2)

      789

      849

      382

      522

      (198)

      2,344

      723

      Q3-2025








      Reported net income (loss)

      867

      767

      378

      438

      (120)

      2,330

      661

      Dividends on preferred shares and distributions on








      other equity instruments

      12

      15

      1

      11

      27

      66

      3

      Net income (loss) attributable to non-controlling interest








      in subsidiaries

      –

      2

      –

      –

      1

      3

      3

      Net income (loss) available to common shareholders

      855

      750

      377

      427

      (148)

      2,261

      655

      Acquisition and integration costs

      –

      –

      3

      –

      1

      4

      1

      Amortization of acquisition-related intangible assets

      3

      62

      –

      4

      –

      69

      47

      Impact of FDIC special assessment

      –

      –

      –

      –

      (4)

      (4)

      (3)

      Adjusted net income (loss) (2)

      870

      829

      381

      442

      (123)

      2,399

      706

      Adjusted net income (loss) available to common








      shareholders (2)

      858

      812

      380

      431

      (151)

      2,330

      700

      Q4-2024








      Reported net income (loss)

      750

      281

      301

      251

      721

      2,304

      930

      Dividends on preferred shares and distributions on








      other equity instruments

      11

      14

      2

      10

      115

      152

      5

      Net income (loss) attributable to non-controlling interest








      in subsidiaries

      –

      1

      –

      –

      2

      3

      2

      Net income (loss) available to common shareholders

      739

      266

      299

      241

      604

      2,149

      923

      Acquisition and integration costs

      12

      –

      –

      2

      13

      27

      9

      Amortization of acquisition-related intangible assets

      3

      72

      –

      17

      –

      92

      54

      Legal provision/reversal (including related interest








      expense and legal fees)

      –

      –

      –

      –

      (870)

      (870)

      (643)

      Impact of FDIC special assessment

      –

      –

      –

      –

      (11)

      (11)

      (8)

      Adjusted net income (loss) (2)

      765

      353

      301

      270

      (147)

      1,542

      342

      Adjusted net income (loss) available to common








      shareholders (2)

      754

      338

      299

      260

      (264)

      1,387

      335

      Fiscal 2025








      Reported net income (loss)

      3,295

      2,810

      1,381

      1,977

      (738)

      8,725

      2,431

      Dividends on preferred shares and distributions on








      other equity instruments

      46

      61

      6

      41

      282

      436

      12

      Net income attributable to non-controlling interest








      in subsidiaries

      –

      14

      –

      –

      2

      16

      12

      Net income (loss) available to common shareholders

      3,249

      2,735

      1,375

      1,936

      (1,022)

      8,273

      2,407

      Acquisition and integration costs

      –

      –

      4

      –

      9

      13

      6

      Amortization of acquisition-related intangible assets

      58

      272

      –

      22

      –

      352

      200

      Impact of divestitures

      –

      –

      –

      –

      102

      102

      73

      Impact of FDIC special assessment

      –

      –

      –

      –

      (14)

      (14)

      (10)

      Impact of alignment of accounting policies

      –

      –

      –

      –

      70

      70

      25

      Adjusted net income (loss) (2)

      3,353

      3,082

      1,385

      1,999

      (571)

      9,248

      2,725

      Adjusted net income (loss) available to common








      shareholders (2)

      3,307

      3,007

      1,379

      1,958

      (855)

      8,796

      2,701

      (1)

      U.S. Operations comprises reported and adjusted results recorded in U.S. Banking, and the U.S. operations in Capital Markets and Corporate Services.

      (2)

      Refer to the commentary in this Non-GAAP and Other Financial Measures section for details on adjusting items.

      Certain comparative figures have been reclassified to conform with the current period's presentation.

      Summary of Reported and Adjusted Results by Operating Segment (Continued)

      TABLE 3 (Continued)











      Wealth

      Capital

      Corporate


      U.S. Operations (1)

      (Canadian $ in millions, except as noted)

      Canadian P&C

      U.S. Banking

      Management

      Markets

      Services

      Total Bank

      (US$ in millions)

      Fiscal 2024








      Reported net income (loss)

      3,457

      2,010

      1,067

      1,492

      (699)

      7,327

      2,112

      Dividends on preferred shares and distributions on








      other equity instruments

      42

      57

      6

      37

      244

      386

      20

      Net income attributable to non-controlling interest








      in subsidiaries

      –

      2

      –

      –

      7

      9

      7

      Net income (loss) available to common shareholders

      3,415

      1,951

      1,061

      1,455

      (950)

      6,932

      2,085

      Acquisition and integration costs

      17

      –

      –

      15

      97

      129

      76

      Amortization of acquisition-related intangible assets

      13

      290

      –

      31

      –

      334

      222

      Legal provision/reversal (including related interest








      expense and legal fees)

      –

      –

      –

      –

      (834)

      (834)

      (616)

      Impact of loan portfolio sale

      –

      –

      –

      –

      136

      136

      102

      Impact of FDIC special assessment

      –

      –

      –

      –

      357

      357

      263

      Adjusted net income (loss) (2)

      3,487

      2,300

      1,067

      1,538

      (943)

      7,449

      2,159

      Adjusted net income (loss) available to common








      shareholders (2)

      3,445

      2,241

      1,061

      1,501

      (1,194)

      7,054

      2,132

      See previous page for footnote references.

      Certain comparative figures have been reclassified to conform with the current period's presentation.

      Return on Equity and Return on Tangible Common Equity

      TABLE 4






      (Canadian $ in millions, except as noted)

      Q4-2025

      Q3-2025

      Q4-2024

      Fiscal 2025

      Fiscal 2024

      Reported net income

      2,295

      2,330

      2,304

      8,725

      7,327

      Net income attributable to non-controlling interest in subsidiaries

      7

      3

      3

      16

      9

      Net income attributable to bank shareholders

      2,288

      2,327

      2,301

      8,709

      7,318

      Dividends on preferred shares and distributions on other equity instruments

      163

      66

      152

      436

      386

      Net income available to common shareholders (A)

      2,125

      2,261

      2,149

      8,273

      6,932

      After-tax amortization of acquisition-related intangible assets

      123

      69

      92

      352

      334

      Net income available to common shareholders after adjusting for amortization of






      acquisition-related intangible assets (B)

      2,248

      2,330

      2,241

      8,625

      7,266

      After-tax impact of other adjusting items (1)

      96

      –

      (854)

      171

      (212)

      Adjusted net income available to common shareholders (C)

      2,344

      2,330

      1,387

      8,796

      7,054

      Average common shareholders' equity (D)

      78,511

      77,048

      74,992

      78,126

      71,817

      Goodwill

      (16,716)

      (16,536)

      (16,435)

      (16,886)

      (16,385)

      Acquisition-related intangible assets

      (2,171)

      (2,234)

      (2,512)

      (2,329)

      (2,642)

      Net of related deferred tax liabilities

      882

      935

      934

      953

      960

      Average tangible common equity (E)

      60,506

      59,213

      56,979

      59,864

      53,750

      Return on equity (%) (= A/D) (2)

      10.7

      11.6

      11.4

      10.6

      9.7

      Adjusted return on equity (%) (= C/D) (2)

      11.8

      12.0

      7.4

      11.3

      9.8

      Return on tangible common equity (%) (= B/E) (2)

      14.4

      15.6

      15.6

      14.3

      13.5

      Adjusted return on tangible common equity (%) (= C/E) (2)

      15.4

      15.6

      9.7

      14.7

      13.1

      (1)

      Refer to the commentary in this Non-GAAP and Other Financial Measures section for details on adjusting items.

      (2)

      Quarterly calculations are on an annualized basis.

      Return on Equity by Operating Segment (1)

      TABLE 5











      Wealth

      Capital

      Corporate


      U.S. Operations (2)

      (Canadian $ in millions, except as noted)

      Canadian P&C

      U.S. Banking

      Management

      Markets

      Services

      Total Bank

      (US$ in millions)

      Q4-2025

      Reported








      Net income (loss) available to common shareholders

      741

      785

      381

      511

      (293)

      2,125

      608

      Total average common equity

      16,938

      36,458

      3,049

      14,076

      7,990

      78,511

      32,235

      Return on equity (%)

      17.4

      8.5

      49.7

      14.4

      na

      10.7

      7.5

      Adjusted (3)








      Net income (loss) available to common shareholders

      789

      849

      382

      522

      (198)

      2,344

      723

      Total average common equity

      16,938

      36,458

      3,049

      14,076

      7,990

      78,511

      32,235

      Return on equity (%)

      18.5

      9.2

      49.9

      14.7

      na

      11.8

      8.9

      Q3-2025

      Reported








      Net income (loss) available to common shareholders

      855

      750

      377

      427

      (148)

      2,261

      655

      Total average common equity

      16,764

      36,298

      2,992

      13,586

      7,408

      77,048

      32,462

      Return on equity (%)

      20.2

      8.2

      49.9

      12.5

      na

      11.6

      8.0

      Adjusted (3)








      Net income (loss) available to common shareholders

      858

      812

      380

      431

      (151)

      2,330

      700

      Total average common equity

      16,764

      36,298

      2,992

      13,586

      7,408

      77,048

      32,462

      Return on equity (%)

      20.3

      8.9

      50.3

      12.6

      na

      12.0

      8.6

      Q4-2024

      Reported








      Net income available to common shareholders

      739

      266

      299

      241

      604

      2,149

      923

      Total average common equity

      16,237

      35,191

      2,961

      13,242

      7,361

      74,992

      31,818

      Return on equity (%)

      18.1

      3.1

      40.3

      7.3

      na

      11.4

      11.5

      Adjusted (3)








      Net income (loss) available to common shareholders

      754

      338

      299

      260

      (264)

      1,387

      335

      Total average common equity

      16,237

      35,191

      2,961

      13,242

      7,361

      74,992

      31,818

      Return on equity (%)

      18.5

      3.9

      40.3

      7.8

      na

      7.4

      4.2

      Fiscal 2025

      Reported








      Net income (loss) available to common shareholders

      3,249

      2,735

      1,375

      1,936

      (1,022)

      8,273

      2,407

      Total average common equity

      16,744

      37,075

      3,028

      13,786

      7,493

      78,126

      32,512

      Return on equity (%)

      19.4

      7.4

      45.4

      14.0

      na

      10.6

      7.4

      Adjusted (3)








      Net income (loss) available to common shareholders

      3,307

      3,007

      1,379

      1,958

      (855)

      8,796

      2,701

      Total average common equity

      16,744

      37,075

      3,028

      13,786

      7,493

      78,126

      32,512

      Return on equity (%)

      19.8

      8.1

      45.6

      14.2

      na

      11.3

      8.3

      Fiscal 2024

      Reported








      Net income (loss) available to common shareholders

      3,415

      1,951

      1,061

      1,455

      (950)

      6,932

      2,085

      Total average common equity

      15,986

      35,100

      2,905

      13,172

      4,654

      71,817

      31,782

      Return on equity (%)

      21.4

      5.6

      36.5

      11.0

      na

      9.7

      6.6

      Adjusted (3)








      Net income (loss) available to common shareholders

      3,445

      2,241

      1,061

      1,501

      (1,194)

      7,054

      2,132

      Total average common equity

      15,986

      35,100

      2,905

      13,172

      4,654

      71,817

      31,782

      Return on equity (%)

      21.5

      6.4

      36.5

      11.4

      na

      9.8

      6.7

      (1)

      Return on equity is based on allocated capital. Effective fiscal 2025, the capital allocation rate increased to 12.0% of risk-weighted assets, compared with 11.5% in fiscal 2024. Capital is allocated to the operating segments based on the amount of regulatory capital required to support business activities, with unallocated capital reported in Corporate Services. Capital allocation methodologies are reviewed annually. For further information, refer to the How BMO Reports Operating Segments Results section in BMO's 2025 Annual Report. Return on equity ratios are presented on an annualized basis.

      (2)

      U.S. Operations comprises reported and adjusted results and allocated capital recorded in U.S. Banking, and the U.S. operations in Capital Markets and Corporate Services.

      (3)

      Refer to the commentary in this Non-GAAP and Other Financial Measures section for details on adjusting items.

      na - not applicable

      Certain comparative figures have been reclassified to conform with the current period's presentation.



      Caution

      This Non-GAAP and Other Financial Measures section contains forward-looking statements. Please refer to the Caution Regarding Forward-Looking Statements.

      Foreign Exchange

      TABLE 6






      Q4-2025


      Fiscal 2025

      (Canadian $ in millions, except as noted)

      vs. Q4-2024

      vs. Q3-2025


      vs. Fiscal 2024

      Canadian/U.S. dollar exchange rate (average)





      Current period

      1.3887

      1.3887


      1.4029

      Prior period

      1.3641

      1.3730


      1.3591


      Increased/(Decreased)

      Effects on U.S. operations reported results





      Net interest income

      50

      28


      300

      Non-interest revenue

      25

      14


      167

      Total revenue

      75

      42


      467

      Provision for credit losses

      (16)

      (2)


      (64)

      Non-interest expense

      (30)

      (27)


      (288)

      Provision for income taxes

      (6)

      (3)


      (22)

      Net income

      23

      10


      93

      Impact on basic earnings per share ($)

      0.03

      0.01


      0.13

      Impact on diluted earnings per share ($)

      0.03

      0.01


      0.13

      Effects on U.S. operations adjusted results


      Net interest income

      40

      28


      282

      Non-interest revenue

      24

      14


      172

      Total revenue

      64

      42


      454

      Provision for credit losses

      (16)

      (2)


      (64)

      Non-interest expense

      (39)

      (26)


      (274)

      Provision for income taxes

      (1)

      (3)


      (21)

      Net income

      8

      11


      95

      Impact on basic earnings per share ($)

      0.01

      0.02


      0.13

      Impact on diluted earnings per share ($)

      0.01

      0.02


      0.13

      Adjusted results in this table are on a non-GAAP basis and are discussed in the Non-GAAP and Other Financial Measures section.

      The table above indicates the relevant average Canadian/U.S. dollar exchange rates and the impact of changes in those rates on reported and adjusted results in BMO's U.S. operations, comprising U.S. Banking and the U.S. operations in Capital Markets and Corporate Services.

      The Canadian dollar equivalents of BMO's U.S. operations results that are denominated in U.S. dollars increased in the fourth quarter of fiscal 2025, relative to the third quarter of fiscal 2025 and increased relative to the fourth quarter of fiscal 2024, due to changes in the Canadian/U.S. dollar exchange rate. References in this document to the impact of the U.S. dollar do not include U.S. dollar-denominated amounts recorded outside of BMO's U.S. operations.

      Economically, our U.S. dollar income stream was not hedged against the risk of changes in foreign exchange rates during fiscal 2025 and fiscal 2024. Changes in exchange rates will affect future results measured in Canadian dollars, and the impact on those results is a function of the periods in which revenue, expenses and provisions for (or recoveries of) credit losses and income taxes arise.

      Refer to the Enterprise-Wide Capital Management section of BMO's 2025 Annual MD&A for a discussion of the impact that changes in foreign exchange rates can have on BMO's capital position.

      Net Income

      Q4 2025 vs. Q4 2024

      Reported net income was $2,295 million, a decrease of $9 million from the prior year, and adjusted net income was $2,514 million, an increase of $972 million or 63%. Reported earnings per share (EPS) was $2.97, an increase of $0.03 from the prior year, and adjusted EPS was $3.28, an increase of $1.38.

      Reported results decreased, primarily due to the reversal of a legal provision in the prior year, the write-down of goodwill related to the announced sale of branches in certain U.S. markets in the current year and higher amortization of acquisition-related intangible assets.

      The increase in adjusted net income reflected higher revenue and a lower provision for credit losses, partially offset by higher expenses. Reported and adjusted net income increased across all operating segments. On a reported basis, Corporate Services recorded a net loss in the current year, compared with net income in the prior year, primarily due to the items noted above, and a lower net loss on an adjusted basis.

      Q4 2025 vs. Q3 2025

      Reported net income decreased $35 million or 1% from the prior quarter, and adjusted net income increased $115 million or 5%. Reported EPS decreased $0.17 from the prior quarter, and adjusted EPS increased $0.05, including the impact of higher dividends on preferred shares and distributions on other equity instruments.

      The decrease in reported net income was primarily due to the specified items noted above. The increase in adjusted net income reflected higher revenue and a lower provision for credit losses, partially offset by higher expenses. Reported and adjusted net income increased in Capital Markets, U.S. Banking and Wealth Management, and decreased in Canadian P&C. On a reported basis, Corporate Services recorded a higher net loss compared with the prior quarter, and a lower net loss on an adjusted basis.

      Revenue  

      Q4 2025 vs. Q4 2024

      Reported and adjusted revenue was $9,341 million, an increase of $384 million or 4% from the prior year on a reported basis, and an increase of $973 million or 12% on an adjusted basis. Growth in reported revenue was impacted by the reversal of accrued interest related to a legal provision in the prior year. Reported and adjusted revenue increased across all operating segments. Revenue decreased in Corporate Services on a reported basis and increased on an adjusted basis.

      Reported and adjusted net interest income was $5,496 million, relatively unchanged from the prior year on a reported basis due to the item noted above, and increased $647 million or 13% on an adjusted basis, driven by higher net interest margin, higher net interest income in Corporate Services, higher trading-related net interest income and balance growth in Canadian P&C and Wealth Management. Trading-related net interest income was $124 million, an increase of $179 million from the prior year.

      BMO's overall reported net interest margin of 1.67% decreased 3 basis points from the prior year. Adjusted net interest margin, excluding trading-related net interest income and trading and insurance assets was 2.06%, an increase of 15 basis points, primarily due to higher deposit margins and higher net interest income in Corporate Services.

      Reported and adjusted non-interest revenue was $3,845 million, an increase of $326 million or 9% from the prior year, with increases across most categories, primarily driven by higher wealth management fees, underwriting and advisory fee revenue, securities gains, excluding trading, and lower mark-downs on fair value loans, partially offset by lower trading revenue. Trading non-interest revenue of $557 million decreased $139 million from the prior year, offset in net interest income.

      Q4 2025 vs. Q3 2025

      Reported and adjusted revenue increased $353 million or 4% from the prior quarter. Revenue increased across all operating segments, and in Corporate Services.

      Net interest income was unchanged from the prior quarter, with higher non-trading net interest income in each operating segment and in Corporate Services, offset by lower trading-related net interest income. Trading-related net interest income decreased $201 million from the prior quarter, partially offset in non-interest revenue.

      BMO's overall reported net interest margin decreased 2 basis points from the prior quarter, due to lower trading net interest income. Adjusted net interest margin, excluding trading-related net interest income and trading and insurance assets increased 7 basis points, primarily due to higher net interest income and lower low-yielding assets in Corporate Services, and higher deposit margins.

      Reported and adjusted non-interest revenue increased $353 million or 10% from the prior quarter, due to higher trading revenue, wealth management fees, securities commission revenue, and higher net gains on investments compared with the prior quarter. The prior quarter benefitted from the gain on the sale of a non-strategic portfolio of insurance contracts. Trading non-interest revenue increased $151 million from the prior quarter.

      Change in Net Interest Income, Average Earning Assets and Net Interest Margin (1)

      TABLE 7












      (Canadian $ in millions, except as noted)

      Net interest income (teb) (2)


      Average earning assets (3)


      Net interest margin (in basis points)

      Q4-2025

      Q3-2025

      Q4-2024


      Q4-2025

      Q3-2025

      Q4-2024


      Q4-2025

      Q3-2025

      Q4-2024

      Canadian P&C

      2,464

      2,459

      2,304


      344,411

      343,805

      334,612


      284

      284

      274

      U.S. Banking

      2,234

      2,221

      2,161


      229,046

      230,849

      231,451


      387

      382

      372

      All other operating segments and Corporate Services

      798

      816

      973


      730,821

      713,161

      706,876


      na 

      na 

      na 

      Total reported

      5,496

      5,496

      5,438


      1,304,278

      1,287,815

      1,272,939


      167

      169

      170

      Total adjusted

      5,496

      5,496

      4,849


      1,304,278

      1,287,815

      1,272,939


      167

      169

      152

      Trading net interest income and trading and insurance assets

      124

      325

      (55)


      271,714

      258,972

      249,129


      na 

      na 

      na 

      Total reported, excluding trading and insurance

      5,372

      5,171

      5,493


      1,032,564

      1,028,843

      1,023,810


      206

      199

      213

      Total adjusted, excluding trading and insurance

      5,372

      5,171

      4,904


      1,032,564

      1,028,843

      1,023,810


      206

      199

      191

      U.S. Banking (US$ in millions)

      1,609

      1,617

      1,585


      164,942

      168,134

      169,670


      387

      382

      372

      (Canadian $ in millions, except as noted)

      Net interest income (teb) (2)


      Average earning assets (3)


      Net interest margin (in basis points)

      Fiscal 2025


      Fiscal 2024


      Fiscal 2025


      Fiscal 2024


      Fiscal 2025


      Fiscal 2024

      Canadian P&C

      9,667


      8,852


      342,361


      319,518


      282


      277

      U.S. Banking

      9,017


      8,602


      235,855


      230,500


      382


      373

      All other operating segments and Corporate Services

      2,803


      2,014


      726,856


      685,812


      na 


      na 

      Total reported

      21,487


      19,468


      1,305,072


      1,235,830


      165


      158

      Total adjusted

      21,487


      18,921


      1,305,072


      1,235,830


      165


      153

      Trading net interest income and trading and insurance assets

      783


      169


      264,786


      222,149


      na 


      na 

      Total reported, excluding trading and insurance

      20,704


      19,299


      1,040,286


      1,013,681


      199


      190

      Total adjusted, excluding trading and insurance

      20,704


      18,752


      1,040,286


      1,013,681


      199


      185

      U.S. Banking (US$ in millions)

      6,427


      6,330


      168,096


      169,596


      382


      373

      (1)

      Adjusted results and ratios in this table are on a non-GAAP basis and are discussed in the Non-GAAP and Other Financial Measures section.

      (2)

      Operating segment revenue is presented on a taxable equivalent basis (teb) in net interest income. For further information, refer to the How BMO Reports Operating Segments Results section in BMO's 2025 Annual MD&A.

      (3)

      Average earning assets represents the daily average balance of interest bearing deposits at central banks, deposits with other banks, securities borrowed or purchased under resale agreement, securities and loans over a period.

      na – not applicable

      Certain comparative figures have been reclassified to conform with the current period's presentation.

      Total Provision for Credit Losses

      Q4 2025 vs. Q4 2024

      Total provision for credit losses was $755 million, compared with a provision of $1,523 million in the prior year. Total provision for credit losses as a percentage of average net loans and acceptances was 44 basis points, compared with 91 basis points in the prior year. The provision for credit losses on impaired loans was $750 million, a decrease of $357 million, primarily due to lower provisions in U.S. Commercial Banking and Capital Markets, partially offset by higher provisions in Canadian unsecured consumer lending. The provision for credit losses on impaired loans as a percentage of average net loans and acceptances was 44 basis points, compared with 66 basis points in the prior year. There was a $5 million provision for credit losses on performing loans, compared with a $416 million provision in the prior year. The provision for credit losses on performing loans in the current quarter primarily reflected an improvement in the macroeconomic scenarios, as well as lower balances in certain portfolios, largely offset by uncertainty in credit conditions. The provision in the prior year reflected portfolio credit migration and a higher level of uncertainty.

      Q4 2025 vs. Q3 2025

      Total provision for credit losses decreased $42 million from the prior quarter, due to lower provisions on impaired and performing loans. The provision for credit losses on impaired loans decreased $23 million, largely due to lower provisions in U.S. Banking. The provision for credit losses on impaired loans as a percentage of average net loans and acceptances was 44 basis points, compared with 45 basis points in the prior quarter. There was a $5 million provision for credit losses on performing loans, compared with a $24 million provision in the prior quarter.

      Impaired Loans 

      Total gross impaired loans and acceptances (GIL) were $7,091 million, an increase from $6,951 million in the prior quarter, driven by higher impaired loans in Canadian Commercial Banking. GIL as a percentage of gross loans and acceptances increased to 1.04% from 1.02% in the prior quarter.

      Loans classified as impaired during the quarter were $1,835 million, an increase from $1,796 million in the prior quarter, reflecting higher formations in consumer lending.

      Non-Interest Expense 

      Q4 2025 vs. Q4 2024

      Reported non‑interest expense was $5,556 million, an increase of $1,129 million or 26% from the prior year, and adjusted non‑interest expense was $5,294 million, an increase of $418 million or 9%. 

      The increase in reported results reflected the reversal of the legal provision in the prior year, the impact of the write-down of goodwill in the current year, and higher amortization of acquisition-related intangible assets, partially offset by lower acquisition and integration costs. Adjusted non-interest expense increased, primarily due to higher employee-related expenses, including performance-based compensation, higher computer and equipment costs and higher premises costs.

      Reported efficiency ratio was 59.5%, compared with 49.4% in the prior year, and adjusted efficiency ratio was 56.7%, compared with 58.3%. Reported operating leverage was negative 21.2% and adjusted operating leverage was positive 3.0%.

      Q4 2025 vs. Q3 2025

      Reported non-interest expense increased $451 million or 9% from the prior quarter, and adjusted non-interest expense increased $282 million or 6%.

      Reported non-interest expense included the items noted above. The increase in adjusted non-interest expense was primarily due to higher computer and equipment costs, professional fees and premises costs. 

      Provision for Income Taxes

      The reported provision for income taxes was $735 million, an increase of $32 million from the prior year, and a decrease of $21 million from the prior quarter. The reported effective tax rate was 24.2%, compared with 23.4% in the prior year and 24.5% in the prior quarter. The adjusted provision for income taxes was $778 million, an increase of $351 million from the prior year, and a decrease of $2 million from the prior quarter. The adjusted effective tax rate was 23.6%, compared with 21.7% in the prior year and 24.5% in the prior quarter.

      The change in the reported effective tax rate relative to the prior year was primarily due to the impact of the Global Minimum Tax Act (GMTA) in the current year. The change in the adjusted effective tax rate relative to the prior year was primarily due to earnings mix, including the impact of lower income in the prior year and the impact of the GMTA in the current year. The change in the adjusted effective tax rate relative to the prior quarter was primarily due to earnings mix.

      Refer to the Non-GAAP and Other Financial Measures section for further information on non-GAAP amounts, measures and ratios, including adjusting items in this Provision for Income Taxes section.

      Capital Management

      BMO's Common Equity Tier 1 (CET1) Ratio was 13.3% as at October 31, 2025, a decrease from 13.5% at the end of the third quarter of 2025, as internal capital generation was more than offset by the impact of the purchase of common shares for cancellation and higher source currency risk‑weighted assets.

      CET1 Capital was $58.3 billion as at October 31, 2025, an increase from $57.9 billion as at July 31, 2025, with internal capital generation and a net positive impact from other items largely offset by the purchase of common shares for cancellation.

      RWA were $437.9 billion as at October 31, 2025, an increase from $430.1 billion as at July 31, 2025. RWA increased due to higher credit risk and the impact of foreign exchange movements. The increase in credit risk primarily reflected an increase in asset size, changes in asset quality and methodology changes.

      In calculating regulatory capital ratios, total RWA must be increased when a capital floor amount calculated under the standardized approaches, multiplied by a capital floor adjustment factor, is higher than a similar calculation using more risk-sensitive internal modelled approaches, where applicable. The capital floor was not operative as at October 31, 2025, unchanged from July 31, 2025.

      The bank's Tier 1 and Total Capital Ratios were 15.0% and 17.3%, respectively, as at October 31, 2025, compared with 15.5% and 17.8%, respectively, as at July 31, 2025. The Tier 1 and Total Capital Ratios were lower, due to the same factors noted above for the CET1 Ratio, as well as the announced redemption of $1,250 million LRCNs, Series 1 (NVCC).

      BMO's investments in foreign operations are primarily denominated in U.S. dollars, and the foreign exchange impact of U.S. dollar-denominated RWA and capital deductions may result in variability in the bank's capital ratios. We manage the impact of foreign exchange movements on RWA and capital deductions on our capital ratios, and during the current quarter this impact was largely offset.

      Our Leverage Ratio was 4.3% as at October 31, 2025, a decrease from 4.5% at the end of the third quarter of 2025, due to higher leverage exposures and lower Tier 1 Capital.

      The bank's risk-based Total Loss Absorbing Capacity (TLAC) Ratio and TLAC Leverage Ratio were 29.7% and 8.5%, respectively, as at October 31, 2025, compared with 29.5% and 8.5%, respectively, as at July 31, 2025.

      Operating Segments Performance Review

      BMO reports financial results for its four operating segments, Canadian Personal and Commercial Banking, U.S. Banking, Wealth Management and Capital Markets, all of which are supported by Corporate Units and Technology and Operations (T&O) within Corporate Services. Further information on how BMO reports operating segments results are outlined in the 2025 Operating Segments Performance Review section of BMO's 2025 Annual MD&A.

      Canadian Personal and Commercial Banking (Canadian P&C) (1)

      TABLE 8






      (Canadian $ in millions, except as noted)

      Q4-2025

      Q3-2025

      Q4-2024

      Fiscal 2025

      Fiscal 2024

      Net interest income

      2,464

      2,459

      2,304

      9,667

      8,852

      Non-interest revenue

      661

      639

      630

      2,595

      2,587

      Total revenue

      3,125

      3,098

      2,934

      12,262

      11,439

      Provision for credit losses on impaired loans

      496

      489

      440

      1,952

      1,326

      Provision for credit losses on performing loans

      153

      76

      138

      412

      333

      Total provision for credit losses (PCL)

      649

      565

      578

      2,364

      1,659

      Non-interest expense

      1,442

      1,339

      1,319

      5,360

      5,005

      Income before income taxes

      1,034

      1,194

      1,037

      4,538

      4,775

      Provision for income taxes

      282

      327

      287

      1,243

      1,318

      Reported net income

      752

      867

      750

      3,295

      3,457

      Dividends on preferred shares and distributions on other equity instruments

      11

      12

      11

      46

      42

      Net income available to common shareholders

      741

      855

      739

      3,249

      3,415

      Acquisition and integration costs (2)

      –

      –

      12

      –

      17

      Amortization of acquisition-related intangible assets (3)

      48

      3

      3

      58

      13

      Adjusted net income

      800

      870

      765

      3,353

      3,487

      Adjusted net income available to common shareholders

      789

      858

      754

      3,307

      3,445

      Adjusted non-interest expense

      1,374

      1,335

      1,299

      5,279

      4,964

      Key Performance Metrics






      Personal and Business Banking revenue

      2,222

      2,236

      2,117

      8,805

      8,231

      Commercial Banking revenue

      903

      862

      817

      3,457

      3,208

      Return on equity (%) (4) (5)

      17.4

      20.2

      18.1

      19.4

      21.4

      Adjusted return on equity (%) (4) (5)

      18.5

      20.3

      18.5

      19.8

      21.5

      Operating leverage (%)

      (2.7)

      0.2

      0.1

      0.1

      2.3

      Adjusted operating leverage (%)

      0.7

      0.0

      1.1

      0.9

      2.7

      Efficiency ratio (%)

      46.1

      43.2

      45.0

      43.7

      43.8

      Adjusted efficiency ratio (%)

      44.0

      43.1

      44.3

      43.1

      43.4

      PCL on impaired loans-to-average net loans and acceptances (%) (5)

      0.58

      0.57

      0.53

      0.58

      0.41

      Net interest margin on average earning assets (%)

      2.84

      2.84

      2.74

      2.82

      2.77

      Average earning assets

      344,411

      343,805

      334,612

      342,361

      319,518

      Average gross loans and acceptances

      342,659

      342,077

      332,965

      340,635

      324,082

      Average deposits

      312,344

      310,564

      312,475

      311,886

      301,278

      (1)

      Adjusted results and ratios are on a non-GAAP basis and are discussed in the Non-GAAP and Other Financial Measures section.

      (2)

      Acquisition and integration costs related to AIR MILES, recorded in non-interest expense.

      (3)

      Amortization of acquisition-related intangible assets and any impairments, recorded in non‑interest expense. Q4-2025 included a $64 million impairment related to AIR MILES.

      (4)

      Return on equity is based on allocated capital. Effective fiscal 2025, the capital allocation rate increased to 12.0% of risk-weighted assets, compared with 11.5% in fiscal 2024. For further information, refer to the Non-GAAP and Other Financial Measures section.

      (5)

      Return on equity and PCL ratios are presented on an annualized basis.

      Certain comparative figures have been reclassified to conform with the current period's presentation.

      Q4 2025 vs. Q4 2024

      Canadian P&C reported net income was $752 million, relatively unchanged from the prior year, as revenue growth was offset by higher expenses and a higher provision for credit losses.

      Total revenue was $3,125 million, an increase of $191 million or 7% from the prior year. Net interest income increased $160 million or 7%, due to both higher net interest margin and higher balances. Non-interest revenue increased $31 million or 5%, primarily due to higher mutual fund distribution fee revenue, as well as higher gains on investments and deposit fee revenue in our commercial business. Net interest margin of 2.84% increased 10 basis points from the prior year, primarily due to higher deposit and loan margins, partially offset by a change in product mix.

      Personal and Business Banking revenue increased $105 million or 5% and Commercial Banking revenue increased $86 million or 11%, both due to higher net interest income and non-interest revenue.

      Total provision for credit losses was $649 million, an increase of $71 million from the prior year. Total provision for credit losses as a percentage of average net loans and acceptances was 76 basis points, compared with 69 basis points. The provision for credit losses on impaired loans was $496 million, an increase of $56 million, primarily due to higher provisions in Canadian unsecured consumer lending, partially offset by lower provisions in Commercial Banking. The provision for credit losses on impaired loans as a percentage of average net loans and acceptances was 58 basis points, compared with 53 basis points. There was a $153 million provision for credit losses on performing loans in the current quarter, compared with a $138 million provision in the prior year.

      Non-interest expense was $1,442 million, an increase of $123 million or 9% from the prior year, primarily driven by higher technology costs and employee-related expenses, as well as higher amortization of acquisition-related intangible assets reflecting an impairment related to AIR MILES.

      Average gross loans and acceptances increased $9.7 billion or 3% from the prior year to $342.7 billion. Personal and Business Banking balances increased 3%, primarily reflecting growth in residential mortgages. Commercial Banking balances increased 4% and credit card balances decreased 4%. Average deposits were $312.3 billion, relatively unchanged from the prior year as strong growth in operating deposits was offset by lower term deposits. Personal and Business Banking deposits decreased 2%, and Commercial Banking deposits increased 3%.

      Q4 2025 vs. Q3 2025

      Reported net income decreased $115 million or 13% from the prior quarter.

      Total revenue increased $27 million or 1% from the prior quarter. Net interest income increased $5 million, due to higher deposit balances. Non-interest revenue increased $22 million from the prior quarter, due to higher gains on investments and mutual fund distribution fee revenue, partially offset by lower card-related revenue. Net interest margin of 2.84% was relatively unchanged from the prior quarter, with higher deposit margins offset by a change in product mix.

      Personal and Business Banking revenue decreased $14 million or 1%, primarily due to lower net interest income. Commercial Banking revenue increased $41 million or 5%, due to higher non-interest revenue and higher net interest income.

      Total provision for credit losses increased $84 million from the prior quarter. Total provision for credit losses as a percentage of average net loans and acceptances was 76 basis points, compared with 66 basis points. The provision for credit losses on impaired loans increased $7 million, largely due to higher provisions in Personal and Business Banking. The provision for credit losses on impaired loans as a percentage of average net loans and acceptances was 58 basis points, compared with 57 basis points. There was a $153 million provision for credit losses on performing loans in the current quarter, primarily due to uncertainty in credit conditions, compared with a $76 million provision in the prior quarter.

      Non-interest expense increased $103 million or 8% from the prior quarter, primarily due to higher amortization of acquisition-related intangible assets as noted above, and higher employee-related expenses.

      Average gross loans and acceptances increased $0.6 billion from the prior quarter. Personal and Business Banking balances increased 1% and credit card balances decreased 3%, with Commercial Banking balances relatively unchanged from the prior quarter. Average deposits increased $1.8 billion from the prior quarter. Personal and Business Banking deposits decreased 1% and Commercial Banking deposits increased 5%.

      U.S. Banking (1)

      TABLE 9






      (Canadian $ in millions, except as noted)

      Q4-2025

      Q3-2025

      Q4-2024

      Fiscal 2025

      Fiscal 2024

      Net interest income (teb) (2)

      2,234

      2,221

      2,161

      9,017

      8,602

      Non-interest revenue

      641

      609

      574

      2,466

      2,209

      Total revenue (teb) (2)

      2,875

      2,830

      2,735

      11,483

      10,811

      Provision for credit losses on impaired loans

      209

      241

      446

      1,010

      1,285

      Provision (recovery of provision) for credit losses on performing loans

      (90)

      (70)

      276

      33

      392

      Total provision for credit losses (PCL)

      119

      171

      722

      1,043

      1,677

      Non-interest expense

      1,719

      1,670

      1,709

      6,855

      6,690

      Income before income taxes

      1,037

      989

      304

      3,585

      2,444

      Provision for income taxes (teb) (2)

      230

      222

      23

      775

      434

      Reported net income

      807

      767

      281

      2,810

      2,010

      Dividends on preferred shares and distributions on other equity instruments

      15

      15

      14

      61

      57

      Net income attributable to non-controlling interest in subsidiaries

      7

      2

      1

      14

      2

      Net income available to common shareholders

      785

      750

      266

      2,735

      1,951

      Amortization of acquisition-related intangible assets (3)

      64

      62

      72

      272

      290

      Adjusted net income

      871

      829

      353

      3,082

      2,300

      Adjusted net income available to common shareholders

      849

      812

      338

      3,007

      2,241

      Adjusted non-interest expense

      1,634

      1,586

      1,613

      6,490

      6,300

      Average earning assets

      229,046

      230,849

      231,451

      235,855

      230,500

      Average gross loans and acceptances

      218,999

      220,558

      219,874

      225,104

      219,167

      Average deposits

      236,483

      237,189

      243,917

      244,795

      237,855







      (US$ equivalent in millions)






      Net interest income (teb) (2)

      1,609

      1,617

      1,585

      6,427

      6,330

      Non-interest revenue

      463

      442

      421

      1,759

      1,626

      Total revenue (teb) (2)

      2,072

      2,059

      2,006

      8,186

      7,956

      Provision for credit losses on impaired loans

      151

      175

      328

      719

      943

      Provision (recovery of provision) for credit losses on performing loans

      (65)

      (50)

      198

      21

      285

      Total provision for credit losses

      86

      125

      526

      740

      1,228

      Non-interest expense

      1,238

      1,217

      1,252

      4,886

      4,922

      Income before income taxes

      748

      717

      228

      2,560

      1,806

      Provision for income taxes (teb) (2)

      166

      159

      18

      553

      321

      Reported net income

      582

      558

      210

      2,007

      1,485

      Dividends on preferred shares and distributions on other equity instruments

      11

      11

      11

      44

      42

      Net income attributable to non-controlling interest in subsidiaries

      5

      2

      1

      10

      2

      Net income available to common shareholders

      566

      545

      198

      1,953

      1,441

      Amortization of acquisition-related intangible assets (3)

      45

      45

      52

      192

      214

      Adjusted net income

      627

      603

      262

      2,199

      1,699

      Adjusted net income available to common shareholders

      611

      590

      250

      2,145

      1,655

      Adjusted non-interest expense

      1,178

      1,156

      1,182

      4,627

      4,635

      Key Performance Metrics (US$ basis)






      Personal and Business Banking revenue

      753

      743

      696

      2,897

      2,801

      Commercial Banking revenue

      1,100

      1,107

      1,114

      4,458

      4,384

      Private Wealth revenue

      219

      209

      196

      831

      771

      Return on equity (%) (4) (5)

      8.5

      8.2

      3.1

      7.4

      5.6

      Adjusted return on equity (%) (4) (5)

      9.2

      8.9

      3.9

      8.1

      6.4

      Operating leverage (%)

      4.4

      4.6

      2.5

      3.6

      (1.0)

      Adjusted operating leverage (%)

      3.6

      3.8

      2.1

      3.1

      (0.3)

      Efficiency ratio (%)

      59.8

      59.0

      62.4

      59.7

      61.9

      Adjusted efficiency ratio (%)

      56.9

      56.1

      58.9

      56.5

      58.3

      Net interest margin on average earning assets (%)

      3.87

      3.82

      3.72

      3.82

      3.73

      PCL on impaired loans-to-average net loans and acceptances (%) (5)

      0.38

      0.44

      0.82

      0.45

      0.59

      Average earning assets

      164,942

      168,134

      169,670

      168,096

      169,596

      Average gross loans and acceptances

      157,706

      160,639

      161,182

      160,437

      161,261

      Average deposits

      170,295

      172,753

      178,811

      174,440

      175,004

      Assets under administration (6)

      104,368

      103,846

      83,450

      104,368

      83,450

      Assets under management (6)

      83,036

      75,884

      69,504

      83,036

      69,504

      (1)

      Adjusted results and ratios are on a non-GAAP basis and are discussed in the Non-GAAP and Other Financial Measures section.

      (2)

      Net interest income, total revenue and the provision for income taxes are presented on a taxable equivalent basis (teb) and are reflected in the ratios. Teb amounts of $8 million in both Q4-2025 and Q3-2025, and $9 million in Q4-2024; and $33 million for YTD-2025 and $36 million for YTD-2024 are offset in Corporate Services. On a source currency basis: US$6 million in Q4-2025, Q3-2025 and Q4-2024; and US$24 million for YTD-2025 and US$25 million for YTD-2024.

      (3)

      Amortization of acquisition-related intangible assets and any impairments, recorded in non‑interest expense. On a source currency basis: US$60 million in Q4-2025, US$61 million in Q3-2025 and US$70 million in Q4-2024; and US$259 million for YTD-2025 and US$287 million for YTD-2024.

      (4)

      Return on equity is based on allocated capital. Effective fiscal 2025, the capital allocation rate increased to 12.0% of risk-weighted assets, compared with 11.5% in fiscal 2024. For further information, refer to the Non-GAAP and Other Financial Measures section.

      (5)

      Return on equity and PCL ratios are presented on an annualized basis.

      (6)

      Relates to Private Wealth. Assets under administration excludes assets under custody.

      Certain comparative figures have been reclassified to conform with the current period's presentation.

      Q4 2025 vs. Q4 2024

      U.S. Banking (1) reported net income was $807 million, an increase of $526 million from $281 million in the prior year. The impact of the stronger U.S. dollar increased net income by 5%, and revenue and expenses by 2%, respectively. All amounts in the remainder of this section are presented on a U.S. dollar basis.

      Reported net income was $582 million, an increase of $372 million from $210 million in the prior year.

      Total revenue was $2,072 million, an increase of $66 million or 3% from the prior year. Net interest income increased $24 million or 2%, due to higher net interest margin, partially offset by lower balances. Non-interest revenue increased $42 million or 10% from the prior year, primarily due to higher deposit fee revenue and wealth management fees. Net interest margin of 3.87% increased 15 basis points, primarily due to higher deposit margins driven by deposit optimization, partially offset by lower deposit balances.

      Personal and Business Banking revenue increased $57 million or 9%, primarily due to higher net interest income. Commercial Banking revenue decreased $14 million or 1%, due to lower net interest income, partially offset by higher non-interest revenue. Private Wealth revenue increased $23 million or 12%.

      Total provision for credit losses was $86 million, a decrease of $440 million from the prior year. Total provision for credit losses as a percentage of average net loans and acceptances was 22 basis points, compared with 131 basis points. The provision for credit losses on impaired loans was $151 million, a decrease of $177 million, largely due to lower provisions in Commercial Banking. The provision for credit losses on impaired loans as a percentage of average net loans and acceptances was 38 basis points, compared with 82 basis points. There was a $65 million recovery on performing loans in the current quarter, compared with a $198 million provision in the prior year.

      Non-interest expense was $1,238 million, a decrease of $14 million or 1% from the prior year, reflecting lower technology and other operating costs, partially offset by higher employee-related expenses.

      Average gross loans and acceptances decreased $3.5 billion or 2% from the prior year to $157.7 billion. Commercial Banking balances decreased 5% reflecting balance sheet optimization initiatives, Personal and Business Banking balances increased 3% and Private Wealth balances increased 14%. Average total deposits decreased $8.5 billion or 5% from the prior year to $170.3 billion, driven by lower term deposits. Commercial Banking deposits decreased 4%, Personal and Business Banking deposits decreased 6% and Private Wealth deposits decreased 2%.

      Assets under management increased $13.5 billion or 19% from the prior year to $83.0 billion, driven by stronger global markets and higher client assets. Assets under administration increased $20.9 billion or 25% to $104.4 billion, primarily driven by stronger global markets.

      Q4 2025 vs. Q3 2025

      Reported net income increased $40 million or 5% from the prior quarter. The impact of the stronger U.S. dollar increased revenue, expenses and net income by 1%, respectively. All amounts in the remainder of this section are presented on a U.S. dollar basis.

      Reported net income increased $24 million or 4% from the prior quarter.

      Total revenue was relatively unchanged from the prior quarter. Net interest income decreased $8 million or 1%, due to lower balances, partially offset by higher net interest margin. Non-interest revenue increased $21 million or 4%, primarily due to higher wealth management fees and card-related revenue. Net interest margin increased 5 basis points, primarily due to higher deposit margins, partially offset by lower deposit balances.

      Personal and Business Banking revenue increased $10 million or 1% from the prior quarter, due to higher net interest income, partially offset by lower non-interest revenue. Commercial Banking revenue decreased $7 million or 1%, due to lower net interest income, partially offset by higher non-interest revenue. Private Wealth revenue increased $10 million or 4%, due to higher non-interest revenue.

      Total provision for credit losses decreased $39 million from the prior quarter. Total provision for credit losses as a percentage of average net loans and acceptances was 22 basis points, compared with 31 basis points. The provision for credit losses on impaired loans decreased $24 million, due to lower provisions in both Personal and Business Banking and Commercial Banking. The provision for credit losses on impaired loans as a percentage of average net loans and acceptances was 38 basis points, compared with 44 basis points. There was a $65 million recovery on performing loans in the current quarter, compared with a $50 million recovery in the prior quarter.

      Non-interest expense increased $21 million or 2% from the prior quarter, primarily due to higher operating and technology costs.

      Average gross loans and acceptances decreased $2.9 billion or 2% from the prior quarter. Commercial Banking balances decreased 3%, Personal and Business Banking balances increased 1% and Private Wealth balances increased 2%. Average total deposits decreased $2.5 billion or 1% from the prior quarter. Commercial Banking deposits decreased 1%, Personal and Business Banking deposits decreased 2%, with Private Wealth deposit balances relatively unchanged. 

      Assets under management increased $7.2 billion or 9% from the prior quarter, driven by stronger global markets and higher client assets. Assets under administration increased $0.5 billion or 1% from the prior quarter.

      (1)

      Effective the fourth quarter of 2025, BMO combined its U.S. wealth management business, previously reported within Wealth Management, with U.S. Personal and Commercial Banking to form a unified U.S. Banking operating segment. Financial results for prior periods have been reclassified to conform with the current presentation. For further information, refer to the How BMO Reports Operating Segments Results section of BMO's Annual 2025 MD&A.

      Wealth Management (1)

      TABLE 10






      (Canadian $ in millions, except as noted)

      Q4-2025

      Q3-2025

      Q4-2024

      Fiscal 2025

      Fiscal 2024

      Net interest income

      274

      257

      233

      1,020

      873

      Non-interest revenue

      1,145

      1,086

      986

      4,282

      3,726

      Total revenue

      1,419

      1,343

      1,219

      5,302

      4,599

      Provision for credit losses on impaired loans

      5

      1

      5

      8

      15

      Provision (recovery of provision) for credit losses on performing loans

      (1)

      2

      5

      2

      2

      Total provision for credit losses (PCL)

      4

      3

      10

      10

      17

      Non-interest expense

      907

      839

      814

      3,460

      3,176

      Income before income taxes

      508

      501

      395

      1,832

      1,406

      Provision for income taxes

      125

      123

      94

      451

      339

      Reported net income

      383

      378

      301

      1,381

      1,067

      Dividends on preferred shares and distributions on other equity instruments

      2

      1

      2

      6

      6

      Net income available to common shareholders

      381

      377

      299

      1,375

      1,061

      Acquisition and integration costs (2)

      1

      3

      –

      4

      –

      Adjusted net income

      384

      381

      301

      1,385

      1,067

      Adjusted net income available to common shareholders

      382

      380

      299

      1,379

      1,061

      Adjusted non-interest expense

      905

      835

      814

      3,454

      3,176

      Key Performance Metrics






      Wealth and Asset Management reported net income

      304

      283

      248

      1,065

      831

      Wealth and Asset Management adjusted net income

      305

      286

      248

      1,069

      831

      Insurance reported net income (loss)

      79

      95

      53

      316

      236

      Return on equity (%) (3) (4)

      49.7

      49.9

      40.3

      45.4

      36.5

      Adjusted return on equity (%) (3) (4)

      49.9

      50.3

      40.3

      45.6

      36.5

      Efficiency ratio (%)

      63.9

      62.5

      66.8

      65.3

      69.1

      Adjusted efficiency ratio (%)

      63.8

      62.2

      66.8

      65.1

      69.1

      Operating leverage (%)

      5.0

      7.2

      (2.8)

      6.3

      1.6

      Adjusted operating leverage (%)

      5.3

      7.7

      (2.8)

      6.5

      1.6

      PCL on impaired loans-to-average net loans and acceptances (%) (4)

      0.06

      0.02

      0.07

      0.03

      0.05

      Average assets

      53,776

      53,484

      51,080

      53,224

      49,134

      Average gross loans and acceptances

      30,400

      30,079

      29,261

      30,003

      28,532

      Average deposits

      54,324

      52,908

      46,951

      52,359

      45,874

      Assets under administration (5)

      282,258

      262,354

      245,183

      282,258

      245,183

      Assets under management

      390,282

      359,109

      326,032

      390,282

      326,032

      (1)

      Adjusted results and ratios are on a non-GAAP basis and are discussed in the Non-GAAP and Other Financial Measures section.

      (2)

      Burgundy pre-tax acquisition and integration costs, recorded in non-interest expense.

      (3)

      Return on equity is based on allocated capital. Effective the first quarter of fiscal 2025, the capital allocation rate increased to 12.0% of risk-weighted assets, compared with 11.5% in fiscal 2024. For further information, refer to the Non-GAAP and Other Financial Measures section.

      (4)

      Return on equity and PCL ratios are presented on an annualized basis.

      (5)

      Certain assets under management that are also administered by the bank are included in assets under administration.

      Q4 2025 vs. Q4 2024

      Wealth Management (1) reported net income was $383 million, an increase of $82 million or 27% from the prior year. Wealth and Asset Management reported net income was $304 million, an increase of $56 million or 23%, and Insurance net income was $79 million, an increase of $26 million or 48%.

      Total revenue was $1,419 million, an increase of $200 million or 16% from the prior year. Revenue in Wealth and Asset Management was $1,290 million, an increase of $158 million or 14%, primarily due to the impact of stronger global markets and net sales, strong growth in loan and deposit balances and higher brokerage transaction volumes. Insurance revenue was $129 million, an increase of $42 million or 48%, due to favourable market movements in the current quarter and business growth. 

      Total provision for credit losses was $4 million, a decrease of $6 million from the prior year.

      Non-interest expense was $907 million, an increase of $93 million or 11%, primarily due to higher employee-related expenses, including higher revenue-based costs.

      Assets under management increased $64.3 billion or 20% from the prior year to $390.3 billion, and assets under administration increased $37.1 billion or 15% to $282.3 billion, both driven by stronger global markets and higher client assets. Average gross loans increased 4% and average deposits increased 16%.

      Q4 2025 vs. Q3 2025

      Reported net income increased by $5 million or 2% from the prior quarter. Wealth and Asset Management reported net income increased $21 million or 8% from the prior quarter, and Insurance net income decreased $16 million or 17%.

      Total revenue increased $76 million or 6% from the prior quarter. Revenue in Wealth and Asset Management increased $92 million or 8%, primarily due to the impact of stronger global markets and net sales, higher brokerage transaction volumes and good growth in loan and deposit balances. Insurance revenue decreased $16 million or 11%, primarily due to a gain on sale of a portfolio of insurance contracts in the prior quarter, partially offset by more favourable market movements in the quarter. 

      Total provision for credit losses increased $1 million from the prior quarter.

      (1)

      Effective the fourth quarter of 2025, BMO combined its U.S. wealth management business, previously reported within Wealth Management, with U.S. Personal and Commercial Banking to form a unified U.S. Banking operating segment. Financial results for prior periods have been reclassified to conform with the current presentation. For further information, refer to the How BMO Reports Operating Segments Results section of BMO's Annual 2025 MD&A.

      Non-interest expense increased $68 million or 8%, primarily due to higher employee-related expenses, including higher revenue-based costs.

      Assets under management increased $31.2 billion or 9% and assets under administration increased $19.9 billion or 8%, both driven by stronger global markets and higher client assets. Average gross loans increased by 1% and average deposits increased by 3%.

      Capital Markets (1)

      TABLE 11






      (Canadian $ in millions, except as noted)

      Q4-2025

      Q3-2025

      Q4-2024

      Fiscal 2025

      Fiscal 2024

      Net interest income (teb) (2)

      580

      729

      389

      2,482

      1,731

      Non-interest revenue

      1,239

      1,047

      1,211

      4,965

      4,785

      Total revenue (teb) (2)

      1,819

      1,776

      1,600

      7,447

      6,516

      Provision for credit losses on impaired loans

      37

      33

      203

      133

      367

      Provision (recovery of provision) for credit losses on performing loans

      (39)

      23

      8

      68

      2

      Total provision (recovery of provision) for credit losses (PCL)

      (2)

      56

      211

      201

      369

      Non-interest expense

      1,122

      1,139

      1,087

      4,616

      4,278

      Income before income taxes

      699

      581

      302

      2,630

      1,869

      Provision for income taxes (teb) (2)

      178

      143

      51

      653

      377

      Reported net income

      521

      438

      251

      1,977

      1,492

      Dividends on preferred shares and distributions on other equity instruments

      10

      11

      10

      41

      37

      Net income available to common shareholders

      511

      427

      241

      1,936

      1,455

      Acquisition and integration costs (3)

      –

      –

      2

      –

      15

      Amortization of acquisition-related intangible assets (4)

      11

      4

      17

      22

      31

      Adjusted net income

      532

      442

      270

      1,999

      1,538

      Adjusted net income available to common shareholders

      522

      431

      260

      1,958

      1,501

      Adjusted non-interest expense

      1,107

      1,134

      1,061

      4,586

      4,216

      Key Performance Metrics






      Global Markets revenue

      1,035

      1,053

      938

      4,599

      3,898

      Investment and Corporate Banking revenue

      784

      723

      662

      2,848

      2,618

      Return on equity (%) (5) (6)

      14.4

      12.5

      7.3

      14.0

      11.0

      Adjusted return on equity (%) (5) (6)

      14.7

      12.6

      7.8

      14.2

      11.4

      Operating leverage (teb) (%)

      10.5

      (2.1)

      (6.4)

      6.4

      1.9

      Adjusted operating leverage (teb) (%)

      9.4

      (2.2)

      (4.3)

      5.5

      2.6

      Efficiency ratio (teb) (%)

      61.7

      64.1

      67.9

      62.0

      65.7

      Adjusted efficiency ratio (teb) (%)

      60.9

      63.8

      66.3

      61.6

      64.7

      PCL on impaired loans-to-average net loans and acceptances (%) (6)

      0.18

      0.16

      0.99

      0.16

      0.44

      Average assets

      548,583

      514,826

      505,558

      551,491

      468,963

      Average gross loans and acceptances

      85,586

      82,668

      82,397

      84,273

      83,024

      U.S. Business Select Financial Data (US$ in millions)






      Total revenue (teb)

      635

      641

      567

      2,654

      2,286

      Non-interest expense

      417

      422

      394

      1,662

      1,599

      Reported net income

      168

      151

      43

      678

      350

      Adjusted non-interest expense

      414

      419

      391

      1,651

      1,580

      Adjusted net income

      170

      153

      45

      686

      364

      Average assets

      187,111

      181,423

      179,813

      192,595

      157,876

      Average gross loans and acceptances

      33,067

      32,582

      31,713

      32,088

      31,795

      (1)

      Adjusted results and ratios are on a non-GAAP basis and are discussed in the Non-GAAP and Other Financial Measures section.

      (2)

      Net interest income, total revenue and the provision for income taxes are presented on a taxable equivalent basis (teb) and are reflected in the ratios. Teb amounts of $2 million in Q4-2025, Q3-2025 and Q4-2024; and $6 million for YTD-2025 and $22 million for YTD-2024 are offset in Corporate Services. Beginning January 1, 2024, we treated certain Canadian dividends as non-deductible for tax purposes, due to legislation that was enacted in the third quarter of fiscal 2024. As a result, we no longer report this revenue on a taxable equivalent basis.

      (3)

      Clearpool and Radicle pre-tax acquisition and integration costs, recorded in non-interest expense.

      (4)

      Amortization of acquisition-related intangible assets and any impairments, recorded in non‑interest expense. Q4-2025 and Q4-2024 included an impairment related to Radicle of $10 million and $18 million, respectively.

      (5)

      Return on equity is based on allocated capital. Effective fiscal 2025, the capital allocation rate increased to 12.0% of risk-weighted assets, compared with 11.5% in fiscal 2024. For further information, refer to the Non-GAAP and Other Financial Measures section.

      (6)

      Return on equity and PCL ratios are presented on an annualized basis.

      Q4 2025 vs. Q4 2024

      Capital Markets reported net income was $521 million, an increase of $270 million or 108% from the prior year.

      Total revenue was $1,819 million, an increase of $219 million or 14% from the prior year. Global Markets revenue increased $97 million or 10%, primarily due to higher equities trading revenue and higher debt and equity issuances, partially offset by lower interest rate trading revenue. Investment and Corporate Banking revenue increased $122 million or 18%, primarily due to higher Canadian underwriting and advisory fee revenue and lower markdowns on fair value loans.

      Total recovery of the provision for credit losses was $2 million, compared with a $211 million provision in the prior year. The provision for credit losses on impaired loans was $37 million, a decrease of $166 million from the prior year. There was a $39 million recovery on performing loans in the current quarter, compared with a $8 million provision in the prior year.

      Non-interest expense was $1,122 million, an increase of $35 million or 3% from the prior year, primarily driven by higher performance-based compensation.

      Average gross loans and acceptances of $85.6 billion increased $3.2 billion or 4% from the prior year.

      Q4 2025 vs. Q3 2025

      Reported net income increased $83 million or 19% from the prior quarter.

      Total revenue increased $43 million or 2% from the prior quarter. Global Markets revenue decreased $18 million or 2%, primarily due to lower interest rate and commodities trading revenue, partially offset by higher equities trading revenue. Investment and Corporate Banking revenue increased $61 million or 8%, primarily due to higher underwriting revenue and higher gains on investments.

      Total recovery of the provision for credit losses was $2 million, compared with a $56 million provision in the prior quarter. The provision for credit losses on impaired loans was $37 million, an increase of $4 million from the prior quarter. There was a $39 million recovery on performing loans in the current quarter, compared with a $23 million provision in the prior quarter.

      Non-interest expense decreased $17 million or 1% from the prior quarter, driven by lower employee-related expenses, including the impact of timing on performance-based compensation, partially offset by higher operating costs.

      Average gross loans and acceptances increased $2.9 billion or 4% from the prior quarter.

      Corporate Services (1)

      TABLE 12






      (Canadian $ in millions, except as noted)

      Q4-2025

      Q3-2025

      Q4-2024

      Fiscal 2025

      Fiscal 2024

      Net interest income before segment teb offset

      (46)

      (160)

      362

      (660)

      (532)

      Segment teb offset

      (10)

      (10)

      (11)

      (39)

      (58)

      Net interest income (teb)

      (56)

      (170)

      351

      (699)

      (590)

      Non-interest revenue

      159

      111

      118

      479

      20

      Total revenue (teb)

      103

      (59)

      469

      (220)

      (570)

      Provision for credit losses on impaired loans

      3

      9

      13

      44

      73

      Provision (recovery of provision) for credit losses on performing loans

      (18)

      (7)

      (11)

      (45)

      (34)

      Total provision (recovery of provision) for credit losses

      (15)

      2

      2

      (1)

      39

      Non-interest expense

      366

      118

      (502)

      816

      350

      Income (loss) before income taxes

      (248)

      (179)

      969

      (1,035)

      (959)

      Provision for (recovery of) income taxes (teb)

      (80)

      (59)

      248

      (297)

      (260)

      Reported net income (loss)

      (168)

      (120)

      721

      (738)

      (699)

      Dividends on preferred shares and distributions on other equity instruments

      125

      27

      115

      282

      244

      Net income (loss) attributable to non-controlling interest in subsidiaries

      –

      1

      2

      2

      7

      Net income (loss) available to common shareholders

      (293)

      (148)

      604

      (1,022)

      (950)

      Acquisition and integration costs (2)

      2

      1

      13

      9

      97

      Impact of divestitures

      102

      –

      –

      102

      –

      Legal provision/reversal (including related interest expense and legal fees)

      –

      –

      (870)

      –

      (834)

      Impact of loan portfolio sale

      –

      –

      –

      –

      136

      FDIC special assessment

      (9)

      (4)

      (11)

      (14)

      357

      Impact of alignment of accounting policies

      –

      –

      –

      70

      –

      Adjusted net loss

      (73)

      (123)

      (147)

      (571)

      (943)

      Adjusted net loss available to common shareholders

      (198)

      (151)

      (264)

      (855)

      (1,194)

      Adjusted total revenue (teb) (3)

      103

      (59)

      (120)

      (220)

      (953)

      Adjusted non-interest expense

      274

      122

      89

      626

      333

      U.S. Business Select Financial Data (US$ in millions)






      Total revenue

      –

      (12)

      460

      (15)

      401

      Total provision for (recovery of) credit losses

      (3)

      (1)

      (2)

      (2)

      3

      Non-interest expense

      174

      60

      (436)

      348

      47

      Provision for (recovery of) income taxes (teb)

      (37)

      (23)

      221

      (107)

      74

      Reported net income (loss)

      (134)

      (48)

      677

      (254)

      277

      Adjusted total revenue

      –

      (12)

      24

      (15)

      118

      Adjusted non-interest expense

      108

      62

      –

      246

      36

      Adjusted net income (loss)

      (66)

      (50)

      35

      (160)

      96

      (1)

      Adjusted results are on a non-GAAP basis and are discussed in the Non-GAAP and Other Financial Measures section.

      (2)

      Acquisition and integration costs/reversal related to the acquisition of Bank of the West, recorded in non-interest expense.

      (3)

      Segment taxable equivalent basis (teb) offset amounts recorded in net interest income, total revenue and provision for (recovery of) income taxes: $10 million in both Q4-2025 and Q3-2025 and $11 million in Q4-2024; and $39 million for YTD-2025 and $58 million for YTD-2024.

      Q4 2025 vs. Q4 2024

      Corporate Services reported net loss was $168 million, compared with reported net income of $721 million in the prior year, with the change reflecting a reversal of legal provision in the prior year and a write-down of goodwill related to the announced sale of branches in certain U.S. markets. 

      Adjusted net loss was $73 million, compared with adjusted net loss of $147 million in the prior year, with the change driven by higher treasury-related revenue, partially offset by higher expenses.

      Q4 2025 vs. Q3 2025

      Reported net loss was $168 million, compared with reported net loss of $120 million in the prior quarter, and adjusted net loss was $73 million, compared with adjusted net loss of $123 million in the prior quarter.

      The increase in reported net loss included the write-down of goodwill noted above. The lower adjusted net loss reflected higher treasury-related revenue, partially offset by higher expenses.

      Consolidated Statement of Income

      (Unaudited) (Canadian $ in millions, except as noted)

      For the three months ended

      For the twelve months ended


      October 31,

      July 31,

      October 31,

      October 31,

      October 31,


      2025

      2025

      2024

      2025

      2024

      Interest, Dividend and Fee Income






      Loans

      $          9,531

      $           9,594

      $         10,223

      $        38,747

      $         40,069

      Securities

      3,835

      3,929

      3,966

      15,862

      15,038

      Securities borrowed or purchased under resale agreements

      1,519

      1,540

      1,775

      6,072

      6,843

      Deposits with banks

      633

      679

      900

      2,856

      4,035


      15,518

      15,742

      16,864

      63,537

      65,985

      Interest Expense






      Deposits

      6,855

      7,008

      8,768

      29,255

      34,580

      Securities sold but not yet purchased and securities lent or sold under repurchase agreements

      2,274

      2,227

      2,344

      9,064

      8,907

      Subordinated debt

      112

      118

      118

      456

      456

      Other liabilities

      781

      893

      196

      3,275

      2,574


      10,022

      10,246

      11,426

      42,050

      46,517

      Net Interest Income

      5,496

      5,496

      5,438

      21,487

      19,468

      Non-Interest Revenue






      Securities commissions and fees

      320

      286

      288

      1,169

      1,106

      Deposit and payment service charges

      446

      447

      420

      1,791

      1,626

      Trading revenues

      557

      406

      696

      2,584

      2,377

      Lending fees

      329

      327

      338

      1,342

      1,464

      Card fees

      204

      207

      201

      831

      847

      Investment management and custodial fees

      620

      589

      544

      2,339

      2,056

      Mutual fund revenues

      403

      376

      347

      1,495

      1,324

      Underwriting and advisory fees

      455

      453

      352

      1,703

      1,399

      Securities gains, other than trading

      114

      49

      57

      287

      200

      Foreign exchange gains, other than trading

      68

      65

      67

      271

      263

      Insurance service results

      118

      89

      42

      421

      340

      Insurance investment results

      39

      29

      72

      124

      105

      Share of profit in associates and joint ventures

      83

      45

      50

      175

      207

      Other revenues

      89

      124

      45

      255

      13


      3,845

      3,492

      3,519

      14,787

      13,327

      Total Revenue

      9,341

      8,988

      8,957

      36,274

      32,795

      Provision for Credit Losses

      755

      797

      1,523

      3,617

      3,761

      Non-Interest Expense






      Employee compensation

      2,978

      2,955

      2,694

      12,018

      10,872

      Premises and equipment

      1,215

      1,081

      1,062

      4,468

      4,117

      Amortization of intangible assets

      290

      278

      280

      1,152

      1,112

      Advertising and business development

      224

      198

      227

      806

      837

      Communications

      79

      82

      89

      342

      388

      Professional fees

      219

      172

      177

      678

      583

      Association, clearing and annual regulator fees

      70

      71

      103

      302

      321

      Other

      481

      268

      (205)

      1,341

      1,269


      5,556

      5,105

      4,427

      21,107

      19,499

      Income Before Provision for Income Taxes

      3,030

      3,086

      3,007

      11,550

      9,535

      Provision for income taxes

      735

      756

      703

      2,825

      2,208

      Net Income

      $          2,295

      $           2,330

      $           2,304

      $          8,725

      $           7,327

      Attributable to:






      Bank shareholders

      $          2,288

      $           2,327

      $           2,301

      $          8,709

      $           7,318

      Non-controlling interest in subsidiaries

      7

      3

      3

      16

      9

      Net Income

      $          2,295

      $           2,330

      $           2,304

      $          8,725

      $           7,327

      Earnings Per Common Share (Canadian $)






      Basic

      $            2.98

      $             3.14

      $             2.95

      $          11.46

      $             9.52

      Diluted

      2.97

      3.14

      2.94

      11.44

      9.51

      Dividends per common share

      1.63

      1.63

      1.55

      6.44

      6.12

      Consolidated Statement of Comprehensive Income

      (Unaudited) (Canadian $ in millions)

      For the three months ended

      For the twelve months ended


      October 31,

      July 31,

      October 31,

      October 31,

      October 31,


      2025

      2025

      2024

      2025

      2024

      Net Income

      $          2,295

      $           2,330

      $           2,304

      $          8,725

      $           7,327

      Other Comprehensive Income (Loss), net of taxes






      Items that will subsequently be reclassified to net income






      Net change in unrealized gains (losses) on fair value through OCI debt securities






      Unrealized gains (losses) on fair value through OCI debt securities arising during the period (1)

      147

      178

      (150)

      308

      217

      Reclassification to earnings of (gains) during the period (2)

      (33)

      (11)

      (19)

      (65)

      (83)


      114

      167

      (169)

      243

      134

      Net change in unrealized gains (losses) on derivatives designated as cash flow hedges






      Gains (losses) on derivatives designated as cash flow hedges arising during the period (3)

      853

      (1,051)

      212

      995

      2,512

      Reclassification to earnings of losses on derivatives designated as cash flow hedges






      during the period (4)

      254

      272

      314

      1,051

      1,417


      1,107

      (779)

      526

      2,046

      3,929

      Net gains on translation of net foreign operations






      Unrealized gains on translation of net foreign operations

      784

      282

      531

      473

      287

      Unrealized (losses) on hedges of net foreign operations (5)

      (208)

      (74)

      (120)

      (76)

      (100)


      576

      208

      411

      397

      187

      Items that will not be subsequently reclassified to net income






      Net unrealized gains (losses) on fair value through OCI equity securities arising during the period (6)

      –

      –

      –

      (11)

      9

      Net gains (losses) on remeasurement of pension and other employee future benefit plans (7)

      88

      55

      (123)

      137

      (69)

      Net gains (losses) on remeasurement of own credit risk on financial liabilities






      designated at fair value (8)

      10

      (313)

      43

      (245)

      (633)


      98

      (258)

      (80)

      (119)

      (693)

      Total Other Comprehensive Income (Loss), net of taxes

      1,895

      (662)

      688

      2,567

      3,557

      Total Comprehensive Income

      $          4,190

      $           1,668

      $           2,992

      $        11,292

      $         10,884

      Attributable to:






      Bank shareholders

      $          4,183

      $           1,665

      $           2,989

      $        11,276

      $         10,875

      Non-controlling interest in subsidiaries

      7

      3

      3

      16

      9

      Total Comprehensive Income

      $          4,190

      $           1,668

      $           2,992

      $        11,292

      $         10,884

      (1)

      Net of income tax (provision) recovery of $(52) million, $(66) million, $55 million for the three months ended and $(113) million and $(79) million for the twelve months ended, respectively.

      (2)

      Net of income tax provision of $12 million, $3 million, $7 million for the three months ended and $23 million and $31 million for the twelve months ended, respectively.

      (3)

      Net of income tax (provision) recovery of $(324) million, $409 million, $(82) million for the three months ended and $(365) million and $(966) million for the twelve months ended, respectively.

      (4)

      Net of income tax (recovery) of $(96) million, $(102) million, $(118) million for the three months ended and $(397) million and $(536) million for the twelve months ended, respectively.

      (5)

      Net of income tax recovery of $80 million, $28 million, $47 million for the three months ended and $29 million and $38 million for the twelve months ended, respectively.

      (6)

      Net of income tax (provision) recovery of $nil million, $nil million, $1 million for the three months ended and $4 million and $(3) million for the twelve months ended, respectively.

      (7)

      Net of income tax (provision) recovery of $(34) million, $(22) million, $21 million for the three months ended and $(53) million and $(1) million for the twelve months ended, respectively.

      (8)

      Net of income tax (provision) recovery of $(4) million, $118 million, $(16) million for the three months ended and $92 million and $242 million for the twelve months ended, respectively.

      Consolidated Balance Sheet

      (Unaudited) (Canadian $ in millions)

      As at


      October 31,

      October 31,


      2025

      2024

      Assets



      Cash and Cash Equivalents

      $       67,484

      $         65,098

      Interest Bearing Deposits with Banks

      2,838

      3,640

      Securities



      Trading

      192,303

      168,926

      Fair value through profit or loss

      21,354

      19,064

      Fair value through other comprehensive income

      113,209

      93,702

      Debt securities at amortized cost

      96,610

      115,188


      423,476

      396,880

      Securities Borrowed or Purchased Under Resale Agreements

      129,421

      110,907

      Loans



      Residential mortgages

      196,033

      191,080

      Consumer instalment and other personal

      92,741

      92,687

      Credit cards

      12,649

      13,612

      Business and government

      380,788

      384,993


      682,211

      682,372

      Allowance for credit losses

      (5,050)

      (4,356)


      677,161

      678,016

      Other Assets



      Derivative instruments

      57,151

      47,253

      Customers' liability under acceptances

      711

      359

      Premises and equipment

      6,252

      6,249

      Goodwill

      16,797

      16,774

      Intangible assets

      4,758

      4,925

      Current tax assets

      1,970

      2,219

      Deferred tax assets

      2,732

      3,024

      Receivable from brokers, dealers and clients

      43,167

      31,916

      Other

      42,884

      42,387


      176,422

      155,106

      Total Assets

      $  1,476,802

      $   1,409,647

      Liabilities and Equity



      Deposits

      $     976,202

      $      982,440

      Other Liabilities



      Derivative instruments

      58,729

      58,303

      Acceptances

      711

      359

      Securities sold but not yet purchased

      54,876

      35,030

      Securities lent or sold under repurchase agreements

      134,967

      110,791

      Securitization and structured entities' liabilities

      51,562

      40,164

      Insurance-related liabilities

      20,436

      18,770

      Payable to brokers, dealers and clients

      45,170

      34,407

      Other

      37,549

      36,720


      404,000

      334,544

      Subordinated Debt

      8,500

      8,377

      Total Liabilities

      1,388,702

      1,325,361

      Equity



      Preferred shares and other equity instruments

      8,956

      8,087

      Common shares

      23,359

      23,921

      Contributed surplus

      373

      354

      Retained earnings

      47,377

      46,469

      Accumulated other comprehensive income

      7,986

      5,419

      Total shareholders' equity

      88,051

      84,250

      Non-controlling interest in subsidiaries

      49

      36

      Total Equity

      88,100

      84,286

      Total Liabilities and Equity

      $  1,476,802

      $   1,409,647

      Consolidated Statement of Changes in Equity

      (Unaudited) (Canadian $ in millions)

      For the three months ended

      For the twelve months ended


      October 31,

      October 31,

      October 31,

      October 31,


      2025

      2024

      2025

      2024

      Preferred Shares and Other Equity Instruments





      Balance at beginning of period

      $          9,156

      $           8,487

      $          8,087

      $           6,958

      Issued during the period

      –

      –

      1,369

      2,379

      Redeemed during the period

      (200)

      (400)

      (500)

      (1,250)

      Balance at end of period

      8,956

      8,087

      8,956

      8,087

      Common Shares





      Balance at beginning of period

      23,554

      23,911

      23,921

      22,941

      Issued under the Shareholder Dividend Reinvestment and Share Purchase Plan

      –

      –

      –

      905

      Issued under the Stock Option Plan

      60

      17

      161

      74

      Treasury shares sold (purchased)

      8

      (7)

      7

      1

      Purchased for cancellation

      (263)

      –

      (730)

      –

      Balance at end of period

      23,359

      23,921

      23,359

      23,921

      Contributed Surplus





      Balance at beginning of period

      368

      346

      354

      328

      Stock option expense, net of options exercised

      4

      6

      14

      15

      Net premium on sale of treasury shares

      1

      2

      5

      11

      Balance at end of period

      373

      354

      373

      354

      Retained Earnings





      Balance at beginning of period

      47,554

      45,451

      46,469

      44,006

      Net income attributable to bank shareholders

      2,288

      2,301

      8,709

      7,318

      Dividends on preferred shares and distributions payable on other equity instruments

      (163)

      (152)

      (436)

      (386)

      Dividends on common shares

      (1,155)

      (1,131)

      (4,630)

      (4,458)

      Equity issue expense

      –

      –

      (4)

      (11)

      Common shares purchased for cancellation

      (1,147)

      –

      (2,731)

      –

      Balance at end of period

      47,377

      46,469

      47,377

      46,469

      Accumulated Other Comprehensive (Loss) on Fair Value through OCI Securities, net of taxes





      Balance at beginning of period

      (203)

      (152)

      (321)

      (464)

      Unrealized gains (losses) on fair value through OCI debt securities arising during the period

      147

      (150)

      308

      217

      Unrealized gains (losses) on fair value through OCI equity securities arising during the period

      –

      –

      (11)

      9

      Reclassification to earnings of (gains) during the period

      (33)

      (19)

      (65)

      (83)

      Balance at end of period

      (89)

      (321)

      (89)

      (321)

      Accumulated Other Comprehensive Income (Loss) on Cash Flow Hedges, net of taxes





      Balance at beginning of period

      (580)

      (2,045)

      (1,519)

      (5,448)

      Gains on derivatives designated as cash flow hedges arising during the period

      853

      212

      995

      2,512

      Reclassification to earnings of losses on derivatives designated as cash flow hedges during the period

      254

      314

      1,051

      1,417

      Balance at end of period

      527

      (1,519)

      527

      (1,519)

      Accumulated Other Comprehensive Income on Translation of Net Foreign Operations, net of taxes





      Balance at beginning of period

      6,202

      5,970

      6,381

      6,194

      Unrealized gains on translation of net foreign operations

      784

      531

      473

      287

      Unrealized (losses) on hedges of net foreign operations

      (208)

      (120)

      (76)

      (100)

      Balance at end of period

      6,778

      6,381

      6,778

      6,381

      Accumulated Other Comprehensive Income on Pension and Other Employee





      Future Benefit Plans, net of taxes





      Balance at beginning of period

      923

      997

      874

      943

      Gains (losses) on remeasurement of pension and other employee future benefit plans

      88

      (123)

      137

      (69)

      Balance at end of period

      1,011

      874

      1,011

      874

      Accumulated Other Comprehensive Income (Loss) on Own Credit Risk on Financial Liabilities





      Designated at Fair Value, net of taxes





      Balance at beginning of period

      (251)

      (39)

      4

      637

      Gains (losses) on remeasurement of own credit risk on financial liabilities designated at fair value

      10

      43

      (245)

      (633)

      Balance at end of period

      (241)

      4

      (241)

      4

      Total Accumulated Other Comprehensive Income

      7,986

      5,419

      7,986

      5,419

      Total Shareholders' Equity

      88,051

      84,250

      88,051

      84,250

      Non-Controlling Interest in Subsidiaries





      Balance at beginning of period

      42

      31

      36

      28

      Net income attributable to non-controlling interest in subsidiaries

      7

      3

      16

      9

      Dividends to non-controlling interest in subsidiaries

      –

      –

      (3)

      (3)

      Other

      –

      2

      –

      2

      Balance at end of period

      49

      36

      49

      36

      Total Equity

      $        88,100

      $         84,286

      $        88,100

      $         84,286

      Investor and Media Information

      Investor Presentation Materials

      Interested parties are invited to visit BMO's website at www.bmo.com/investorrelations to review the 2025 Annual MD&A and audited annual consolidated financial statements, quarterly presentation materials and supplementary financial and regulatory information package.

      Quarterly Conference Call and Webcast Presentations

      Interested parties are also invited to listen to our quarterly conference call on Thursday, December 4, 2025, at 8:30 a.m. (ET). The call may be accessed by telephone at 647-495-7514 (from within Toronto) or 1-888-596-4144 (toll-free outside Toronto), entering Passcode: 89709#. A replay of the conference call can be accessed until January 4, 2026, by calling 647-362-9199 (from within Toronto) or 1-800-770-2030 (toll-free outside Toronto) and entering Passcode: 89709#.

      A live webcast of the call can be accessed on our website at www.bmo.com/investorrelations. A replay can also be accessed on the website.

       

      Shareholder Dividend Reinvestment and Share Purchase

      Plan (DRIP)

      Common shareholders may elect to have their cash dividends reinvested in
      common shares of the bank, in accordance with the bank's DRIP. More
      information about the Plan and how to enrol can be found at
      www.bmo.com/investorrelations.

       

      For dividend information, change in shareholder address

      or to advise of duplicate mailings, please contact

      Computershare Trust Company of Canada

      320 Bay Street, 14th Floor

      Toronto, Ontario M5H 4A6

      Telephone: 416-263-9200

      Fax: 1-888-453-0330

      E-mail: service@computershare.com 


       

      For other shareholder information, please contact

      Bank of Montreal

      Shareholder Services

      Corporate Secretary's Department

      1 First Canadian Place, 9th Floor

      Toronto, Ontario M5X 1A1

      Telephone: 416-867-6785

      E-mail: corp.secretary@bmo.com 

       

      For further information on this document, please contact

      Bank of Montreal

      Investor Relations Department

      P.O. Box 1, 1 First Canadian Place, 37th Floor

      Toronto, Ontario M5X 1A1

       

      To review financial results and regulatory filings and
      disclosures online, please visit BMO's website 
      at www.bmo.com/investorrelations.


      BMO's 2025 Annual MD&A, audited consolidated financial statements, annual information form and annual report on Form 40-F (filed with the
      U.S. Securities and Exchange Commission) are available online at www.bmo.com/investorrelations and at www.sedarplus.ca. Printed copies of the bank's
      complete 2025 audited consolidated financial statements are available free of charge upon request at 416-867-6785 or corp.secretary@bmo.com .



      Annual Meeting 2026

      The next Annual Meeting of Shareholders will be held on Wednesday, April 15, 2026.


      ® Registered trademark of Bank of Montreal

      SOURCE BMO Financial Group

      For further information: Media Relations Contact: John Fenton, Head, Public Relations, john.fenton@bmo.com, 416-867-3996; Investor Relations Contacts: Christine Viau, Head, Investor Relations, christine.viau@bmo.com, 416-867-6956; Bill Anderson, Managing Director, Investor Relations, bill2.anderson@bmo.com, 416-867-7834
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