Royal Bank of Canada Reports Fourth Quarter and Record 2012 Results

Royal Bank of Canada Reports Fourth Quarter and Record 2012 Results 
All amounts are in Canadian dollars and are based on our audited Annual and 
unaudited Interim Consolidated Financial Statements for the year ended October 
31, 2012 and related notes prepared in accordance with International Financial 
Reporting Standards (IFRS). Our 2012 Annual Report (which includes our audited 
annual Consolidated Financial Statements and accompanying Management's 
Discussion & Analysis), our 2012 Annual Information Form and our Supplementary 
Financial Information are available on our website at 
rbc.com/investorrelations. 
TORONTO, Nov. 29, 2012 /CNW/ - Royal Bank of Canada (RY on TSX and NYSE) today 
reported record net income of $7.5 billion for the year ended October 31, 
2012, up $1.1 billion or 17% from the prior year. Earnings from continuing 
operations of $7.6 billion were up $620 million or 9% from the prior year. Our 
results reflected record earnings in Personal & Commercial Banking, Capital 
Markets and Insurance. 
"Our record earnings from continuing operations of $7.6 billion this year were 
driven by exceptional growth in Canadian Banking, Capital Markets and 
Insurance, demonstrating the earnings power of our diversified business 
model," said Gord Nixon, RBC President and CEO. "This year, we extended our 
leadership position and executed our long-term growth strategy while 
maintaining our prudent risk and disciplined cost management." 
Strong volume growth across all of our Canadian banking businesses, higher 
fixed income trading and corporate and investment banking results, and 
improved claims experience in Insurance drove our strong earnings this year. 
These results were partially offset by higher costs in support of business 
growth, moderated by our cost management initiatives, and increased provision 
for credit losses (PCL) in our wholesale and Caribbean portfolios. 


                                     

2012 compared to 2011               Continuing operations: 2012
                                    compared to 2011
    --  Net income $7,539 million
        (up 17% from $6,444             --  Net income $7,590 million
        million)                            (up 9% from $6,970 million)
    --  Diluted earnings per share      --  Diluted EPS of $4.96 (up
        (EPS) of $4.93 (up $.74             $.41 from $4.55)
        from $4.19)                     --  ROE of 19.5% (down from
    --  Return on common equity             20.3%)
        (ROE) of 19.3% (up from
        18.7%)
    --  Tier 1 capital ratio was
        13.1%
                                     

Q4 2012 Performance

"We ended the year strongly with results of over $1.9 billion in the fourth 
quarter driven by solid earnings from most of our businesses including another 
quarter of over $1 billion in earnings from Canadian Banking," Nixon said. 
"While the financial industry is expected to face headwinds in 2013, we are 
confident in our ability to weather these challenges given our strong 
financial and competitive position."
                                    

Q4 2012 compared to Q4 2011        Continuing operations: Q4 2012
                                   compared to Q4 2011
    --  Net income $1,911 million
        (up 22% from $1,571            --  Net income $1,911 million
        million)                           (up 19% from $1,609 million)
    --  Diluted EPS of $1.25 (up       --  Diluted EPS of $1.25 (up
        $.23 from $1.02)                   $.20 from $1.05)
    --  ROE of 18.7% (up from          --  ROE of 18.7% (up from 17.5%)
        17.1%)
                                    

Earnings of $1,911 million were up $340 million or 22% from last year. 
Earnings from continuing operations were up $302 million or 19%, driven by 
stronger fixed income trading results reflecting improved market conditions as 
compared to challenging markets in the prior year. Solid volume growth across 
all our Canadian banking businesses, along with stable margins and positive 
operating leverage, and lower claims costs in Insurance also contributed to 
the increase. We had higher provisions this quarter, reflecting a single 
account in our wholesale portfolio and increased provisions in our Canadian 
personal and business lending portfolios.
                                    

Q4 2012 compared to Q3 2012        Q4 2012 compared to Q3 2012,
                                   excluding noted items((1))
    --  Net income $1,911 million
        (down 15% from $2,240          --  Net income $1,911 million
        million)                           (down 3% from $1,978
    --  Diluted EPS of $1.25 (down         million)
        $.22 from $1.47)               --  Diluted EPS of $1.25 (down
    --  ROE of 18.7% (down from            $.04 from $1.29)
        22.7%)                         --  ROE of 18.7% (down from
                                           19.9%)
                                    

Earnings were down $329 million or 15% from the prior record quarter. 
Excluding certain items which had a favourable net impact of $262 million last 
quarter, net income was down $67 million or 3%((1)). We had higher earnings in 
all of our retail segments, including lower claims costs in Insurance, higher 
average fee-based client assets and transaction volumes in Wealth Management, 
and volume growth in Canadian Banking. These results were more than offset by 
other net favourable tax adjustments in Corporate Support in the prior quarter.

(1)   Q3/12 results included a favourable adjustment of $125 million
      ($92 million after-tax) related to a change in estimate of
      mortgage prepayment interest, a release of $128 million of tax
      uncertainty provisions and interest income of $72 million ($53
      million after-tax) related to a refund of taxes paid due to the
      settlement of several tax matters with the Canada Revenue Agency
      (CRA) and a loss of $12 million ($11 million after-tax) related
      to our acquisition of the remaining 50% interest in RBC Dexia
      (RBC Investor Services). These measures are non-GAAP. See Key
      Performance and Non-GAAP Measures section of this Earnings
      Release for additional information.
       

Q4 2012 Business Segment Performance

Reflects the strategic realignment of certain business segments, announced on 
September 11, 2012 and effective October 31, 2012((1)).

Personal & Commercial Banking net income was $1,034 million, up $87 million or 
9% from last year driven by solid volume growth and a lower effective tax rate 
in Canada, partially offset by increased costs in support of business growth 
and higher PCL largely in our Canadian business lending portfolio. We also 
achieved positive operating leverage of 1.8% in Canadian Banking. Compared to 
last quarter, net income was down $68 million or 6%. Excluding the prior 
quarter mortgage prepayment interest adjustment, net income was up $24 million 
or 2%((2)), driven by volume growth in Canadian Banking.

Wealth Management net income was $207 million, up $28 million or 16% from last 
year and up $51 million or 33% from the prior quarter. Our results were driven 
by higher average fee-based client assets, higher transaction volumes and the 
increase in the fair value of our U.S. share-based compensation plan. The 
prior year included a favourable accounting adjustment related to a deferred 
compensation plan of $27 million ($16 million after-tax). The prior quarter 
included an unfavourable impact of $29 million ($21 million after-tax) related 
to certain regulatory and legal matters.

Insurance net income was $194 million, down $6 million or 3% from last year, 
as lower claims costs in Canadian insurance products and reinsurance products 
were offset by lower net investment gains and no new U.K. annuity reinsurance 
contracts in the current quarter. Compared to the prior quarter, net income 
was up $15 million or 8%, driven by lower claims costs in our reinsurance 
products and Canadian insurance products. The prior quarter included a 
favourable impact from the reduction of policy acquisition cost-related 
liabilities of $33 million ($24 million after-tax).

Investor & Treasury Services net income was $72 million, up $32 million from 
last year, largely due to higher funding and liquidity trading results 
reflecting improved market conditions as compared to the challenging market 
conditions in the prior year. A full quarter of earnings reflecting our 100% 
ownership of RBC Investor Services also contributed to the increase although 
lower spreads and decreased transaction volumes continued to impact our 
results. Compared to the prior quarter, net income was up $21 million due to 
higher funding and liquidity trading results and a full quarter of earnings 
related to RBC Investor Services, partially offset by lower custodial and 
securities lending fees.

Capital Markets net income was $410 million, up $285 million from the prior 
year, primarily reflecting higher fixed income trading results. Higher 
origination reflecting solid issuance activity and strong client growth in 
lending and increased loan syndication activity largely in the U.S. also 
contributed to the increase. These results were partially offset by higher PCL 
related to a single account and a higher effective tax rate reflecting 
increased earnings in the U.S. Compared to the prior quarter, net income was 
down $19 million or 4%, largely due to lower trading results particularly at 
the end of the quarter, lower loan syndication activity in the U.S. following 
a very strong third quarter and higher PCL as noted above. These factors were 
partially offset by higher equity origination volumes primarily in the U.S. 
and Canada.

Corporate Support net loss was $6 million, mainly due to net unfavourable tax 
adjustments. Net income in the prior year was $118 million, reflecting net 
favourable tax adjustments. In the prior quarter, net income was $323 million, 
largely due to the settlement of several tax matters with the CRA which 
resulted in the release of $128 million of tax uncertainty provisions and 
interest income of $72 million ($53 million after-tax) related to a refund of 
taxes paid. The prior quarter also included other net favourable tax 
adjustments.

Capital - As at October 31, 2012, Tier 1 capital ratio was 13.1% and Total 
capital ratio was 15.1%. Tier 1 capital was up 10 basis points from last 
quarter largely due to internal capital generation, partially offset by the 
phase-in of the transition impact of IFRS and higher risk-weighted assets 
reflecting growth in our wholesale credit portfolio. Our estimated pro-forma 
Basel III Common Equity Tier 1 ratio on a fully implemented basis was 
approximately 8.4%.

Credit Quality - In the fourth quarter, total PCL was $362 million, up $86 
million from last year mainly due to increased provisions in our wholesale 
portfolio related to a single account and in our Canadian Banking business 
lending portfolio. Compared to the prior quarter, PCL was up $38 million due 
to the increased provisions noted above, offset by lower provisions in our 
Caribbean portfolios.

(1) See our 2012 Annual Report for additional information.

(2) Q3/12 results included a favourable adjustment of $125 million ($92
    million after-tax) related to a change in estimate of mortgage
    prepayment interest. This measure is a non-GAAP measure. See Key
    Performance and Non-GAAP Measures section of this Earnings Release
    for additional information.
     
    SELECTED FINANCIAL AND OTHER HIGHLIGHTS                                                                                 
                   

Selected financial and other
highlights                                                                                                              
                   


                                                                  As at or for the three months ended           For 
the year ended      
(Millions of Canadian dollars, except per share, number               October                     October                
of and percentage amounts)                                              31       July 31            31     October 
31       October 31   
                                                                     2012          2012          2011           
2012             2011   
Continuing operations                                                                                                    


                   
                                                                                                                        
                   
                                                                                                                        


               
  Total revenue                                                   $     7,518   $     7,756   $     6,692   $     
29,772     $    27,638    
                                                                                                                     
               
  Provision for credit losses (PCL)                                       362           324           276          
1,301           1,133    
Insurance policyholder benefits, claims and acquisition                                                                


                   
     expense (PBCAE)                                                      770         1,000           867         3,621 
           3,358   
                                                                                                                        


               
  Non-interest expense                                                  3,873         3,759         3,530        15,160  


          14,167   
                                                                                                                        


               
  Net income before income taxes                                        2,513         2,673         2,019         9,690  


           8,980   

Net income from continuing operations                                                                                   
                   
                                                                        1,911         2,240         1,609         7,590 
           6,970   

Net loss from discontinued operations                                                                                   
                   


                                                                        -             -          (38)           
(51)            (526)   
Net income                                                                                                               


                   
                                                                  $     1,911   $     2,240   $     1,571   $     7,539 
     $     6,444   

Segments - net income from continuing operations                                                                        
                   
                                                                                                                        
                   
                                                                                                                        


               
  Personal & Commercial Banking                                   $     1,034   $     1,102   $       947   $     4,088  


     $     3,740   
                                                                                                                        


               
  Wealth Management                                                       207           156           179           763  


             811   
                                                                                                                        


               
  Insurance                                                               194           179           200           714  


             600   
                                                                                                                        


               
  Investor & Treasury Services                                             72            51            40            85  


             230   
                                                                                                                        


               
  Capital Markets( )                                                      410           429           125         1,581  


           1,292   
                                                                                                                        


               
  Corporate Support                                                       (6)           323           118           359  


             297   

Net income from continuing operations                                                                                   
                   
                                                                        1,911         2,240         1,609   $     7,590 
     $     6,970   

Selected information                                                                                                    
                   
                                                                                                                        
                   
                                                                                                                        


               
  Earnings per share (EPS) - basic                                $      1.26   $      1.49   $      1.03   $      4.98  


     $      4.25   
                                                                                                                        
                   
                                           - diluted                     1.25          1.47          1.02          4.93 
            4.19   

  Return on common equity (ROE) (1), (2)                                 18.7 %        22.7 %        17.1 %        19.3 
 %          18.7  %

Selected information from continuing operations                                                                         
                   
                                                                                                                        


               
  EPS - basic                                                     $      1.26   $      1.49   $      1.06   $      5.01  


     $      4.62   
                                                                                                                        
                   
          - diluted                                                      1.25          1.47          1.05          4.96 
            4.55   

  ROE (1), (2)                                                           18.7 %        22.7 %        17.5 %        19.5 
 %          20.3  %

  PCL on impaired loans as a % of average net loans and                                                                 
 %                %
  acceptances                                                            0.37 %        0.34 %        0.31 %        0.35 
            0.33 

  Gross impaired loans (GIL) as a % of loans and acceptances             0.58 %        0.55 %        0.65 %        0.58 
 %          0.65  %

Capital ratios and multiples (3)                                                                                        
                   
                                                                                                        -               
                   

  Tier 1 capital ratio                                                   13.1 %        13.0 %        13.3 %        13.1 
 %          13.3  %

  Total capital ratio                                                    15.1 %        15.0 %        15.3 %        15.1 
 %          15.3  %

  Assets-to-capital multiple                                             16.7 X        16.7 X        16.1 X        16.7 
 X          16.1  X

  Tier 1 common ratio (2)                                                10.5 %        10.3 %        10.6 %        10.5 
 %          10.6  %

Selected balance sheet and other information                                                                            
                   
                                                                                                                        
                   
                                                                                                                        


               
  Total assets                                                    $   825,100   $   824,394   $   793,833   $   825,100  


     $   793,833   
                                                                                                                        


               
  Securities                                                          161,611       158,390       167,022       161,611  


         167,022   
                                                                                                                        


               
  Loans (net of allowance for loan losses)                            378,244       373,216       347,530       378,244  


         347,530   
                                                                                                                        


               
  Derivative related assets                                            91,293       103,257        99,650        91,293  


          99,650   
                                                                                                                        


               
  Deposits                                                            508,219       502,804       479,102       508,219  


         479,102   
                                                                                                                        


               
  Common equity                                                        39,453        38,357        34,889        39,453  


          34,889   
                                                                                                                        


               
  Average common equity (1)                                            38,850        37,700        34,400        37,150  


          32,600   
                                                                                                                        


               
  Risk-weighted assets (RWA)                                          280,609       278,418       267,780       280,609  


         267,780   
                                                                                                                        


               
  Assets under management (AUM)                                       343,000       327,800       308,700       343,000  


         308,700   
                                                                                                                        


               
  Assets under administration (AUA) - RBC (4)                         764,100       742,800       699,800       764,100  


         699,800   
                                                          - RBCIS                                             2,886,900 


   2,744,400   
  (5)                                                               2,886,900     2,670,900     2,744,400                


                   

Common share information                                                                                                
                   
                                                                                                                        
                   
                                                                                                                        


               
  Shares outstanding (000s) - average basic                         1,444,189     1,443,457     1,437,023     1,442,167  


       1,430,722   
                                                                                                                        
                   
                                              - average diluted     1,469,304     1,469,513     1,465,927     1,468,287 
       1,471,493   
                                                                                                                        
                   
                                              - end of period       1,445,303     1,444,300     1,438,376     1,445,303 
       1,438,376   
                                                                                                                        


               
  Dividends declared per share                                    $      0.60   $      0.57   $      0.54   $      2.28  


     $      2.08   

  Dividend yield (6)                                                      4.4 %         4.3 %         4.5 %         4.5 
 %           3.9  %
                                                                                                                        


               
  Common share price (RY on TSX)                                  $     56.94   $     51.38   $     48.62   $     56.94  


     $     48.62   
                                                                                                                        


               
  Market capitalization (TSX)                                          82,296        74,208        69,934        82,296  


          69,934   

Business information from continuing operations (number of)                                                             
                   
                                                                                                        -               
                   
                                                                                                                        


               
  Employees (full-time equivalent) (FTE)                               74,377        75,139        68,480        74,377  


          68,480   
                                                                                                                        


               
  Bank branches                                                         1,361         1,355         1,338         1,361  


           1,338   
                                                                                                                        


               
  Automated teller machines (ATMs)                                      5,065         4,948         4,626         5,065  


           4,626   

Period average US$ equivalent of C$1.00 (7)                                                                             
                   
                                                                  $     1.011   $     0.982   $     0.992   $     0.997 
     $     1.015   

Period-end US$ equivalent of C$1.00                                                                                     
                   
                                                                  $     1.001   $     0.997   $     1.003   $     1.001 
     $     1.003   
                                                                                                                        
                 

(1) Average amounts are calculated using methods intended to
    approximate the average of the daily balances for the period. This
    includes ROE and Average common equity. For further details, refer
    to the How we measure and report our business segments section of
    our 2012 Annual Report.

(2) These measures may not have a standardized meaning under generally
    accepted accounting principles (GAAP) and may not be comparable to
    similar measures disclosed by other financial institutions. See the
    How we measure and report our business segments section and the Key
    performance and Non-GAAP Measures section of this Earnings Release,
    our Q4 2012 Supplementary Financial Information and our 2012 Annual
    Report for additional information.

(3) 2011 comparative amounts were determined under Canadian GAAP.

(4) RBC AUA includes $38.4 billion (2011 - $36 billion) of securitized
    mortgages and credit card loans.

(5) RBC Investor Services, formerly RBC Dexia, AUA represented the
    total AUA of the entity, of which we had a 50% ownership interest
    prior to July 27, 2012.

(6) Defined as dividends per common share divided by the average of the
    high and low share price in the relevant period.

(7) Average amounts are calculated using month-end spot rates for the
    period.


    BUSINESS SEGMENT RESULTS

Personal & Commercial Banking                                         
                                  As at or for the three months ended
                                  October 31     July 31   October 31

(Millions of Canadian dollars,          2012        2012         2011
except number of and percentage
amounts and as otherwise noted)               

  Net interest income             $    2,302   $   2,391   $    2,176

  Non-interest income                    927         909          872

Total revenue                          3,229       3,300        3,048

  PCL                                    298         300          270

  Non-interest expense                 1,526       1,508        1,469

Net income before income taxes         1,405       1,492        1,309

Net income                        $    1,034   $   1,102   $      947

Revenue by business                                                  
    Personal Financial Services   $    1,680   $   1,768   $    1,571
    Business Financial Services          742         736          708
    Cards and Payment Solutions          598         589          572

  Canadian Banking                     3,020       3,093        2,851

  Caribbean & U.S. Banking               209         207          197

Key ratios                                                           

  ROE                                  32.8%       34.2%        26.9%

  NIM (1)                              2.82%       2.97%        2.84%

Selected average balance sheet                              
information                                                          

  Total assets                    $  340,500   $ 335,200   $  318,400

  Total earning assets (2)           325,000     319,800      304,500

  Loans and acceptances (2)          323,700     318,000      303,500

  Deposits                           250,200     245,800      233,300

  Attributed capital                  12,300      12,550       13,550

  Risk capital                         8,450       8,700        9,750

Other information                                                    

  AUA (3)                         $  179,200   $ 173,600   $  165,900

  AUM                                  3,100       2,900        2,700

  Number of employees (FTE)           38,213      38,657       38,216

Credit information                                                   

  Gross impaired loans as a % of                            
  average net loans and
  acceptances                          0.56%       0.59%        0.68%

  PCL on impaired loans as a % of                           
  average net loans and
  acceptances                          0.37%       0.38%        0.35%
                                                                     

Canadian Banking                                                     
                                                                     

Total revenue                     $    3,020   $   3,093   $    2,851

  PCL                                    269         234          234

  Non-interest expense                 1,357       1,330        1,303

Net income before income taxes         1,394       1,529        1,314

Net income                             1,027       1,127          948

Key ratios                                                           

  ROE                                  41.1%       43.8%        33.3%

  ROE adjusted (4)                      n.a.       38.9%         n.a.

  NIM (1)                              2.74%       2.91%        2.75%

  NIM adjusted (1) (4)                  n.a.       2.74%         n.a.

  Efficiency ratio                     44.9%       43.0%        45.7%

  Efficiency ratio adjusted (4)         n.a.       44.8%         n.a.

  Operating leverage                    1.8%        8.0%         n.a.

  Operating leverage adjusted (4)       n.a.        3.5%         n.a.

Credit information                                                   

  Gross impaired loans as a % of                            
  average net loans and
  acceptances                          0.36%       0.37%        0.43%

  PCL on impaired loans as a % of                           
  average net loans and
  acceptances                          0.34%       0.30%        0.31%
     

(1) Calculated as net interest income divided by average total earning
    assets. For further discussion on NIM, see How we measure and
    report our business segments in our 2012 Annual Report.

(2) Total earning assets and loans and acceptances include average
    securitized residential mortgage and credit card loans for the
    three months ended October 31, 2012, of $44.9 billion and $7.3
    billion, respectively (July 31, 2012 - $46.1 billion and $6.1
    billion; October 31, 2011 - $41.5 billion and $3.9 billion).

(3) AUA includes securitized residential mortgage and credit card loans
    for the three months ended October 31, 2012, of $31.0 billion and
    $7.4 billion, respectively (July 31, 2012 - $31.8 billion and $6.1
    billion; October 31, 2011 - $32.1 billion and $3.9 billion).

(4) Measures for the three months ended July 31, 2012 have been
    adjusted for a gain from a change in estimate of mortgage
    prepayment interest. See the Key Performance and Non-GAAP Measures
    section of this Earning Release for additional information.
     

Q4 2012 vs. Q4 2011

Net income of $1,034 million increased $87 million or 9% compared to the prior 
year, driven by solid volume growth of 7% across all our Canadian businesses 
and a lower effective tax rate in Canada. These factors were partially offset 
by increased costs in support of business growth and higher PCL in Canada.

Total revenue increased $181 million or 6%, reflecting solid volume growth in 
our Canadian personal and business deposits, personal and business loans, as 
well as higher credit card transaction volumes.

PCL increased $28 million or 10%, mainly due to higher provisions in our 
Canadian business lending portfolio, offset by lower provisions in our 
Caribbean portfolio.

Non-interest expense increased $57 million or 4%, mainly due to higher costs 
in support of business growth and higher performance-related compensation in 
Canada, partially offset by our ongoing focus on cost management. In addition, 
the prior year included net favourable stamp tax and accounting adjustments in 
the Caribbean.

Q4 2012 vs. Q3 2012

Net income decreased $68 million or 6% compared to last quarter. Excluding a 
mortgage prepayment interest adjustment that favourably impacted our results 
last quarter, net income increased $24 million or 2%((1)), largely due to 
volume growth in Canadian Banking.

Total revenue decreased $71 million or 2%. Excluding the mortgage prepayment 
interest adjustment, total revenue increased $54 million or 2%((1)), 
reflecting continued volume growth in Canada in residential mortgages, 
business and personal deposits and loans and higher credit card transaction 
volumes.

PCL remained relatively flat compared to last quarter as lower provisions in 
our Caribbean portfolio were offset by higher provisions in our Canadian 
business lending portfolio.

Non-interest expense increased $18 million or 1%, mainly due to higher costs 
in support of business growth in Canada and seasonally higher domestic 
marketing spend partially offset by our ongoing focus on costs management.

On October 23, 2012 we announced a definitive agreement to acquire the 
Canadian auto finance and deposit business of Ally Financial Inc. which will 
add significant scale to our existing business and strengthen RBC's position 
as a leader in the Canadian auto finance industry. This transaction is subject 
to customary closing conditions and is expected to close in the first calendar 
quarter of 2013.

_____________________________

(1) Q3/12 Canadian Banking results included a favourable adjustment of
    $125 million ($92 million after-tax) related to a change in
    estimate of mortgage prepayment interest. This measure is a
    non-GAAP measure. See Key Performance and Non-GAAP Measures section
    of this Earnings Release for additional information.
     
                                                             

Wealth Management                                                     
                                   As at or for the three months ended

(Millions of Canadian dollars,       October 31   July 31   October 31
except number of and percentage            2012      2012         2011
   amounts and as otherwise noted)

  Net interest income                $       95 $      98 $         96

  Non-interest income                                                 
      Fee-based revenue                     769       742          726


  Transactional and other               397       327          329
  revenue 
Total revenue                             1,261     1,167        1,151 
Non-interest expense                      972       944          893 
Net income before income taxes              289       223          258 
Net income                           $      207 $     156 $        179 
Revenue by business                                                    
Canadian Wealth Management         $      463 $     422 $        426 
U.S. & International Wealth               509       474          466
  Management 
  U.S. & International Wealth           515       466          464
  Management (US$ millions) 
Global Asset Management                   289       271          259 
Key ratios                                                             
ROE                                     15.3%     11.3%        12.7% 
Pre-tax margin (1)                      22.9%     19.1%        22.4% 
Selected average balance sheet                                        
information 
Total assets                       $   20,200 $  21,100 $     22,300 
Loans and acceptances                  10,300    10,200        8,900 
Deposits                               29,200    29,400       28,300 
Attributed capital                      5,150     5,200        5,300 
Risk capital                            1,400     1,400        1,400 
Other information                                                      
Revenue per advisor (000s) (2)     $      821 $     776 $        764 
AUA                                   577,800   562,200      527,200 
AUM                                   339,600   324,500      305,700 
Average AUA                           568,100   562,000      526,800 
Average AUM                           333,100   323,800      310,600 
Number of employees (FTE)             10,670    10,619        10,564 
Number of advisors (3)                 4,388     4,339         4,281 
                                                                 
(1)  Pre-tax margin is defined as net income before 


     income taxes divided by total revenue.

(2)  Represents investment advisors and financial
     consultants of our Canadian and U.S. full-service
     wealth businesses.

(3)  Represents client-facing advisors across all our
     wealth management businesses.
      

Q4 2012 vs. Q4 2011

Net income of $207 million increased $28 million or 16% compared to the prior 
year, mainly due to higher average fee-based client assets and higher 
transaction volumes. The increase in fair value of our U.S. share-based 
compensation plan also contributed to the increase. The prior year results 
included a favourable accounting adjustment related to a deferred compensation 
plan of $27 million ($16 million after-tax).

Total revenue increased $110 million or 10%, mainly due to higher average 
fee-based client assets reflecting capital appreciation and net sales and 
higher transaction volumes reflecting improved market conditions. The increase 
in fair value of our U.S. share-based compensation plan also contributed to 
the increase.

Non-interest expense increased $79 million or 9%, mainly due to higher 
variable compensation driven by higher commission-based revenue and the 
increase in fair value of our U.S. share-based compensation plan. The prior 
year included a favourable accounting adjustment related to our deferred 
compensation plan as noted above.

Q4 2012 vs. Q3 2012

Net income increased $51 million or 33% from the prior quarter, mainly due to 
higher average fee-based client assets reflecting net sales and capital 
appreciation, higher transaction volumes, and the increase in fair value of 
our U.S. share-based compensation plan. These factors were partially offset by 
higher costs in support of business growth. The prior quarter included an 
unfavourable impact of $29 million ($21 million after-tax) related to certain 
regulatory and legal matters.
                                                                       
    Insurance                                                          
                                   As at or for the three months ended

(Millions of Canadian dollars,       October 31    July 31   October 31
except number of and percentage            2012       2012         2011
amounts
  and as otherwise noted)

  Non-interest income                                                  
       Net earned premiums             $    914   $    902 $        897
       Investment income (1)                 93        363          254
       Fee income                            91         58           64

  Total revenue                           1,098      1,323        1,215


   Insurance policyholder               631        864          720
  benefits and claims (1) 
   Insurance policyholder               139        136          147
  acquisition expense 


       Non-interest expense                 134        126          129

Net income before income taxes              194        197          219

Net income                             $    194   $    179 $        200

Revenue by business line                                               

  Canadian insurance                   $    616   $    873 $        757

  International & Other insurance           482        450          458

Key ratios                                                             

  ROE                                     50.7%      47.3%        40.3%

Selected average balance sheet                                         
information

  Total assets                         $ 11,900   $ 11,700 $     10,800

  Attributed capital                      1,500      1,500        1,950

  Risk capital                            1,350      1,350        1,800

Other information                                                      

  Premiums and deposits (2)            $  1,215   $  1,213 $      1,205
       Canadian insurance                   597        602          605


   International & Other                618        611          600
  insurance 
Insurance claims and policy          $  7,921   $  7,965 $      7,119
  benefit liabilities 
Fair value changes on                    (35)        256          123
  investments backing policyholder
  liabilities (1) 
Embedded value (3)                      5,861      5,774        5,327 
AUM                                       300        400          300 
Number of employees (FTE)               2,744      2,777        2,859 


                                                                       

(1) Investment income can experience volatility
    arising from fluctuation in the fair value of
    Fair Value Through Profit or Loss (FVTPL) assets.
    The investments which support actuarial
    liabilities are predominantly fixed income assets
    designated as FVTPL. Consequently changes in the
    fair values of these assets are recorded in
    investment income in the consolidated statements
    of income and are largely offset by changes in
    the fair value of the actuarial liabilities, the
    impact of which is reflected in insurance
    policyholder benefits and claims.

(2) Premiums and deposits include premiums on
    risk-based insurance and annuity products, and
    individual and group segregated fund deposits,
    consistent with insurance industry practices.

(3) Embedded value is defined as the sum of value of
    equity held in our Insurance segment and the
    value of in-force business policies (existing
    policies). For further details, refer to the Key
    performance and Non-GAAP Measures section of our
    2012 Annual Report.



Q4 2012 vs. Q4 2011

Net income of $194 million decreased $6 million or 3% compared to the prior 
year as lower claims costs in Canadian insurance products and reinsurance 
products were offset by lower net investment gains and no new U.K. annuity 
reinsurance contracts in the current quarter.

Total revenue decreased $117 million or 10%, mainly due to the change in fair 
value of investments backing our policyholder liabilities, which was largely 
offset in policyholder benefits, claims and acquisitions expense (PBCAE). In 
addition, the prior year included higher net investment gains. These factors 
were partially offset by volume growth across most products.

PBCAE decreased $97 million or 11%, mainly due to the change in fair value of 
investments backing our policyholder liabilities as noted above, partially 
offset by higher costs commensurate with volume growth.

Non-interest expense increased $5 million or 4%, mainly due to higher costs in 
support of business growth, partially offset by our ongoing focus on cost 
management.

Q4 2012 vs. Q3 2012

Net income of $194 million increased $15 million or 8% from the prior quarter, 
mainly due to lower claims costs in our reinsurance products and Canadian 
insurance products. Our prior quarter results were favourably impacted by the 
reduction of policy acquisition cost-related liabilities of $33 million ($24 
million after-tax).
      Investor & Treasury Services
                               As at or for the three months ended

(Millions of Canadian        October 31       July 31     October 31
dollars, except number of          2012          2012           2011
and percentage
   amounts and as otherwise
noted)
    Net interest income     $       172   $       152   $        163
    Non-interest income             242           152             99

Total revenue                       414           304            262
    Non-interest expense            316           226            209

Net income before income             98            78             53
taxes and NCI in
subsidiaries                 

Net income                  $        72   $        51   $         40

Key ratios                                                          
    ROE                           13.0%         13.9%          12.0%

Selected average balance                                            
sheet information            
    Total assets            $    81,400   $    69,300   $     77,100
    Deposits                    107,200        96,600        107,100
    Attributed capital            2,100         1,400          1,200

Other information                                                   
    Economic profit (1)     $        23   $        29   $         14
    AUA                       2,886,900     2,670,900      2,744,400
    Average AUA               2,840,500     2,773,000      2,827,800


Number of employees           6,084         6,062            112
(FTE) (2) 


                                                                    

(1) Economic profit is a non-GAAP measure. See the Key performance and
    Non-GAAP Measures section of our 2012 Annual Report for additional
    information.

(2) Effective the third quarter of 2012, we completed our acquisition
    of the remaining 50% of RBC Dexia (RBC Investor Services). Prior to
    this acquisition, FTE numbers do not include our RBC Dexia joint
    venture.
     

Q4 2012 vs. Q4 2011

Net income of $72 million increased $32 million compared to the prior year, 
largely due to higher funding and liquidity trading results reflecting 
improved market conditions as compared to the challenging market conditions 
last year. A full quarter representing 100% ownership of RBC Investor Services 
earnings also contributed to the increase, although lower spreads and 
decreased transaction volumes negatively impacted our results.

Total revenue increased $152 million or 58%, primarily due to a full quarter 
of RBC Investor Services revenue, partially offset by lower spreads, decreased 
foreign exchange activity and lower custodial fees. Higher funding and 
liquidity trading, driven by greater market liquidity and improved market 
conditions also contributed to the increase in revenue.

Non-interest expense increased $107 million or 51%, mainly reflecting a full 
quarter of RBC Investor Services costs. Higher variable compensation on 
improved results also contributed to the increase.

Q4 2012 vs. Q3 2012

Net income increased $21 million due to higher funding and liquidity trading 
results and a full quarter of RBC Investor Services earnings, partially offset 
by lower custodial fees, and lower securities lending as the prior quarter was 
favourably impacted by the European dividend season. The prior quarter was 
unfavourably impacted by a writedown of intangibles and costs related to the 
acquisition of the remaining 50% interest in RBC Dexia (RBC Investor Services) 
of $12 million ($11 million after-tax).
       Capital Markets
                                   As at or for the three months ended

(Millions of Canadian dollars,                     July 31   October 31
except number of and percentage                       2012         2011
amounts                             October 31
   and as otherwise noted)                2012

  Net interest income (1)         $        663   $     631 $        560

  Non-interest income                      893         982          408

Total revenue (1)                        1,556       1,613          968

  PCL                                       63          24            5

  Non-interest expense                     916         932          802

Net income before income taxes                         657          161
and NCI in subsidiaries                    577

Net income                        $        410   $     429 $        125

Revenue by business                                                    

  Global Markets                  $        842   $     848 $        534

  Corporate and Investment                 687         732          548
  Banking                          

  Other                                     27          33        (114)

Key ratios                                                             

  ROE                                    12.9%       14.3%         4.7%

Selected average balance sheet                                         
information                                   

  Total assets                    $    356,100   $ 362,400 $    352,900

  Trading securities                    91,800      89,600      101,300

  Loans and acceptances                 51,300      49,400       38,900

  Deposits                              32,000      32,000       26,700

  Attributed capital                    12,050      11,350        8,950

Other information                                                      

  Number of employees (FTE)              3,533       3,712        3,510

Credit information                                                     

  Gross impaired loans as a % of         0.76%       0.41%        0.59%
  average net loans and
  acceptances                      

  PCL on impaired loans as a % of        0.49%       0.20%        0.05%
  average net loans and
  acceptances                      
                                                              

(1) The taxable equivalent basis (teb) adjustment for the three months
    ended October 31, 2012 was $104 million (July 31, 2012 - $88
    million, October 31, 2011 - $85 million). See the How we measure
    and report our business segments section of our 2012 Annual Report
    for additional information. 

Q4 2012 vs. Q4 2011

Net income of $410 million increased $285 million, primarily due to higher 
fixed income trading results reflecting improved market conditions compared to 
the challenging market conditions in the prior year. Higher corporate and 
investment banking results primarily in the U.S. also contributed to the 
increase. These factors were partially offset by higher PCL and a higher 
effective tax rate reflecting increased earnings in the U.S. Our prior year 
was unfavourably impacted by a loss of $105 million ($77 million after-tax) 
related to a consolidated special purpose entity from which we exited all 
transactions during the first quarter of 2012.

Total revenue of $1,556 million increased $588 million from the prior year, 
largely due to higher fixed income trading reflecting increased client 
activity, greater market liquidity and tightening credit spreads compared to 
the prior year. Higher equity and debt origination reflecting solid issuance 
activity, strong client growth in lending and increased loan syndication 
activity, mainly in the U.S. also contributed to the increase.

PCL of $63 million increased $58 million from the prior year, largely 
reflecting a provision taken this quarter for a single account.

Non-interest expense of $916 million increased $114 million or 14% from the 
prior year, largely due to higher variable compensation reflecting improved 
results and higher costs in support of business growth partially offset by our 
cost management initiatives.

Q4 2012 vs. Q3 2012

Net income of $410 million decreased $19 million or 4% from the prior quarter, 
mainly due to lower trading results particularly at the end of the quarter 
reflecting increased market uncertainty due to Hurricane Sandy and the U.S. 
presidential election, lower loan syndication activity primarily in the U.S. 
as compared to the robust activity in the prior quarter, and higher PCL 
related to a single account as noted above. These factors were partially 
offset by higher equity origination, primarily in the U.S. and Canada.
                                                            

Corporate Support                                                      
                                   As at or for the three months ended
                                  October 31     July 31   October 31  

(Millions of Canadian                   2012        2012         2011  
dollars)                         

  Net interest (loss)           $       (57)   $     17  $       (38)  
  income (1)

  Non-interest income                    17          32           86   

Total (loss) revenue (1)                (40)         49           48   

  PCL                                     1           -            1   

  Non-interest expense                    9          23           28   

  Income taxes (recoveries)             (44)       (297)         (99)  

Net income (loss) (2)           $        (6)   $    323  $         118 
                               

(1) Teb adjusted.

(2) Net income (loss) reflects income attributable to both shareholders
    and non-controlling interest (NCI).
    Net income attributable to NCI for the three months ended October
    31, 2012 was $23 million (July 31,
    2012 - $24 million; October 31, 2011 - $25 million).

Due to the nature of activities and consolidated adjustments reported in this 
segment, we believe that a comparative period analysis is not relevant. The 
following identifies the material items affecting the reported results in each 
period.

Net interest income (loss) and income taxes (recoveries) in each quarter in 
Corporate Support include the deduction of the teb adjustments related to the 
gross-up of income from Canadian taxable corporate dividends recorded in 
Capital Markets. The amount deducted from net interest income (loss) was 
offset by an equivalent increase in income taxes (recoveries). The teb amount 
for the three months ended October 31, 2012 was $104 million as compared to 
$88 million in the prior quarter and $85 million in the prior year. For 
further discussion, refer to the How we measure and report our business 
segments section of our 2012 Annual Report.

In addition to the teb impacts noted above, the following paragraphs identify 
the other material items affecting the reported results in each quarter.

Q4 2012

Net loss was $6 million mainly due to net unfavourable tax adjustments and a 
loss attributed to an equity accounted for investment. These factors were 
largely offset by asset/liability management activities.

Q3 2012

Net income was $323 million largely due to the previously announced settlement 
of several tax matters with the CRA which resulted in the release of $128 
million of tax uncertainty provisions and interest income of $72 million ($53 
million after-tax) related to a refund of taxes paid. Our results benefitted 
from other net favourable tax adjustments and asset/liability management 
activities.

Q4 2011

Net income was $118 million mainly due to net favourable tax adjustments, 
partially offset by a loss attributed to an equity accounted for investment.

KEY PERFORMANCE AND NON-GAAP MEASURES

Additional information about these and other key performance and non-GAAP 
measures can be found under the Key performance and Non-GAAP Measures section 
of our 2012 Annual Report.

Return on Equity

We measure and evaluate the performance of our consolidated operations and 
each business segment using a number of financial metrics such as net income 
and return on equity (ROE). The following table provides a summary of our ROE 
calculations:
                                                                                                 

Calculation of Return on equity
                                                                                        For the
                                                For the three months ended             year ended
                                                                                       October 31
                                                        October 31 2012                      2012

(Millions of
Canadian                                        Investor
dollars, except Personal &                             &


percentage  Commercial     Wealth           Treasury  Capital Corporate
amounts)           Banking Management Insurance Services  Markets   Support    Total      Total   
Net income                                                                                       
available to
common 
shareholders
from continuing
operations        $ 1,013  $      198 $     191 $     67 $    390 $    (36) $  1,823   $  7,235 
Net income                                                                                       
available to
common 
shareholders
from
discontinued
operations               -          -         -        -        -         -        -       (51) 
Net income                                                                                       
available to
common
shareholders         1,013        198       191       67      390      (36)    1,823      7,184 
Average common
equity from
continuing                                                                                        
operations
(1) (2)           $ 12,300 $    5,150 $   1,500 $  2,100 $ 12,050 $   5,750 $ 38,850   $ 36,750 
Average common                                                                                   
equity from
discontinued 
operations
(1)                      -          -         -        -        -         -       -         400 
Total average                                                                                    
common equity     $ 12,300 $    5,150 $   1,500 $  2,100 $ 12,050 $   5,750 $ 38,850   $ 37,150 
ROE from
continuing
operations           32.8%      15.3%     50.7%    13.0%    12.9%      n.m.    18.7%      19.5%   
ROE                                                                            18.7%      19.3%   
                                                                
(1) Average common equity represent rounded figures. ROE is based on 
actual balances before rounding. 
(2) The amounts for the segments are referred to as attributed capital 
or economic capital. 
n.mnot meaningful 
Non-GAAP measures 
Given the nature and purpose of our management reporting framework, we use and 
report certain non-GAAP financial measures, which are not defined nor do they 
have a standardized meaning under GAAP and may not be comparable with similar 
information disclosed by other financial institutions. We believe these 
measures provide readers with a better understanding of our performance and 
should enhance the comparability of our comparative periods. 


                                                                                   

Non-GAAP measures -                                                                        
Consolidated Results                                   
                                                    For the three months ended
                                               July 31, 2012
                                               Items excluded                            

(Millions                                                    Loss
of Canadian                                               related
dollars,                                                   to the
except per                                 Mortgage   acquisition               Results and
share and                          Tax   prepayment            of                 measures
percentage                  settlement    interest     RBC Dexia                  excluding
amounts)      As reported          (1)          (2)           (3)   Sub-total         items

Net income    $     2,240   $    (181)   $     (92)   $        11   $   (262)   $     1,978

Average                                                                           1,469,513
number of
diluted
common
shares
(thousands)     1,469,513                            

Diluted                          (.12)   $            $         -   $   (.18)   $      1.29
earnings
per share
(in
dollars)      $      1.47   $                 (.06)  

Diluted                          (.12)                          -       (.18)          1.29
earnings
per share
from
continuing
operations
(in
dollars)             1.47                     (.06)  

Average                                                                         $    37,700
common
equity        $    37,700                            

ROE from                                                                              19.9%
continuing
operations
(4)                 22.7%                            
                                                                                 

(1) The release of tax uncertainty provisions and interest income
    relates to the previously announced settlement of several tax
    matters with the CRA. For further details, refer to the Financial
    performance - Results from continuing operations of our 2012 Annual
    Report.

(2) Relates to a change in estimate of mortgage prepayment interest.
    See the Key Corporate events of 2012 section of our 2012 Annual
    Report.

(3) Comprised of a writedown of other intangibles of $7 million
    (before- and after-tax) and other costs of $5 million ($4 million
    after-tax).

(4) Based on actual balances before rounding.
     


    Non-GAAP measures - Canadian Banking
                                      For the three months ended
                                              July 31, 2012  
                                                                    
                                               Mortgage             


                                         prepayment
(Millions of Canadian                         interest
dollars)                  As reported   adjustments (1)   Adjusted 
Net interest income     $     2,248 $           (125) $    2,123   
Non-interest income             845                -         845   
Total revenue                   3,093             (125)      2,968   
Revenue for Personal          1,768                        1,643  
  Financial Services                              (125) 
Net income before taxes         1,529             (125)      1,404   
Net income                $     1,127 $            (92) $    1,035   
Selected average balances                                           
and other information                                     
Net income available to $     1,110 $                 $    1,018  
  common shareholders                              (92) 
Average common equity        10,050                -      10,050   
ROE                           43.8%                        38.9%   
Net interest income     $     2,248 $           (125) $    2,123   
Average total earning       307,900                      307,900  
  assets                                             -  
NIM                           2.91%                        2.74%   
Non-interest expense    $     1,330 $              -  $    1,330   
Total revenue                 3,093             (125)      2,968   
Efficiency ratio              43.0%                        44.8%   
Revenue growth rate           10.5%                         6.0%   
Non-interest expense           2.5%                         2.5%  
  growth rate                                           
Operating leverage             8.0%                         3.5%   


                                                                    

(1) Relates to a change in estimate of mortgage prepayment interest.
    For further details, see the Accounting and control matters
    section of our 2012 Annual Report.


                                                                    

Consolidated Balance Sheets                                                
                                       October 31      July 31      October
                                                                         31

(Millions of Canadian dollars)           2012 (1)     2012 (2)     2011 (1)
                                                                           

Assets                                                                     

Cash and due from banks                $  12,617    $  10,586    $  12,428 

Interest-bearing deposits with banks      10,255       11,386        6,460 

Securities                                                                 

  Trading                                120,783      117,050      128,128 

  Available-for-sale                      40,828       41,340       38,894 
                                         161,611      158,390      167,022 

Assets purchased under reverse           112,257      107,841       84,947 
repurchase agreements and securities
borrowed                                

Loans                                                                      

  Retail                                 301,185      297,637      284,745 

  Wholesale                               79,056       77,516       64,752 
                                         380,241      375,153      349,497 

  Allowance for loan losses               (1,997)      (1,937)      (1,967)
                                         378,244      373,216      347,530 

Investments for account of segregated        383          357          320 
fund holders                            

Other                                                                      

  Customers' liability under               9,385        9,115        7,689 
  acceptances

  Derivatives                             91,293      103,257       99,650 

  Premises and equipment, net              2,691        2,672        2,490 

  Goodwill                                 7,485        7,466        7,610 

  Other intangibles                        2,686        2,649        2,115 

  Assets of discontinued operations            -            -       27,152 

  Investments in associates                  125          163          142 

  Prepaid pension benefit cost             1,049          984          311 

  Other assets                            35,019       36,312       27,967 
                                         149,733      162,618      175,126 

Total assets                           $ 825,100    $ 824,394    $ 793,833 
                                                                           

Liabilities                                                                

Deposits                                                                   

  Personal                             $ 179,502    $ 176,698    $ 166,030 

  Business and government                312,882      308,261      297,511 

  Bank                                    15,835       17,845       15,561 
                                         508,219      502,804      479,102 

Insurance and investment contracts for       383          357          320 
account of segregated fund holders      

Other                                                                      

  Acceptances                              9,385        9,115        7,689 

  Obligations related to securities       40,756       43,562       44,284 
  sold short

  Obligations related to assets sold      64,032       55,908       42,735 
  under repurchase agreements and
  securities loaned

  Derivatives                             96,761      108,819      100,522 

  Insurance claims and policy benefit      7,921        7,965        7,119 
  liabilities

  Liabilities of discontinued                  -            -       20,076 
  operations

  Accrued pension and other                1,729        1,631        1,639 
  post-employment benefit expense

  Other liabilities                       41,371       40,762       39,241 
                                         261,955      267,762      263,305 

Subordinated debentures                    7,615        7,646        8,749 

Trust capital securities                     900          900          894 

Total liabilities                      $ 779,072    $ 779,469    $ 752,370 
                                                                           

Equity attributable to shareholders                                        

  Preferred shares                     $   4,813    $   4,813    $   4,813 

  Common shares (shares issued -          14,323       14,279       14,010 
  1,445,302,600, 1,444,300,306 and
  1,438,376,317) 

  Treasury shares  - preferred (shares         1           (2)           - 
  held - (41,632), 63,195 and 6,341)


                          - common        30           13            8 
  (shares held - (543,276), (261,419)
  and (146,075)) 
Retained earnings                       24,270       23,310       20,381  
Other components of equity                 830          755          490  
                                      44,267       43,168       39,702  
Non-controlling interests                  1,761        1,757        1,761  
Total equity                              46,028       44,925       41,463  
Total liabilities and equity           $ 825,100    $ 824,394    $ 793,833  


                                                            

(1) Derived from audited financial statements.

(2) Derived from unaudited financial statements.


    Consolidated Statements of Income
                      For the three-months ended    For the year ended
                     October     July 31  October     October   October
                     31                        31          31        31

(Millions of         2012 (2)   2012 (2) 2011 (2)    2012 (1)
Canadian dollars,
except per share
amounts)                                                       2011 (1)
                                                                       

Interest income                                                        

  Loans              $ 4,026    $ 4,170  $ 3,874    $ 15,972  $ 15,236 

  Securities             913        946    1,124       3,874     4,750 

  Assets purchased       249        249      200         945       736 
  under reverse
  repurchase
  agreements and
  securities
  borrowed                                

  Deposits                14         14       18          61        91 
                       5,202      5,379    5,216      20,852    20,813 
                                                                       

Interest expense                                                       

  Deposits             1,468      1,502    1,527       6,017     6,334 

  Other liabilities      475        505      635       1,977     2,723 

  Subordinated            84         83       97         360       399 
  debentures                              
                       2,027      2,090    2,259       8,354     9,456 

Net interest income    3,175      3,289    2,957      12,498    11,357 
                                                                       

Non-interest income                                                    

  Insurance            1,098      1,323    1,214       4,897     4,474 
  premiums,
  investment and fee
  income                                  

  Trading revenue        258        295     (219)      1,298       655 

  Investment             566        515      497       2,074     1,999 
  management and
  custodial fees                          

  Mutual fund            569        514      505       2,088     1,975 
  revenue                                 

  Securities             330        292      331       1,213     1,331 
  brokerage
  commissions                             

  Service charges        362        347      343       1,376     1,323 

  Underwriting and       375        379      277       1,434     1,485 
  other advisory
  fees                                    

  Foreign exchange       203        129      181         655       684 
  revenue, other
  than trading                            

  Card service           234        243      221         920       882 
  revenue                                 

  Credit fees            220        267      173         848       707 

  Net gain (loss) on      80         42       (2)        120       104 
  available-for-sale
  securities                              

  Share of (loss)         (1)         9      (12)         24        (7)
  profit in
  associates                              

  Securitization           -          -       (1)         (1)        - 
  revenue                                 

  Other                   49        112      227         328       669 

Non-interest income    4,343      4,467    3,735      17,274    16,281 

Total revenue          7,518      7,756    6,692      29,772    27,638 

Provision for credit                                   1,301     1,133 
losses                   362        324      276 

Insurance                                              3,621     3,358 
policyholder
benefits, claims and
acquisition expense      770      1,000      867 
                                                                       

Non-interest expense                                                   

  Human resources      2,332      2,313    2,032       9,287     8,661 

  Equipment              293        271      264       1,083     1,010 

  Occupancy              288        281      268       1,107     1,026 

  Communications         209        193      203         764       746 

  Professional fees      216        167      213         695       692 

  Outsourced item         55         64       64         254       266 
  processing                              

  Amortization of        142        130      126         528       481 
  other intangibles                       

  Impairment of            -          7        -         168         - 
  goodwill and other
  intangibles                             

  Other                  338        333      360       1,274     1,285 
                       3,873      3,759    3,530      15,160    14,167 

Income before income                                   9,690     8,980 
taxes from
continuing
operations             2,513      2,673    2,019 

Income taxes             602        433      410       2,100     2,010 

Net income from                                        7,590     6,970 
continuing
operations             1,911      2,240    1,609 

Net loss from                                            (51)     (526)
discontinued
operations                 -          -      (38)

Net income           $ 1,911    $ 2,240  $ 1,571    $  7,539  $  6,444 
                                                                       

Net income                                                             
attributable to:                                 

  Shareholders       $ 1,888    $ 2,216  $ 1,546    $  7,442  $  6,343 

  Non-controlling         23         24       25          97       101 
  interests                               
                     $ 1,911    $ 2,240  $ 1,571    $  7,539  $  6,444 
                                                                       

Basic earnings per   $          $        $          $   4.98  $   4.25 
share (in dollars)      1.26       1.49     1.03 

Basic earnings per                                      5.01      4.62 
share from
continuing
operations (in
dollars)                1.26       1.49     1.06 

Basic loss per share                                    (.03)     (.37)
from discontinued
operations (in
dollars)                   -          -     (.03)

Diluted earnings per                                    4.93      4.19 
share (in dollars)      1.25       1.47     1.02 

Diluted earnings per                                    4.96      4.55 
share from
continuing
operations (in
dollars)                1.25       1.47     1.05 

Diluted loss per                                        (.03)     (.36)
share from
discontinued
operations (in
dollars)                   -          -     (.03)

Dividends per common                                    2.28       2.08
share (in dollars)       .60         .57      .54

(1) Derived from audited financial statements.

(2) Derived from unaudited financial statements.


    Consolidated Statements of Comprehensive Income
                                                         For the year
                        For the three-months ended           ended
                        October    July 31  October    October  October
                             31                  31         31       31

(Millions of Canadian    2012        2012     2011       2012     2011 
dollars)                 (2)           (2)      (2)        (1)      (1)

Net income             $  1,911   $ 2,240  $ 1,571    $ 7,539  $ 6,444 

Other comprehensive                                                    
income (loss), net of
taxes                              

  Net change in                                                        
  unrealized gains
  (losses) on
  available-for-sale
  securities                     
    Net unrealized                    121      (52)       193      (30)
    gains (losses) on
    available-for-sale
    securities              83 
    Reclassification                  (12)      (2)       (33)      13 
    of net (gains)
    losses on
    available-for-sale
    securities to
    income                 (32)
                            51        109      (54)       160      (17)

  Foreign currency                                                     
  translation
  adjustments                    
    Unrealized foreign                244    1,132        113     (625)
    currency
    translation gains
    (losses)               144 
    Net foreign                      (124)    (647)         -      717 
    currency
    translation
    (losses) gains
    from hedging
    activities             (89)
    Reclassification                   11       (1)        11       (1)
    of losses (gains)
    on foreign
    currency
    translation to
    income                   - 
                            55        131      484        124       91 

  Net change in cash                                                   
  flow hedges                    
    Net (losses) gains                 49      142         32      298 
    on derivatives
    designated as cash
    flow hedges            (20)
    Reclassification                    9       47         25      132 
    of (gains) losses
    on derivatives
    designated as cash
    flow hedges to
    income                 (11)
                           (31)        58      189         57      430 

Total other                           298      619        341      504 
comprehensive income,
net of taxes                75     

Total comprehensive                 2,538  $ 2,190    $ 7,880  $ 6,948 
income                 $ 1,986    $

Total comprehensive                                                    
income attributable
to:                                

  Shareholders         $ 1,963    $ 2,514  $ 2,164    $ 7,782  $ 6,847 

  Non-controlling           23         24       26         98      101 
  interests                      
                       $ 1,986    $ 2,538  $ 2,190    $ 7,880  $ 6,948 
     

(1) Derived from audited financial statements.

(2) Derived from unaudited financial statements.
                                                                                                    

  Consolidated Statements of Changes in Equity                                                                          
                          
                                                                            Other components of equity                  
                              
                                                                                                                Total
                                             Treasury  Treasury           Available-     Foreign    Cash        Other   


Equity        Non-(Millions of Canadian    Preferred   Common  shares -  shares -  Retained   for-sale    currency    flow   components 
attributable controlling     Total
dollars)                    shares   shares preferred    common  earnings securities translation  hedges    of equity  
Shareholder   interests    equity 
Balance at November 1,   $                                      $                           (20) $ (271) $       (14) $  
35,381 $     2,094 $        
2010 (1)                     4,813 $ 13,378 $     (2) $    (81)    17,287 $      277 $                                   
                      37,475 
Changes in equity                                                                                                        
                             
Issues of share                                             -                                -       -            -    
   632           -       632
  capital                        -      632         -                   -          - 
Sales of treasury                                       6,074                                -       -            -    
 6,171           -     6,171
  shares                         -        -        97                   -          - 
Purchases of treasury                                                                        -       -            -    
(6,080)       (324)         
  shares                         -        -      (95)   (5,985)         -          -                                     
                     (6,404) 
Share-based                                                 -                                -       -            -    
  (33)           -      (33)
  compensation awards            -        -         -                (33)          - 
Dividends                                                   -                                -       -            -    
(3,237)        (93)          
                             -        -         -             (3,237)          -                                     
                     (3,330) 
Other                          -        -         -         -        21          -           -       -            -    
    21        (14)         7 
Net income                     -        -         -         -     6,343          -           -       -            -    
 6,343         101     6,444 
Other components of                                                                                               -    
                            
  equity                                                                             


           Net change in
       unrealized gains                                                                                             -   
                                
            (losses) on                                                    
      available-for-sale                            -                           (18)           -       -         (18)   
      (18)         (2)      (20)
      securities                 -        -                   -         -
    Foreign currency
    translation                                                                    -          91       -           91   
        91         (1)        90
    adjustments                  -        -         -         -         -  
    Net change in cash                                                             -           -     431          431   
       431           -       431
    flow hedges                  -        -         -         -         -  

Balance at October 31,   $                                      $                             71 $   160 $        490 $ 


39,702 $     1,761 $        
2011                         4,813 $ 14,010 $       - $       8    20,381 $      259 $                                   
                      41,463 
Changes in equity                                                                                                        
                             
Issues of share                                             -                                -       -            -    
   313           -       313
  capital                        -      313         -                   -          - 
Sales of treasury                                       5,186                                -       -            -    
 5,284           -     5,284
  shares                         -        -        98                   -          - 
Purchases of treasury                                                                        -       -            -    
(5,261)           -         
  shares                         -        -      (97)   (5,164)         -          -                                     
                     (5,261) 
Share-based                                                 -                                -       -            -    
   (1)           -       (1)
  compensation awards            -        -         -                 (1)          - 
Dividends                                                   -                                -       -            -    
(3,549)        (92)          
                             -        -         -             (3,549)          -                                     
                     (3,641) 
Other                          -        -         -         -       (3)          -           -       -            -    
   (3)         (6)       (9) 
Net income                     -        -         -         -     7,442          -           -       -            -    
 7,442          97     7,539 
Other components of                                                                                               -    
                            
  equity                                                                             


           Net change in
       unrealized gains                                                                                             -   
                                
            (losses) on                                                    
      available-for-sale                            -                            160           -       -          160   
       160           1       161
      securities                 -        -                   -         -
    Foreign currency
    translation                                                                    -         124       -          124   
       124           -       124
    adjustments                  -        -         -         -         -  
    Net change in cash                                                             -           -      56           56   
        56           -        56
    flow hedges                  -        -         -         -         -  

Balance at October 31,   $                                      $                            195 $   216 $        830 $ 


44,267 $     1,761 $        
2012 (1)                     4,813 $ 14,323 $       1 $      30    24,270 $      419 $                                   
                      46,028 
(CAUTION REGARDING FORWARD-LOOKING STATEMENTS ) 
From time to time, we make written or oral forward-looking statements within 
the meaning of certain securities laws, including the "safe harbour" 
provisions of the United States Private Securities Litigation Reform Act of 
1995 and any applicable Canadian securities legislation. We may make 
forward-looking statements in this Q4 2012 Earnings Release, in other filings 
with Canadian regulators or the United Stated Securitized and Exchange 
Commission (SEC), in reports to shareholders and in other communications. 
Forward-looking statements in this document include, but are not limited to, 
statements relating to our financial performance objectives, vision and 
strategic goals, the economic, market and regulatory review and outlook for 
Canadian, U.S., European and global economies, the outlook and priorities for 
each of our business segments, and the risk environment including our 
liquidity and funding management. The forward-looking information contained in 
this document is presented for the purpose of assisting the holders of our 
securities and financial analysts in understanding our financial position and 
results of operations as at and for the periods ended on the dates presented 
and our financial performance objectives, vision, strategic goals and 
financial performance objectives, and may not be appropriate for other 
purposes. Forward-looking statements are typically identified by words such as 
"believe", "expect", "foresee", "forecast", "anticipate", "intend", 
"estimate", "goal", "plan" and "project" and similar expressions of future or 
conditional verbs such as "will", "may", "should", "could" or "would". 
By their very nature, forward-looking statements require us to make 
assumptions and are subject to inherent risks and uncertainties, which give 
rise to the possibility that our predictions, forecasts, projections, 
expectations or conclusions will not prove to be accurate, that our 
assumptions may not be correct and that our financial performance objectives, 
vision and strategic goals will not be achieved. We caution readers not to 
place undue reliance on these statements as a number of risk factors could 
cause our actual results to differ materially from the expectations expressed 
in such forward-looking statements. These factors - many of which are beyond 
our control and the effects of which can be difficult to predict - include: 
credit, market, liquidity and funding, operational, legal and regulatory 
compliance, insurance, reputation and strategic risks and other risks 
discussed in the Risk management and Overview of other risks sections of our 
2012 Annual Report; the impact of changes in laws and regulations, including 
relating to the Dodd-Frank Wall Street Reform and Consumer Protection Act and 
the regulations issued and to be issued thereunder, the Basel Committee on 
Banking Supervision's global standards for capital and liquidity reform, 
over-the-counter derivatives reform, the payments system in Canada, consumer 
protection measures and regulatory reforms in the U.K. and Europe; general 
business and economic market conditions in Canada, the United States and 
certain other countries in which we operate, including the effects of the 
European sovereign debt crisis, and the high levels of Canadian household 
debt; cybersecurity; the effects of changes in government fiscal, monetary and 
other policies; the effects of competition in the markets in which we operate; 
our ability to attract and retain employees; the accuracy and completeness of 
information concerning our clients and counterparties; judicial or regulatory 
judgments and legal proceedings; development and integration of our 
distribution networks; and the impact of environmental issues. 
We caution that the foregoing list of risk factors is not exhaustive and other 
factors could also adversely affect our results. When relying on our 
forward-looking statements to make decisions with respect to us, investors and 
others should carefully consider the foregoing factors and other uncertainties 
and potential events. Material economic assumptions underlying the 
forward-looking statements contained in this Q4 2012 Earnings Release are set 
out in the Overview and Outlook section and for each business segment under 
the heading Outlook and priorities in our 2012 Annual Report. Except as 
required by law, we do not undertake to update any forward-looking statement, 
whether written or oral, that may be made from time to time by us or on our 
behalf. 
Additional information about these and other factors can be found in the Risk 
management and Overview of other risks sections of our 2012 Annual Report. 
Information contained in or otherwise accessible through the websites 
mentioned does not form part of this earnings release. All references in this 
earnings release to websites are inactive textual references and are for your 
information only. 
ACCESS TO QUARTERLY RESULTS MATERIALS 
Interested investors, the media and others may review this Q4 2012 Earnings 
Release, quarterly results slides, Supplementary Financial Information and our 
2012 Annual Report, 2012 Annual Information Form (AIF) and Annual Report on 
Form 40-F (Form 40-F) on our website at rbc.com/investorrelations. 
Shareholders may request a hard copy of our 2012 Annual Report, AIF and Form 
40-F free of charge by contacting Investor Relations at (416) 955-7802. Our 
Form 40-F will be filed with the SEC. 
Quarterly conference call and webcast presentation 
Our conference call is scheduled for Thursday, November 29, 2012 at 8:00 a.m. 
(EDT) and will feature a presentation about our fourth quarter and 2012 
results by RBC executives. It will be followed by a question and answer period 
with analysts. 
Interested parties can access the call live on a listen-only basis at: 
www.rbc.com/investorrelations/ir_events_presentations.html or by telephone 
(416-340-2217 or 1-866-696-5910, passcode 1853457#). Please call between 7:50 
a.m. and 7:55 a.m. (EDT). 
Management's comments on results will be posted on our website shortly 
following the call. Also, a recording will be available by 5:00 p.m. (EDT) on 
November 29, 2012 until February 27, 2013 at: 
www.rbc.com/investorrelations/ir_quarterly.html or by telephone (905-694-9451 
or 1-800-408-3053, passcode 3629188#). 
ABOUT RBC 
Royal Bank of Canada (RY on TSX and NYSE) and its subsidiaries operate under 
the master brand name RBC. We are Canada's largest bank as measured by assets 
and market capitalization, and among the largest banks in the world, based on 
market capitalization. We are one of North America's leading diversified 
financial services companies, and provide personal and commercial banking, 
wealth management services, insurance, investor services and wholesale banking 
on a global basis. We employ approximately 80,000 full- and part-time 
employees who serve more than 15 million personal, business, public sector and 
institutional clients through offices in Canada, the U.S. and 49 other 
countries. For more information, please visit rbc.com. 
Trademarks used in this earnings release include the LION & GLOBE Symbol, 
ROYAL BANK OF CANADA, RBC and RBC INVESTOR SERVICES which are trademarks of 
Royal Bank of Canada used by Royal Bank of Canada and/or by its subsidiaries 
under license. All other trademarks mentioned in this report, which are not 
the property of Royal Bank of Canada, are owned by their respective holders. 
Media Relations Contact Tanis Feasby, Director, Financial 
Communications,tanis.feasby@rbc.com, 416-955-5172 or 1-888-880-2173 
(toll-free outside Toronto) Rina Cortese, Media 
Relations,rina.cortese@rbc.com, 416-974-5506 or 1-888-880-2173 (toll-free 
outside Toronto) 
Investor Relations Contacts Amy Cairncross, VP & Head, Investor 
Relations,amy.cairncross@rbc.com, 416-955-7803 Karen McCarthy, Director, 
Investor Relations,karen.mccarthy@rbc.com, 416-955-7809 Lynda Gauthier, 
Director, Investor Relations,lynda.gauthier@rbc.com, 416-955-7808 Robert 
Colangelo, Associate Director, Investor Relations,robert.colangelo@rbc.com, 
416-955-2049 
SOURCE: RBC 
To view this news release in HTML formatting, please use the following URL: 
http://www.newswire.ca/en/releases/archive/November2012/29/c4555.html 
CO: RRYIR
ST: Ontario
NI: FIN ERN CONF  
-0- Nov/29/2012 11:00 GMT
 
 
Press spacebar to pause and continue. Press esc to stop.