December 4, 2014 / 12:07 PM / 3 years ago

UPDATE 1-Canadian lender CIBC's profit lower, hurt by capital markets

2 Min Read

(Adds further detail on division results)

TORONTO, Dec 4 (Reuters) - Canadian Imperial Bank of Commerce reported a weaker fourth-quarter profit on Thursday, hurt by the loss of some credit card revenue and softer results at its wholesale banking division.

Canada's fifth-largest lender said its net income fell to C$811 million ($714 million), or C$1.98 per share, in the quarter ended Oct. 31, from C$825 million, or C$2.02, a year earlier.

Excluding items, the bank earned C$2.24 per share, falling short of the average analyst estimate of C$2.25, according to Thomson Reuters I/B/E/S.

CIBC raised its quarterly dividend by 3 Canadian cents to C$1.03 per share.

CIBC said net income at its retail and business banking arm fell to C$602 million from C$613 million a year earlier, hurt by a loss of credit card revenue after it agreed to sell about half of its Aeroplan Visa credit card portfolio.

Profit at its wealth management arm rose C$16 million to C$119 million, as revenue climbed on the acquisition of Atlantic Trust and rising assets under management.

But net income at its wholesale banking unit fell to C$136 million from C$209 million as revenue declined. The bank said the unit was hurt by lower capital markets and corporate and investment banking revenue.

$1 = 1.1364 Canadian dollars Reporting by Ashutosh Pandey in Bangalore and Jeffrey Hodgson in Toronto; Editing by Don Sebastian and W Simon

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