* Q3 EPS C$1.08 vs C$1.17 yr-earlier, beats estimates
* Return on equity 11.6 pct, down from 13.4 pct
* Shares rise 2.2 percent
TORONTO, Sept 3 (Reuters) - Laurentian Bank of Canada (LB.TO) said on Thursday profit fell in its third quarter but revenue rose 3 percent and the earnings exceeded market expectations, sending shares higher.
The Montreal-based regional bank reported net income of C$28.7 million ($26.1 million), or C$1.08 a share, for the quarter, ended July 31. That’s down from C$30.9 million, or C$1.17 Canadian cents a share, a year earlier.
Analysts were expecting earnings of 88 Canadian cents a share, according to Reuters Estimates.
Shares of Laurentian Bank rose 2.2 percent to C$37.02 shortly after opening on the Toronto Stock Exchange.
Results for the third quarter of 2008 included certain items — including a gain on sale of Montreal Exchange shares that was partly offset by an increase in the general allowance for loan losses — that distort the comparison with this year’s quarter.
Excluding special items, net income improved by C$3.4 million, or 14 Canadian cents a share, compared with the third quarter of 2008, Laurentian said.
Total revenue rose 3 percent to C$176.7 million from a year earlier, mainly as a result of a C$9.4 million increase in net interest income to C$112.8 million as loan and deposit volumes climbed.
$1=$1.10 Canadian Reporting by Andrea Hopkins; editing by Peter Galloway