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1、Investor PresentationBMO Financial GroupFor the Quarter Ended October 31,2024December 5,2024Q4 24Strategic Highlights December 5,20242Bank of Montreals public communications often include written or oral forward-looking statements.Statements of this type are included in this document and may be incl

2、uded in other filings with Canadian securities regulators or the U.S.Securities and Exchange Commission,or in other communications.All such statements are made pursuant to the“safe harbor”provisions of,and are intended to be forward-looking statements under,the United States Private Securities Litig

3、ation Reform Act of 1995 and any applicable Canadian securities legislation.Forward-looking statements in this document may include,but are not limited to:statements with respect to our objectives and priorities for fiscal 2025 and beyond;our strategies or future actions;our targets and commitments(

4、including with respect to net zero emissions);expectations for our financial condition,capital position,the regulatory environment in which we operate,the results of,or outlook for,our operations or the Canadian,U.S.and international economies;and include statements made by our management.Forward-lo

5、oking statements are typically identified by words such as“will”,“would”,“should”,“believe”,“expect”,“anticipate”,“project”,“intend”,“estimate”,“plan”,“goal”,“commit”,“target”,“may”,“might”,“schedule”,“forecast”,“outlook”,“timeline”,“suggest”,“seek”and“could”or negative or grammatical variations the

6、reof.By their nature,forward-looking statements require us to make assumptions and are subject to inherent risks and uncertainties,both general and specific in nature.There is significant risk that predictions,forecasts,conclusions or projections will not prove to be accurate,that our assumptions ma

7、y not be correct,and that actual results may differ materially from such predictions,forecasts,conclusions or projections.We caution readers of this document not to place undue reliance on our forward-looking statements,as a number of factors many of which are beyond our control and the effects of w

8、hich can be difficult to predict could cause actual future results,conditions,actions or events to differ materially from the targets,expectations,estimates or intentions expressed in the forward-looking statements.The future outcomes that relate to forward-looking statements may be influenced by ma

9、ny factors,including,but not limited to:general economic and market conditions in the countries in which we operate,including labour challenges and changes in foreign exchange and interest rates;changes to our credit ratings;cyber and information security,including the threat of data breaches,hackin

10、g,identity theft and corporate espionage,as well as the possibility of denial of service resulting from efforts targeted at causing system failure and service disruption;technology resilience;innovation and competition;failure of third parties to comply with their obligations to us;political conditi

11、ons,including changes relating to,or affecting,economic or trade matters;disruptions of global supply chains;environmental and social risk,including climate change;the Canadian housing market and consumer leverage;inflationary pressures;changes in laws,including tax legislation and interpretation,or

12、 in supervisory expectations or requirements,including capital,interest rate and liquidity requirements and guidance,and the effect of such changes on funding costs and capital requirements;changes in monetary,fiscal or economic policy;weak,volatile or illiquid capital or credit markets;the level of

13、 competition in the geographic and business areas in which we operate;exposure to,and the resolution of,significant litigation or regulatory matters,the appeal of favourable outcomes and our ability to successfully appeal adverse outcomes of such matters and the timing,determination and recovery of

14、amounts related to such matters;the accuracy and completeness of the information we obtain with respect to our customers and counterparties;our ability to execute our strategic plans,complete proposed acquisitions or dispositions and integrate acquisitions,including obtaining regulatory approvals,an

15、d realize any anticipated benefits from such plans and transactions;critical accounting estimates and judgments,and the effects of changes in accounting standards,rules and interpretations on these estimates;operational and infrastructure risks,including with respect to reliance on third parties;glo

16、bal capital markets activities;the emergence or continuation of widespread health emergencies or pandemics,and their impact on local,national or international economies,as well as their heightening of certain risks that may affect our future results;the possible effects on our business of war or ter

17、rorist activities;natural disasters,such as earthquakes or flooding,and disruptions to public infrastructure,such as transportation,communications,power or water supply;and our ability to anticipate and effectively manage risks arising from all of the foregoing factors.We caution that the foregoing

18、list is not exhaustive of all possible factors.Other factors and risks could adversely affect our results.For more information,please refer to the discussion in the Risks That May Affect Future Results section,and the sections related to credit and counterparty,market,insurance,liquidity and funding

19、,operational non-financial,legal and regulatory,strategic,environmental and social,and reputation risk in the Enterprise-Wide Risk Management section of BMOs 2024 Annual Managements Discussion and Analysis(“2024 Annual MD&A”),as updated by quarterly reports,all of which outline certain key factors a

20、nd risks that may affect our future results.Investors and others should carefully consider these factors and risks,as well as other uncertainties and potential events,and the inherent uncertainty of forward-looking statements.We do not undertake to update any forward-looking statements,whether writt

21、en or oral,that may be made from time to time by the organization or on its behalf,except as required by law.The forward-looking information contained in this document is presented for the purpose of assisting shareholders and analysts in understanding our financial position as at and for the period

22、s ended on the dates presented,as well as our strategic priorities and objectives,and may not be appropriate for other purposes.Material economic assumptions underlying the forward-looking statements contained in this document include those set out in the Economic Developments and Outlook section of

23、 BMOs 2024 Annual MD&A,as well as in the Allowance for Credit Losses section of BMOs 2024 Annual MD&A,as updated by quarterly reports.Assumptions about the performance of the Canadian and U.S.economies,as well as overall market conditions and their combined effect on our business,are material factor

24、s we consider when determining our strategic priorities,objectives and expectations for our business.In determining our expectations for economic growth,we primarily consider historical economic data,past relationships between economic and financial variables,changes in government policies,and the r

25、isks to the domestic and global economy.Caution Regarding Forward-Looking StatementsDarryl WhiteChief Executive OfficerQ4 24Strategic Highlights December 5,20244Strong customer acquisition,customer deposits up$61B or 9%Y/Y U.S.Segment delivered consistent adjusted PPPT1,2 performance,over US$4.1B in

26、 F2024(reported and adjusted)Efficiency Ratio58.6%59.5%ROE9.8%9.7%ROTCE313.1%13.5%CET1413.6%PPPT2Y/Y Growth5%64%EPS$9.68$9.51 Net Income$7.4B$7.3BF2024 HighlightsContinued strong capital positionDividend increase of$0.04,up 5%Y/YAnnounced intention to repurchase common shares A clear path to rebuild

27、ing ROERecord adjusted PPPT1,2of$13.4B(reported$13.3B)Delivered on commitment to positive operating leverageF2024Adjusted1ReportedAdjusted1ReportedAdjusted2Reported2Adjusted1ReportedAdjusted1ReportedAdjusted1ReportedGood operating performancePositive operating leverage and PPPT2growth across all ope

28、rating groupsAdjusted1ReportedOperating Leverage1.6%19.8%Adjusted1Reported1 Adjusted results and measures are non-GAAP.Refer to slide 38 for more information and slide 39 for adjustments to reported results2 Reported and adjusted pre-provision pre-tax earnings(PPPT)are non-GAAP measures.Refer to sli

29、de 38 for more information and slide 41 for calculation of PPPT3 Reported and adjusted return on tangible common equity(ROTCE)are non-GAAP measures.Refer to slide 38 and Non-GAAP and Other Financial Measures section of BMOs Annual 2024 MD&A for more information4 Common Equity Tier 1(CET1)Ratio is di

30、sclosed in accordance with the Capital Adequacy Requirements(CAR)Guideline,as set out by the Office of the Superintendent of Financial Institutions(OSFI)Strategic Highlights December 5,20245Canadian Personal&Commercial BankingBMO Wealth ManagementBMO Capital MarketsU.S.Personal&Commercial Banking7,5

31、37 8,231 3,022 3,208 10,55911,439F2023F2024Reported Revenue($MM)CommercialPersonal&BusinessBankingDiversified businesses delivering resilient performance2,607 2,769 4,193 4,416 6,8007,185F2023F2024Reported Revenue(teb2,US$MM)CommercialPersonal&BusinessBankingPPPT1Y/Y Growth4%3%4,930 5,279 481 367 5,

32、4115,646F2023F2024Reported Revenue($MM)InsuranceWealth and AssetManagement3,833 3,898 2,559 2,618 6,3926,516F2023F2024Reported Revenue(teb2,$MM)Investment andCorporate BankingGlobal MarketsRecord Y/Y growth in core retail customer acquisition;gained market share in key categories:deposits,mortgages

33、and credit cards Deepened client relationships through Online Banking for Business platform,contributing to strong deposit growthStrong customer loyalty in Personal and Business Banking(P&BB)and Commercial Banking,as measured by Net Promoter Score3Doubled referrals from the commercial bank to P&BB a

34、nd Wealth Management partners(Q124 to Q424)Advanced electronic trading execution capabilities,resulting in the capture of a significant market share of U.S.treasuries flowsRecognized as Best Metals&Mining Investment Bank of the Year by Global Finance magazine for the 15thconsecutive yearRanked#1 in

35、satisfaction with the wealth management digital experience among Full-Service investors in the J.D.Power42024 Canada Wealth Management Digital Experience StudyMutual fund and ETF performance recognized with multiple awards PPPT1Y/Y Growth11%10%Adjusted1Reported1Adjusted1Reported1PPPT1Y/Y Growth10%10

36、%Adjusted1Reported1PPPT1Y/Y Growth7%6%Adjusted1Reported1Certain comparative figures have been reclassified to conform with the current years presentation and for changes in accounting policy1 Reported and adjusted pre-provision pre-tax earnings(PPPT)are non-GAAP measures.Refer to slide 38 for more i

37、nformation and slide 41 for calculation of PPPT2 Operating group revenue presented on a taxable equivalent basis(teb)basis.Teb adjustments in U.S.P&C(US$25MM in both F2024 and F2023)and BMO Capital Markets(F2024$22MM;F2023$321MM)are offset in Corporate Services3 Net Promoter Score(NPS):The percentag

38、e of customers surveyed who would recommend BMO to a friend or colleague4 Strategic Highlights December 5,2024610%15%F2024ROEU.S.SegmentImprovementNormalizedPCL1Operating Performance1CapitalOptimization1Medium-Term ROE2A clear path to rebuilding Return on EquityMedium Term Financial Objectives2EPS G

39、rowth7%to 10%per yearReturn on Equity15%or moreReturn on Tangible Common Equity18%or moreOperating Leverage2%or moreCapitalCapital ratios that exceed regulatory requirementsOpportunitiesCapitalize on revenue synergies and U.S.scaleGrow and deepen One Client relationshipsDigital transformation:Scalin

40、g Cloud,AI,and Data capabilitiesLeverage expanded capabilities and talentStrong FoundationStrong capital and liquidity positionCore customer acquisition,growth in primary customers Track record of expense management&positive operating leverageCompetitive market positions&advantaged North American pl

41、atformThis slide contains forward-looking statements.Refer to the Caution Regarding Forward-Looking Statements on slide 21 Excludes impact from U.S.Segment Improvement2 We have established medium-term financial objectives for certain important performance measures.Medium-term is generally defined as

42、 three to five years,and performance is measured on an adjusted basis.These objectives serve as guideposts and assume a normal business operating environment and credit cycle.Refer to the Financial Objectives and Value Measures section of BMOs 2024 Annual MD&A for more informationStrategic Highlight

43、s December 5,20247Announced partnership with All Nations Trust Company(ANTCO),a 100%Indigenous-owned financial institution,to bring greater access to capital to Indigenous entrepreneurs and communities in British ColumbiaNamed to Corporate Knights ranking of Canadas Best 50 Corporate Citizens for th

44、e 23rdconsecutive yearRecognized as one of the Worlds Most Ethical Companies for the seventh consecutive year by EthisphereNamed one of Canadas Most AdmiredTMCorporate Cultures by Waterstone Human Capital Opened BMOs first net-zero energy branch in Kitchener,Ontario,featuring the highest standards i

45、n energy efficient construction methods as well as low-carbon designRanked among the most sustainable companies on the Dow Jones Sustainability Indices(DJSI),a benchmark for investors who recognize that sustainable business practices are critical to generating long-term shareholder value Delivered$1

46、2.9 billion of our more than US$40 billion BMO EMpower 2.0 five-year commitment to help underserved communities,businesses and families in the U.S.make real financial progressReceived an“Outstanding”rating for Community Reinvestment Act(CRA)performance(January 2020 to December 2022)Over the past fiv

47、e years,BMO employees donated$130 million to thousands of non-profit organizations across North America including United WayBeing our clients lead partner in the transition to a net zero world,delivering on our commitments to sustainable financing and responsible investing Providing access to capita

48、l and valuable financial advice investing in businesses,supporting home ownership and strengthening the communities we serve,while driving innovation that makes banking easierFor a Thriving EconomyFor a Sustainable FutureFor an Inclusive SocietyThis slide contains forward-looking statements.Refer to

49、 the Caution Regarding Forward-Looking Statements on slide 2Our PurposeCommitting to zero barriers to inclusion by providing equitable access to opportunities and enabling the growth of our colleagues,our customers and the communities we serve,in support of our collective successFinancial ResultsFor

50、 the Quarter Ended October 31,2024Tayfun TuzunChief Financial OfficerQ4 24Financial Results December 5,202491,710 1,292 1,866 1,865 2,304 2,243 1,893 2,033 1,981 1,542 Q423Q124Q224Q324Q424Reported Net Income($MM)Adjusted Net Income($MM)Q4 F2024-Financial HighlightsGood PPPT1growth and positive opera

51、ting leverage offset by higher PCLAdjusted2EPS$1.90,down$1.03 Y/Y (reported$2.94,up$0.75)Adjusted2net income down 31%Y/Y (reported up 35%)Q424 adjusted2net income excluded$870MM reversal of the fiscal 2022 legal provision,$27MM integration costs and$92MM amortization of acquisition-related intangibl

52、e assetsAdjusted2PPPT1up 4%Y/Y(reported up 72%)Adjusted2revenue flat Y/Y(reported up 8%)with growth in Wealth and Asset Management and Canadian P&C,offset by Insurance,BMO Capital Markets,U.S.P&C and Corporate ServicesAdjusted2expenses down 2%Y/Y (reported down 22%)Adjusted2operating leverage 2.4%(r

53、eported 29.8%)Total provision for credit losses$1,523MM PCL on impaired loans$1,107MM or 66 bps3;provision on performing loans$416MM U.S.segment contributed 30%to adjusted2earnings in the quarter(55%to reported)Net Income2 Trends1 Reported and adjusted pre-provision pre-tax earnings(PPPT)are non-GAA

54、P measures.Refer to slide 38 for more information and slide 41 for calculation of PPPT2 Adjusted results and measures are non-GAAP.Refer to slide 38 and 43 for more information and slide 39 for adjustments to reported results3 Impaired PCL ratio is calculated as annualized impaired provision for cre

55、dit losses over average net loans and acceptances,expressed in basis points4 Reported and adjusted return on tangible common equity(ROTCE)are non-GAAP measures.Refer to slide 38 and Non-GAAP and Other Financial Measures section of BMOs Annual 2024 MD&A for more information5 Common Equity Tier 1(CET1

56、)Ratio is disclosed in accordance with the Capital Adequacy Requirements(CAR)Guideline,as set out by the Office of the Superintendent of Financial Institutions(OSFI)ReportedAdjusted2($MM)Q4 24Y/YQ/QQ4 24Y/YQ/QRevenue8,9578%9%8,368-%2%Expenses4,427(22)%(9)%4,876(2)%4%PPPT14,53072%35%3,4924%-%Total PC

57、L1,523$1,077$6171,523$1,077$617Net Income2,30435%24%1,542(31)%(22)%U.S.Segment Net Income(US$)930100+%100+%342(54)%(34)%Diluted EPS($)2.94$0.75$0.461.90$(1.03)$(0.74)Efficiency Ratio(%)49.4(1,890)bps(970)bps58.3(140)bps100 bpsROE(%)11.4 210 bps140 bps7.4(500)bps(320)bpsROTCE4(%)15.6210 bps170 bps9.7

58、(740)bps(450)bpsCET1 Ratio5(%)13.6110 bps60 bps13.6110 bps60 bpsFinancial Results December 5,202410Average gross loans and acceptances up 2%Y/Y,or 5%excluding the impact of Indirect Retail Auto wind-down and RV loan portfolio sale2,due to:3%growth in Business&Government loans driven by growth in Can

59、adian P&C,BMO Capital Markets 7%growth in Consumer loans,primarily driven by mortgage growth in P&C businessesAverage customer deposits1up 9%Y/Y and 2%Q/Q with higher balances across all operating groups366.5381.1377.5290.5288.2293.9Q423Q324Q424657.0669.3671.3Business&GovernmentConsumerAverage Gross

60、 Loans and Acceptances($B)Average Customer Deposits1($B)300.3322.9326.6199.3208.1214.161.362.462.784.194.999.6Q423Q324Q424645.0688.3702.9P&BBCommercialBMO Wealth ManagementBMO Capital MarketsBalance SheetDiversified loan and deposit portfolio1 Customer deposits are operating and savings deposits,inc

61、luding term investment certificates and retail structured deposits,primarily sourced through our Retail,Commercial,Wealth Management and Corporate Banking businesses2 Recreational Vehicle(RV)loan portfolio sale in Q124 reduced average balances by$9.8B compared with Q423Financial Results December 5,2

62、02411Canadian P&C NIM(%)0.010.04Q324Loan MarginsMix/OtherQ4243.733.78U.S.P&C NIM(%)Net Interest Margin10.01Q324Deposit MarginsMix/OtherQ4242.77-0.042.741 Net interest margin(NIM)is the ratio of net interest income(NII)to average earning assets,expressed as a percentage or in basis points.Refer to th

63、e Glossary of Financial Terms section of the 2024 Annual MD&A for further information2 Adjusted results and measures are non-GAAP.See slide 38 for more information and slide 39 for adjustments to reported results4,742 4,607 4,515 4,726 4,904 213 128 14 82(55)589 1.891.831.811.822.131.901.841.821.831

64、.900.40.60.811.21.41.61.82-800-300 200 700 1,200 1,700 2,200 2,700 3,200 3,700 4,200 4,700 5,200 5,700 6,200 6,700 7,200Q423Q124Q224Q324Q424NII Adjusting Item($MM)Trading NII($MM)Adjusted NII ex.trading($MM)Reported NIM ex.trading&Insurance(%)Adjusted NIM ex.trading&Insurance(%)222(14)(14)(14)(14)NI

65、I($MM)and NIM ex.trading and Insurance(%)2NII Adjusting2 Items($MM)Adjusted2 NII ex.trading and insurance($MM)Trading NII($MM)Reported NIM ex.trading and insurance(%)Adjusted2 NIM ex.trading and insurance(%)Reported net interest income(NII)up 10%Y/Y primarily due to the reversal of accrued interest

66、on the fiscal 2022 legal provisionAdjusted2NII ex.trading and Insurance up 3%Y/Y with volume growth partially offset by lower NII in Corporate Services;up 4%Q/QTotal bank NIM ex.trading and insurance increased 7 bps Q/Q due to:Higher NII from treasury activitiesHigher margin in Investment&Corporate

67、BankingLower low-yielding assets in both BMO Capital Markets and Corporate ServicesFinancial Results December 5,20241268.3 70.2 60.7 59.1 49.4 59.7 60.9 58.0 57.3 58.3 Adjusted1expenses down 2%Y/Y(reported down 22%)Primarily driven by Bank of the West cost synergies and efficiency savingsCurrent qua

68、rter includes proportionate share of Visas litigation escrow related to their Class B sharesPositive adjusted1operating leverage 2.4%(reported 29.8%)Adjusted1efficiency ratio 58.3%(reported 49.4%)improved 140 bps Y/Y(reported improved 1,890 bps)F2024 adjusted1expenses up 1%Y/Y (reported down 8%)Effi

69、ciency Ratio(%)TrendAdjusted1Reported4,976 4,783 4,633 4,697 4,876 Q423Q124Q224Q324Q4245,6795,3894,8444,8394,427ReportedQ423Q124Q224Q324Q424(2%)Adjusted1(22%)ReportedAdjusted1Q4 F2024 Non-Interest ExpenseDelivered against expense commitments,driving positive operating leverage1 Adjusted results and

70、measures are non-GAAP.Refer to slide 38 and 39 for more information and slide 42 for adjustments to reported resultsF2023F202421,13419,49918,71318,989Non-Interest Expense Trend1%Adjusted1(8%)ReportedFinancial Results December 5,202413Q424 CET1 ratio1of 13.6%,up from Q324 primarily reflecting the imp

71、acts of the reversal of the fiscal 2022 legal provision2The impact of FX movements on the CET1 Ratio largely offsetQ324Reversal of legal provision2Internal capital generationSourcecurrencyRWAOtherQ424+48 bps13.0%+3 bpsStrong Q424 CET1 Ratio1of 13.6%13.6%RWA decreased primarily reflecting:Lower opera

72、tional risk mainly from the reversal of the fiscal 2022 legal provision Lower credit risk mainly from methodology updates+3 bpsCommon Equity Tier 1(CET1)Ratio1+5 bpsQ324Operational RiskCredit RiskMarket RiskFXQ4241.8(6.8)428.9420.8(2.3)(0.6)Risk Weighted Assets(RWA)($B)Basis points/Numbers may not a

73、dd due to rounding 1 Common Equity Tier 1(CET1)Ratio is disclosed in accordance with the Capital Adequacy Requirements(CAR)Guideline,as set out by the Office of the Superintendent of Financial Institutions(OSFI)2 The reversal of the fiscal 2022 legal provision had impacts from both internal capital

74、generation and source currency RWAFinancial Results December 5,202414Net Income1 and NIM TrendsAdjusted1net income down 17%Y/Y (reported down 18%)AdjustedPPPT2up 6%Y/Y(reported up 5%)Revenue up 5%Y/YNII up 10%Y/Y with solid balance growthNIM flat Y/Y and down 3 bps Q/QNIR down 10%Y/Y due to lower BA

75、 fees3and card-related revenue Adjusted1expenses up 4%Y/Y(reported up 5%)driven by higher employee-related,operating and technology costsAdjusted1 operating leverage 1.1%(reported 0.1%)Total provision for credit losses$578MM (impaired provision of$440MM and performing provision of$138MM)Average loan

76、s up 6%Y/Y and 2%Q/QAverage deposits up 10%Y/Y and 2%Q/QCanadian Personal&Commercial BankingPositive operating leverage and continued balance sheet growth922 921 872 914 750 926 925 877 920 765 2.742.772.802.772.74Q423Q124Q224Q324Q424Reported Net Income($MM)Adjusted Net Income($MM)NIM(%)1 Adjusted r

77、esults and measures are non-GAAP.Refer to slide 38 and 43 for more information and slide 40 for adjustments to reported results2 Reported and adjusted pre-provision pre-tax earnings(PPPT)are non-GAAP measures.Refer to slide 38 for more information and slide 41 for calculation of PPPT3 The impact of

78、the transition of bankers acceptances(BA)balances to Commercial Banking loans resulted in lower NIR offset in NII,with a modest reduction to NIM ReportedAdjusted1($MM)Q4 24Y/YQ/QQ4 24Y/YQ/QNet interest income2,30410%2%2,30410%2%Non-interest revenue630(10)%(4)%630(10)%(4)%Revenue2,9345%1%2,9345%1%Exp

79、enses1,3195%5%1,2994%4%PPPT21,6155%(2)%1,6356%(1)%Total PCL(recovery)578$313$190578$313$190Net Income750(18)%(18)%765(17)%(17)%Efficiency Ratio(%)45.00 bps170 bps44.3(50)bps120 bpsROE(%)18.1(800)bps(420)bps18.5(780)bps(390)bpsFinancial Results December 5,202415433419398344191490475449395242Reported

80、Net Income($MM)Adjusted Net Income($MM)3.86 3.863.763.733.78Net Income1and NIM3TrendsAmounts on this slide are in U.S.dollars:Adjusted1net income down 51%Y/Y (reported down 56%)Adjusted PPPT2up 2%Y/Y(reported up 4%)Revenue3down 1%Y/YNII3down 1%Y/Y due to lower net interest marginsNIM3down 8 bps Y/Y;

81、up 5 bps Q/QNIR up 1%Y/YAdjusted1expenses down 3%Y/Y(reported down 3%),primarily due to our focus on operational efficienciesAdjusted1operating leverage 2.2%(reported 2.8%)Total provision for credit losses$509MM(impaired provision of$320MM and performing provision of$189MM)Average loans&acceptances

82、down 2%Y/Y (up 3%excluding sale of RV loan portfolio4)and down 1%Q/QAverage deposits up 6%Y/Y and 2%Q/QQ423Q124Q224Q324Q424U.S.Personal&Commercial BankingPositive operating leverage offset by higher PCL1 Adjusted results and measures are non-GAAP.Refer to slide 38 and 43 for more information and sli

83、de 40 for adjustments to reported results2 Reported and adjusted pre-provision pre-tax earnings(PPPT)are non-GAAP measures.Refer to slide 38 for more information and slide 41 for calculation of PPPT3 Operating group revenue,NII,income taxes and net interest margin are stated on a taxable equivalent

84、basis(teb).The teb adjustment(Q424 US$6MM;Q324 US$6MM;Q423 US$7MM)is offset in Corporate Services.Efficiency ratio and operating leverage is calculated based on revenue(teb)4 Recreational Vehicle(RV)loan portfolio sale in Q124 reduced average balances by US$7.2B compared with Q423ReportedAdjusted1(U

85、S$MM)Q4 24Y/YQ/QQ4 24Y/YQ/QNet interest income(teb)31,506(1)%0%1,506(1)%0%Non-interest revenue3041%5%3041%5%Revenue(teb)31,810(1)%1%1,810(1)%1%Expenses1,098(3)%1%1,030(3)%1%PPPT27124%2%7802%1%Total PCL(recovery)509$380$223509$380$223Net Income191(56)%(44)%242(51)%(39)%Net Income(CDE$)256(57)%(45)%32

86、6(51)%(40)%Efficiency Ratio(%)60.7(170)bps(10)bps56.9(130)bps(10)bpsROE(%)2.9(420)bps(260)bps3.8(430)bps(250)bpsFinancial Results December 5,202416Net Income1TrendsReported AdjustedReported AdjustedReported AdjustedReported AdjustedReported AdjustedQ423Q124Q224Q324Q4242022031871882522543003022732751

87、491495353686862625353351352240241320322362364326328Wealth and Asset Management($MM)Insurance($MM)ReportedAdjusted1($MM)Q4 24Y/Y Q/QQ4 24Y/Y Q/Q Wealth&Asset Management 1,39912%4%1,39912%4%Insurance87(60)%(10)%87(60)%(10)%Revenue1,4861%3%1,4861%3%Expenses1,0243%6%1,0223%6%PPPT2462(3)%(2)%464(2)%(2)%T

88、otal PCL(recovery)34$33$4334$33$43Net Income326(7)%(10)%328(7)%(10)%Wealth&Asset Management NI27335%(9)%27535%(9)%Insurance NI53(64)%(14)%53(64)%(14)%AUM($B)42327%3%42327%3%AUA($B)361(13)%1%361(13)%1%Efficiency Ratio(%)68.9120 bps160 bps68.8130 bps170 bpsROE(%)26.6(220)bps(310)bps26.8(210)bps(300)bp

89、sBMO Wealth ManagementStrong growth in client assetsAdjusted1 and reported net income down 7%Y/YRevenue up 1%Y/YWealth and Asset Management revenue up 12%due to growth in client assets,partially offset by lower net interest incomeInsurance revenue down Y/Y due to market-related impacts of IFRS 17 tr

90、ansitionAdjusted1 and reported expenses up 3%Y/Y as higher revenue-based costs were partially offset by our focus on operational efficienciesAUM up 27%Y/Y and 3%Q/QAUA up 1%Q/QPrior period amounts have been reclassified to conform with the current period presentation,including the retrospective appl

91、ication of IFRS 171 Adjusted results and measures are non-GAAP.Refer to slide 38 and 43 for more information and slide 40 for adjustments to reported results2 Reported and adjusted pre-provision pre-tax earnings(PPPT)are non-GAAP measures.Refer to slide 38 for more information and slide 41 for calcu

92、lation of PPPTFinancial Results December 5,202417Net Income1 TrendsBMO Capital MarketsResults mainly impacted by higher PCLAdjusted1 net income down 43%Y/Y (reported down 47%)Revenue2 down 3%Y/Y:Global Markets down 1%as lower equities trading revenue was largely offset by higher interest rate tradin

93、g revenueInvestment and Corporate Banking down 6%due to lower underwriting and advisory revenue and markdowns on the held-for-sale loan portfolio,partially offset by higher corporate banking-related revenueAdjusted1 expenses up 1%Y/Y(reported up 3%)driven mainly by higher technology costs,partially

94、offset by lower performance-based compensationTotal provision for credit losses of$211MM(impaired provision of$203MM and performing provision of$8MM)472393459389251475408466394270Q423Q124Q224Q324Q424Reported Net Income($MM)Adjusted Net Income($MM)1 Adjusted results and measures are non-GAAP.Refer to

95、 slide 38 and 43 for more information and slide 40 for adjustments to reported results2 Operating group revenue and income taxes are presented on a taxable equivalent basis(teb).This teb adjustment(Q424$2MM;Q324$1MM recovery;Q423$86MM)is offset in Corporate Services.Efficiency ratio is calculated ba

96、sed on revenue(teb)3 Reported and adjusted pre-provision pre-tax earnings(PPPT)are non-GAAP measures.Refer to slide 38 for more information and slide 41 for calculation of PPPTReportedAdjusted1($MM)Q4 24Y/Y Q/Q Q4 24Y/Y Q/Q Global Markets938(1)%(6)%938(1)%(6)%I&CB662(6)%(1)%662(6)%(1)%Revenue(teb)21

97、,600(3)%(4)%1,600(3)%(4)%Expenses1,0873%4%1,0611%2%PPPT3513(14)%(17)%539(11)%(14)%Total PCL(recovery)211$210$83211$210$83Net Income251(47)%(35)%270(43)%(31)%U.S.Net Income($US)43(64)%(22)%45(62)%(21)%Efficiency Ratio(%)67.9420 bps500 bps66.3280 bps380 bpsROE(%)7.3(790)bps(410)bps7.8(750)bps(380)bpsF

98、inancial Results December 5,202418Adjusted2net loss of$147MM and reported net income of$721MM for the quarter,compared with an adjusted2net loss of$180MM and reported net loss of$626MM in the prior yearAdjusted2results in the current quarter exclude the impact of:$870MM($1,183MM pre-tax)reversal of

99、the fiscal 2022 legal provisionCorporate Services1 Effective the first quarter of 2024,balances and the associated revenue,expenses and provisions for credit losses related to our Canadian and U.S.indirect retail auto financing business,previously reported in Personal and Commercial Banking,are repo

100、rted in Corporate Services,reflecting the exit and wind-down of this business unit.Prior period amounts have been reclassified to conform with the current period presentation2 Adjusted results and measures are non-GAAP.Refer to slide 38 and 43 for more information and slide 40 for adjustments to rep

101、orted results3 Operating group revenue and income taxes are presented on a taxable equivalent basis(teb).This teb adjustment is offset in Corporate Services,and total BMO revenue and income taxes are reported on a GAAP basisReportedAdjusted2($MM)1Q4 24Y/YQ/Q Q4 24Y/Y Q/Q Revenue480 466 746(109)(137)

102、143 Group teb offset3(11)84(3)(11)84(3)Total Revenue(teb)3469 550 743(120)(53)140 Expenses(502)(1,326)(573)89(150)49 Total PCL(recovery)2(1)(3)2(1)(3)Net Income(Loss)721 1,347 991(147)33 89 Risk ReviewFor the Quarter Ended October 31,2024Piyush AgrawalChief Risk OfficerQ4 24Risk Review December 5,20

103、2420F2024 PCL ratio on impaired loans247 bps vs 19 bps in the prior yearQ424 PCL ratio on impaired loans2of 66 bpsHigher provisions primarily from BMO Capital Markets and Commercial businesses,reflecting impact of elevated interest rates on certain customer segmentsProvision for Credit Losses(PCL)By

104、 Operating Group($MM)Q4 23Q1 24Q2 24Q3 24Q4 24Personal&Business Banking 190204247274275Commercial Banking42344879165Total Canadian P&C232238295353440Personal&Business Banking 6080446973Commercial Banking83103244299362Total U.S.P&C143183288368435BMO Wealth Management236116BMO Capital Markets111161922

105、03Corporate Services1203881413PCL on Impaired Loans4084736588281,107PCL on Performing Loans381544778416Total PCL 4466277059061,523Provision for Credit Losses(PCL)1 Effective the first quarter of 2024,provisions for credit losses related to our Canadian and U.S.indirect retail auto financing business

106、,previously reported in Personal and Commercial Banking,are reported in Corporate Services.Prior period amounts have been reclassified to conform with the current period presentation2 Provision for credit losses on impaired loans over average net loans and acceptances,annualized and expressed in bas

107、is points3 Provision for credit losses on total loans over average net loans and acceptances,annualized and expressed in basis points244 284 246 310 312164 189 412 518 795408 473 658 828 1,107 Q4 23 Q1 24 Q2 24 Q3 24Q4 24PCL on Impaired Loans($MM)ConsumerBusiness and Government25294150662738445491 Q

108、323 Q423 Q124 Q224Q4 24PCL Ratio(bps)PCL on Impaired LoansTotal PCL Q4 23 Q1 24 Q2 24 Q3 24Q4 24Risk Review December 5,202421Gross Loans&AcceptancesBy Industry($B,as at Q4 24)Canada&OtherU.S.Total BMO%of TotalTotal Consumer240.956.5297.444%Total Business and Government164.1221.2385.356%Total Gross L

109、oans&Acceptances 405.0277.7682.7100%50%58%60%55%54%53%52%51%46%39%37%41%42%42%42%42%3%2%2%3%4%4%5%6%1%1%0%1%1%1%1%1%2020202120222023Q1 F24Q2 F24Q3 F24Q4 F24Investment GradeSub-Investment GradeWatchlistImpairedCommercial Real Estate,20%Financial,18%Service Industries,17%Manufacturing,10%Retail Trade,

110、9%Wholesale Trade,7%Agriculture,5%Transportation,4%Utilities,3%Other,2%Construction,2%Financing Products,2%Oil&Gas,1%Business&Government Portfolio OverviewB&G Rating DistributionB&G portfolio is well-diversified by industry and geography:57%U.S.and 43%Canada&OtherHigher watch list balances as a resu

111、lt of negative migrationMajority of portfolio remains investment grade-ratedQ424$385.3BB&G Portfolio Industry Diversification1 Other includes Communications,Forest Products,Government,Mining,and Other2 Q324 Investment Grade adjusted for roundingRisk Review December 5,20242236 54 55 56 56 62 Q419Q423

112、Q124Q224Q324Q424Coverage RatiosAllowance on Performing Loans Ratio(bps)Allowance and Provision on Performing LoansAllowance on Performing Loans(APL)and PCL on Performing Loans(PCL)By Operating Group($MM)Q3 24 APL1Q4 24 PCLQ4 24 Foreign exchange&OtherQ4 24APL1APL to Performing Loans2(bps)Personal&Bus

113、iness Banking 1,16612601,29259 Commercial Banking35912237332 Total Canadian P&C1,52513821,66550Personal&Business Banking 431344469101 Commercial Banking1,343229421,614100 Total U.S.P&C1,774263462,083100BMO Wealth Management371805512 BMO Capital Markets3308734541 Corporate Services91(11)(1)79n.m.Tota

114、l3,757416544,22762The$416 million provision for credit losses on performing loans in the current quarter was primarily driven by portfolio credit migration,as well as uncertainty in credit conditionsGood coverage on performing loans at 62 bps2n.m.-not meaningful1 Q324 and Q424 included APL on other

115、assets of$18MM and$22MM respectively,and excluded APL on securities of$7MM and$7MM respectively2 Allowance on performing loans over total gross performing loans and acceptances,expressed in basis points2.15 2.98 2.39 1.96 1.59 1.38 Q419Q423Q124Q224Q324Q424Allowance on performing loans over trailing

116、4-quarter PCLon impaired loansRisk Review December 5,202423Gross Impaired Loans and Formations Gross impaired loans(GIL)ratio3 86 bps,down 3 bps Q/Q due to write-offs in the quarterBy Industry($MM,as at Q4 24)Formations Gross Impaired LoansCA&OtherU.S.TotalCA&Other1U.S.TotalTotal Consumer39274466813

117、4211,234Service Industries761822584137601,173Manufacturing55318373155635790Commercial Real Estate135171306270463733Retail Trade91203294269239508Transportation6179140246218464Wholesale Trade420220675294369Construction(non-real estate)610310982162244Agriculture1812308485169Oil and Gas000123Other Busin

118、ess and Government23243610848156Total Business and Government4781,2741,7521,7032,9064,609Total Bank8701,3472,2182,5163,3275,843Totals may not add due to rounding1 Total Business and Government includes gross impaired loans(GIL)of$3MM from other countries2 Other Business and Government includes indus

119、try segments that are each 1%of total GIL3 Gross impaired loans over total gross loan and acceptances,expressed in basis points973 1,079 1,122 1,194 1,234 2,987 3,180 4,138 4,847 4,609 3,960 4,259 5,260 6,041 5,843 59 65 79 89 86 01,0002,0003,0004,0005,0006,0007,0008,0009,00010,000Q423Q124Q224Q324Q4

120、24Gross Impaired Loans($MM)ConsumerBusiness and GovernmentGIL Ratio64 59 48 58 78 46 35 59 65 79 89 86 2016 2017 2018 2019 2020 2021 2022 2023 Q124 Q224 Q324 Q424GIL Ratio3(bps)380 441 380 419 466 1,386 925 1,608 1,428 1,752 1,766 1,366 1,988 1,847 2,218 Q423Q124Q224Q324Q424Formations($MM)ConsumerBu

121、siness and GovernmentAppendixRisk Review December 5,202425Loan Portfolio OverviewWell diversified by geography and industryGross Loans&Acceptances($B)Impaired PCL($MM)By Industry(As at Q4 24)Canada&Other1U.S.Total BMOCanada&Other1U.S.Total BMOResidential Mortgages158.932.2191.112315Consumer Instalme

122、nt and Other Personal69.723.092.711219131Credit Cards12.31.313.613729166Total Consumer240.956.5297.426151312Commercial Real Estate41.434.075.4137790Financial19.052.871.8523082Service Industries28.236.064.234121155Manufacturing9.530.840.327118145Retail Trade17.815.533.371623Wholesale Trade7.018.525.5

123、6104110Agriculture13.55.018.5112Transportation4.79.914.6355085Utilities7.63.411.0000Construction(non-real estate)2.84.47.262834Financing Products0.07.17.1000Oil and Gas2.60.93.5000Other Business and Government210.02.812.8581169Total Business&Government164.1221.2385.3239556795Total Gross Loans&Accept

124、ances 405.0277.7682.75006071,107Totals may not add due to rounding1 Gross Loans&Acceptances Canada&Other includes approx.$12.5B from other countries and Impaired PCL Canada&Other includes approx.$51MM from other countries2 Other Business and Government includes all industry segments that are each 1%

125、of total loansGross Loans&Acceptances 59%31%10%Canada&Other Countries20%64%16%U.S.P&C/BMO Wealth Management-ConsumerP&C/BMO Wealth Management-Business&GovernmentBMO Capital MarketsGross Loans&Acceptances up 1%Q/Q or flat excluding the impact of the stronger U.S.dollarRisk Review December 5,202426Urb

126、an31%Suburban39%REIT10%Medical Office 20%Canada&Others 55%U.S.45%$75.4BOntario 26%British Columbia 12%Quebec 7%Alberta 4%Nova Scotia 3%Other Canada 3%California 11%Texas 6%New York 3%Illinois 3%Arizona 2%Colorado 2%Other U.S.18%Office CitiesGL&A($B)Sacramento,CA0.40 Los Angeles,CA0.38 Bellevue,WA0.2

127、8 Burnaby,BC0.20 Calgary,AB0.18 Top 5 Cities Urban/Suburban Office$7.7BCRE by Geography233CRE diversification by property type($B)Property TypeCanada&OtherU.S.Total Multi-Residential16.78.124.8Industrial6.56.312.8Single Family Residence6.81.88.6Office2.25.57.7Retail3.33.36.6Hospitality,Healthcare&Di

128、versified REITs0.53.43.9Mixed Use2.60.53.1Other42.85.17.9Total Commercial Real Estate41.434.075.4Total Gross Loans and Acceptances405.0277.7682.7Totals may not add due to rounding1 PCL Impaired ratio is calculated as annual CRE provision for credit losses on impaired loans as a percentage of CRE gro

129、ss loans and acceptances at the end of the period2 Based on the location of the collateral or the borrower for REITs3 Other U.S.and Other Canada includes geographies that are each less than 2%of the total CRE GL&A4 Other Property Type includes Commercial Real Estate loans for self-storage,parking,ma

130、rinas and other minor sub-categoriesCommercial Real Estate(CRE)portfolio at$75.4B represents 11%of Total Bank Gross Loans&Acceptances(GL&A)Portfolio is well-diversified across businesses,property types and geographies Well-managed with consistent and conservative underwriting standards;investment gr

131、ade(44%),watchlist(7%)and impaired(1%)Q424 impaired PCL of$90MM,primarily in U.S.Office;F2024 impaired PCL of$172MM or 23 bps1Commercial Real EstateRisk Review December 5,202427Canadian Consumer Portfolio Overview90+delinquency(%)Q423 Q124 Q224 Q324 Q424Residential Mortgages0.15%0.17%0.20%0.24%0.25%

132、Personal Lending0.37%0.44%0.43%0.43%0.47%Credit Cards0.86%0.98%1.02%1.08%1.14%Total Consumer0.25%0.29%0.31%0.34%0.36%Canadian Consumer PortfolioResidential Mortgages$158.9B66%Personal Lending$69.7B29%Credit Cards$12.3B 5%Q424$240.9BImpaired PCL1(%)Q423Q124Q224Q324Q424Residential Mortgages0.01%0.02%0

133、.02%0.03%0.03%Personal Lending0.48%0.55%0.59%0.64%0.63%Credit Cards3.41%3.23%4.70%4.41%4.46%Total Consumer0.32%0.33%0.42%0.43%0.43%Total Canadian Consumer lending portfolio balances of$240.9B in Q424,representing 35%of total loans 89%of the portfolio is secured90+day delinquency rate for the portfol

134、io at 36 bpsAverage FICO score for the portfolio remains strong at 785Unsecured consumer delinquencies continued to trend upDue to prolonged higher interest rates,inflation and unemployment1 PCL ratios are calculated as the annualized provision for credit losses on impaired loans as a percentage of

135、gross loans and acceptances at the end of the periodRisk Review December 5,202428Canadian Residential Secured Lending Portfolio OverviewAvg.LTV1 UninsuredAtlanticQuebecOntarioAlbertaBritish ColumbiaCanada OtherTotal CanadaMortgage-Portfolio55%55%59%56%52%55%57%-Origination70%71%70%73%68%72%70%HELOC-

136、Portfolio45%48%46%46%44%45%46%-Origination62%68%62%60%60%67%62%40%28%14%46%11%48%47%43%62%39%63%36%6%6%6%6%7%6%7%23%18%9%19%10%$8.1$31.7$20.9$39.9$4.6 Atlantic Quebec Ontario AlbertaBritishColumbiaCanadaOtherResidential-Secured Lending by Region($208.8B)Amortizing HELOCRevolving HELOCUninsured Mortg

137、agesInsured Mortgages$13.67%$36.317%$42.520%$116.456%HELOC RevolvingHELOC AmortizingInsured MortgagesUninsured Mortgages$208.8B1 Loan-to-value(LTV)is the ratio of outstanding mortgage balance or the HELOC authorization to the original property value indexed using Teranet data.Portfolio LTV is the co

138、mbination of each individual mortgage or Home Equity Lines of Credit(HELOC)LTV weighted by the mortgage balance or HELOC authorization.Originations represent accounts originated in the quarter$103.6Total Canadian residential-secured lending(RESL)portfolio at$208.8B,representing 31%of total loansLTV1

139、on uninsured of 52%90+day delinquency rate for RESL remains good at 24 bps;loss rates for the trailing 4-quarter period were 2 bps 3%of uninsured RESL balances are to borrowers with 70%LTVResidential mortgage portfolio of$158.9B 27%of portfolio insuredLTV1on uninsured of 57%60%of the mortgage portfo

140、lio has an effective remaining amortization of 25 years or lessHELOC portfolio of$49.9B outstanding of which 73%is amortizingCondo RESL portfolio is$30.3B with 20%insuredOwner-occupied represents 85%of total RESL portfolio Risk Review December 5,202429Canadian Mortgage Portfolio ProfilePayment Incre

141、ase at Renewal(For illustration purposes)24.939.929.916.92.212.521.810.8F25F26F27F28+FixedVariable27.152.451.727.7Payment at RenewalF25F26F27F28+Average payment Increase($)3$150$200$150-$100Average payment Increase(%)39%10%6%-4%1%2%3%31%1%1%2%18%1%2%3%21%1%1%2%10%72072072072080%LTV2%Bureau ScoresMor

142、tgage LTV2 by Bureau Scores1 Variable rate mortgages in negative amortization,with all of the contractual payments currently being applied to interest,and the portion of interest due that is not met by each payment is added to the principal2 Loan-to-value(LTV)is the ratio of outstanding mortgage bal

143、ance or the HELOC authorization to the original property value indexed using Teranet data.Portfolio LTV is the combination of each individual mortgage or Home Equity Lines of Credit(HELOC)LTV weighted by the mortgage balance or HELOC authorization3 The average payment increase reflects an assumed in

144、terest rate of 4.50%at renewal and includes regular payments and additional pre-payments made to-dateMortgage Maturity Schedule($158.9B;70%fixed rate,30%variable rate)The impact of higher interest rates on payments is primarily realized upon renewal for both fixed and variable rate mortgagesVariable

145、 rate mortgages with fixed payments are impacted through an extension of amortization until renewal.At renewal,the product reverts to the original amortization schedule,which may require higher payments$9.3B of mortgages in negative amortization1,down 69%Y/Y;representing 20%of total variable rate mo

146、rtgages,6%of the total mortgage portfolioOnly 17%or$27.1B in mortgage balances are renewing in the next 12 months,with an average FICO of 797 and LTV2of 43%;over 80%of mortgages renew after F2025$13.4B of mortgages have renewed in F2024;renewing customers experienced an average increase to their reg

147、ular payments of 15%for variable mortgages and 13%for fixed mortgagesRisk Review December 5,202430Trading-Related Net Revenue and Value-at-Risk(50)(40)(30)(20)(10)010203040August 1,2024 to October 31,2024(pre-tax basis and in millions of Canadian dollars)Daily Revenue Total Trading VaRFinancial Resu

148、lts December 5,202431F2024-Financial HighlightsGood expense management and positive operating leverage offset by higher PCLReportedAdjusted2($MM)F2024Y/YF2024Y/YRevenue32,79512%32,4123%Expenses19,499(8)%18,9891%PPPT113,29664%13,4235%Total PCL3,761$1,5833,761$2,288Net Income7,32765%7,449(15)%U.S.Segm

149、ent Net Income(US$)2,112100+%2,159(23)%Diluted EPS($)9.51$3.759.68$(2.13)Efficiency Ratio(%)59.5(1,270)bps58.6(90)bpsROE(%)9.7 350 bps9.8(280)bpsROTCE4(%)13.5510 bps13.1(320)bpsCET1 Ratio5(%)13.6110 bps13.6110 bpsAdjusted2EPS$9.68,down$2.13 Y/Y (reported$9.51,up$3.75)Adjusted2net income down 15%Y/Y

150、(reported up 65%)Adjusted2PPPT1up 5%Y/Y (reported up 64%)Adjusted2revenue up 3%Y/Y (reported up 12%)with good growth across all operating groupsAdjusted2expenses up 1%Y/Y (reported down 8%)Adjusted2operating leverage 1.6%(reported 19.8%)Total provision for credit losses$3,761MM PCL on impaired loans

151、$3,066MM or 47 bps3;provision on performing loans$695MM U.S.segment contributed 39%to adjusted2and reported earnings1 Reported and adjusted pre-provision pre-tax earnings(PPPT)are non-GAAP measures.Refer to slide 38 for more information and slide 41 for calculation of PPPT2 Adjusted results and meas

152、ures are non-GAAP.Refer to slide 38 for more information and slide 39 for adjustments to reported results3 PCL on impaired loans ratio is calculated as provision for credit losses on impaired loans over average net loans and acceptances,expressed in basis points4 Reported and adjusted return on tang

153、ible common equity(ROTCE)are non-GAAP measures.Refer to slide 38 and Non-GAAP and Other Financial Measures section of BMOs Annual 2024 MD&A for more information5 Common Equity Tier 1(CET1)Ratio is disclosed in accordance with the Capital Adequacy Requirements(CAR)Guideline,as set out by the Office o

154、f the Superintendent of Financial Institutions(OSFI)Strategic Highlights December 5,202432297336Q423Q424Self-serve Transactions2(%)Delivering on our Digital First agenda,powered by AI,data and tech modernizationDriving tangible customer and business valueBeing recognized as an industry leader and in

155、novator+16%91%Digital SalesGrowth3(%)Active Digital Users,Retail1(000)Active Digital Users,Commercial Banking4(000)+13%+7%Advancing our Digital First strategyDriving tangible customer and business value through AI and advanced analytics,including:-3MM AI-enabled customer interactions with BMO Assist

156、-200MM AI-powered BMO Insights enabling real financial progressContinued to modernize our digital payments experience with the launch of installment payment plans in the U.S.and debit card controls in Canada BMO Insurance launched an AI-powered digital assistant,to enhance the underwriting process f

157、or advisors and simplify the client experienceLaunched award-winning OnlineBanking for Business(OLBB)Lite platform to all Canadian Business Bank and Commercial Banking Mid-Market BMO InvestorLine launched modernized user interface for active tradersRanked#1 in satisfaction in the J.D.Power 2024 Cana

158、da Wealth Management Digital Experience Study5Recognized as one of the Worlds Most Innovative Companies by Fast CompanyRanked#1 in the EMARKETER Canada Mobile Banking Emerging Features Benchmark 2024Recognized as one of the leaders in the Financial Fitness Category within Javelins 2024 Online Bankin

159、g ScorecardBMOs innovation approach and outcomes acknowledged by several Digital Banker awards:-Best Gen AI Retail Operations Initiative(InnoV8 Customer Feedback Assist)-Best Payments Innovation(BMO SplitShare)-Digital Lending Product of the year(BMO PaySmart)-Outstanding Customer Service Innovation

160、(Digital Card Controls Suite)-“Best New Product Launch”for Extend for BMO virtual card in commercial bankingRed Dot Award:Design Concept 2024 for re-imagined digital banking experience for small and medium enterprises1 Active digital users is number of retail deposit customers in North America that

161、logged into online or mobile in the last 90 days2 Self-serve transactions are transactions that occur in online,mobile,ATM,telephone banking;July 2024 October 20243 Digital sales is 12-month rolling average for the 12-months preceding the end of the fiscal quarter and include chequing,savings,credit

162、 card,loans,mortgage,overdraft(CAD)and CD,MM(US)4 On-Line Business Banking(OLBB)clients in North American commercial,corporate and business banking5 Results December 5,202433109.0 112.8114.912.1 13.6 13.951.8 52.5 53.16.5 6.8 7.1134.8 140.2143.9Q423Q324Q424CommercialCredit CardsConsumer LoansBusines

163、s BankingResidential Mortgages189.1 97.8 100.5194.8 208.6 211.9Q423Q324Q424CommercialPersonal&Business BankingAverage Gross Loans&Acceptances($B)Average Deposits($B)Canadian Personal&Commercial Banking Balances283.9312.5306.4Average Gross Loans&Acceptances($B)314.2326.0333.0Prior period amounts have

164、 been reclassified to conform with the current period presentation1 Commercial lending excludes commercial and small business cards.Commercial and small business cards balances represented 13%of total credit card portfolio in Q424,Q324 and Q423Average loans&acceptances up 6%Y/Y and 2%Q/QResidential

165、Mortgages,including amortizing HELOC up 6%Y/Y and 2%Q/QCards up 15%Y/Y and 2%Q/QBusiness Banking up 9%Y/Y and 5%Q/QCommercial1up 5%Y/Y and 2%Q/QAverage deposits up 10%Y/Y and 2%Q/QPersonal&Business Banking up 9%Y/Y and 2%Q/QChequing and Savings down 2%Y/Y and up 2%Q/QTerm up 18%Y/Y and 1%Q/QCommerci

166、al up 13%Y/Y and 3%Q/QFinancial Results December 5,202434116.4118.9116.636.332.4 33.7Q423Q324Q424Average Gross Loans&Acceptances(US$B)CommercialPersonal&Business Banking151.3152.7150.380.780.583.277.383.484.0Q423Q324Q424Average Deposits(US$B)CommercialPersonal&Business Banking158.0163.9167.2Amounts

167、on this slide are in U.S.dollars1Average loans&acceptances down 2%Y/Y(up 3%excluding sale of RV loan portfolio2)and down 1%Q/QCommercial flat Y/Y and down 2%Q/QPersonal&Business Banking down 7%Y/Y(up 16%excluding sale of RV loan portfolio2)and up 4%Q/QU.S.Personal&Commercial Banking BalancesAverage

168、deposits up 6%Y/Y and 2%Q/QCommercial up 3%both Y/Y and Q/Q Personal&Business Banking up 9%Y/Y and 1%Q/QPrior period amounts have been reclassified to conform with the current period presentation1 Average FX rates(CDN/US dollar):Q424 1.3641;Q324 1.3705;and Q423 1.36482 RV loan portfolio sale in Q124

169、 reduced average balances by US$7.2B compared with Q423Financial Results December 5,202435Canadian and U.S.deposit trendsU.S.P&C and BMO Wealth Management depositsUS$B,average balances Chequing&SavingsCommercialMoney Market&CDsCanadian P&C and BMO Wealth Management depositsCDE$B,average balancesDema

170、nd DepositsP&BB/BMO Wealth ManagementCommercialTerm DepositsP&BB/BMO Wealth ManagementQ424 U.S.deposits increased 7%Y/Y as we continued to grow new customers and deposits through competitive tools,products and channels,including national digital retail banking and treasury and payments solutions pla

171、tforms1%Q/Q growth reflecting seasonally higher balances from commercial clientsQ424 Canadian deposits grew 10%Y/Y with term customers taking advantage of relatively attractive rates ahead of anticipated rate cuts,and continued benefit from new customer acquisition,a comprehensive onboarding program

172、 and increased customer primacy1%Q/Q growth driven by higher demand deposits,as term migration is abating43%48%49%39%34%36%33%33%34%26%25%35%39%37%39%39%20%24%24%20%21%20%20%21%4%2%3%6%7%7%7%7%238266290318347328353359F20F21F22F23F24Q423Q324Q42419%21%23%25%23%25%23%22%34%26%24%26%31%28%31%32%36%43%43

173、%33%27%30%27%26%11%11%10%16%19%18%19%20%105118120159175171175179F20F21F22F23F24Q423Q324Q424Financial Results December 5,2024363.34%3.56%3.72%3.75%3.40%147 115 119 113 130 473 475 481 505 503 645 656 672 688 703 1,265 1,246 1,272 1,306 1,336 Q423Q124Q224Q324Q424Average Liabilities($B)and Costs2(%)Cus

174、tomer DepositsOther Interest Bearing Liabilities4Other Non-Interest Bearing Liabilities2.74%2.93%3.07%3.13%3.04%5.20%5.28%5.56%5.43%4.80%Cost on Total Liabilities%in above charts indicate cost on liability balance1 Asset yield is calculated as total interest income as a percentage of average earning

175、s assets2 Liabilities cost is calculated as total interest expense as a percentage of average liabilities3 Other interest bearing assets balances include deposits with other banks,securities,securities borrowed or purchased under resale agreements and other interest bearing assets.Yield on other int

176、erest bearing assets is calculated as interest and dividend income on deposits with other banks,securities,securities borrowed or purchased under resale agreements and other interest bearing assets as a percentage of associated average balances4 Other interest bearing liabilities balances include wh

177、olesale funding,securities sold but not yet purchased and securities lent or sold,subordinated debt and other interest bearing liabilities.Cost on other interest bearing liabilities is calculated as interest expense on wholesale funding,securities sold but not yet purchased and securities lent or so

178、ld,subordinated debt and other interest bearing liabilities as a percentage of associated average balancesAsset Yields1and Liabilities Costs25.26%5.27%5.40%5.40%5.26%529 549 566 593 603 648 647 652 667 671 1,1771,1961,2181,2601,274Q423Q124Q224Q324Q424Gross LoansOther Interest Bearing Assets3Average

179、Earning Assets($B)and Yield1(%)5.92%6.03%6.07%6.12%6.05%4.45%4.38%4.62%4.59%4.39%Yield on Total Average Earning Assets%in above charts indicate yield on asset balanceFinancial Results December 5,202437Earnings benefit/exposure to an incremental+/-100 bps rate shock reflects a relatively neutral posi

180、tioningBMO strategy emphasizes margin stability;non rate-sensitive deposits and the balance sheets net equity position are consistently reinvested into intermediate tenors through the cycleDeposit rate decreases to date are tracking to modelled assumptionsEarnings sensitivities over the next 12 mont

181、hs1Long-term investment rates forecast remains higher than historical ladder levels and continue to support NIMQ424 Pre-Tax CDE($MM)+100 bps-100 bps-25 bps-25 bps short rateCanada2139(101)(29)(8)U.S.228(109)(59)(36)Total367(210)(88)(45)Interest Rate SensitivityThis slide contains forward-looking sta

182、tements.Refer to the Caution Regarding Forward-Looking Statements on slide 21 Sensitivities assumes immediate and sustained parallel shift in interest rates and using a constant balance sheet except for the-25bps short rate scenario where only short-term rates are shocked.For more details see the St

183、ructural(Non-Trading)Market Risk section of BMOs 2024 Annual MD&A2 Includes Canadian dollar and other currencies3 Chart displays historical Canadian Overnight Repo Rate Average(CORRA)swap rates and Secured Overnight Financing Rate(SOFR)swap ratesSwap Rates3Historic Actual RatesImpliedForward RatesFi

184、nancial Results December 5,202438Non-GAAP and Other Financial MeasuresResults and measures in this document are presented on a generally accepted accounting principles(GAAP)basis.Unless otherwise indicated,all amounts are in Canadian dollars and have been derived from our audited annual consolidated

185、 financial statements,prepared in accordance with International Financial Reporting Standards(IFRS),as issued by the International Accounting Standards Board.References to GAAP mean IFRS.We use a number of financial measures to assess our performance,as well as the performance of our operating segme

186、nts,including amounts,measures and ratios that are presented on a non-GAAP basis,as described below.We believe that these non-GAAP amounts,measures and ratios,read together with our GAAP results,provide readers with a better understanding of how management assesses results.Management considers both

187、reported and adjusted results and measures to be useful in assessing underlying ongoing business performance.Adjustedresults and measures remove certain specified items from revenue,non-interest expense,provision for credit losses and income taxes,as detailed on page 39.Adjusted results and measures

188、 presented in this document are non-GAAP.Presenting results on both a reported basis and an adjusted basis permits readers to assess the impact of certain items on results for the periods presented,and to better assess results excluding those items that may not be reflective of ongoing business perf

189、ormance.As such,the presentation may facilitate readers analysis of trends.Except as otherwise noted,managements discussion of changes in reported results in this document applies equally to changes in the corresponding adjusted results.Non-GAAP amounts,measures and ratios do not have standardized m

190、eanings under GAAP.They are unlikely to be comparable to similar measures presented by other companies and should not be viewed in isolation from,or as a substitute for,GAAP results.Examples of non-GAAP amounts,measures or ratios include:pre-provision pre-tax income,tangible common equity,amounts pr

191、esented net of applicable taxes,adjusted net income,revenues,non-interest expenses,provision for credit losses,earnings per share,return on equity,return on tangible common equity,and adjusted efficiency,leverage and PCL ratios,growth rates and other measures calculated using adjusted results,which

192、exclude the impact of certain items such as acquisition and integration costs,amortization of acquisition-related intangible assets,impact of divestitures,management of fair value changes on the purchase of Bank of the West,and initial provision for credit losses on Bank of the West purchased loan p

193、ortfolio.BMO provides supplemental information on combined operating segments to facilitate comparisons to peers.Certain information contained in BMOs 2024 Annual Managements Discussion and Analysis(MD&A)as at December 4,2024 for the period endedOctober 31,2024(“2024 Annual MD&A”)is incorporated by

194、reference into this document,including the Summary Quarterly Earnings Trend section in the 2024 Annual MD&A.Quantitative reconciliations of non-GAAP and other financial measures to the most directly comparable financial measures in BMOs financial statements for the period ended October 31,2024,an ex

195、planation of how non-GAAP and other financial measures provide useful information to investors and any additional purposes for which management uses such measures,can be found in the Non-GAAP and Other Financial Measures section of the 2024 Annual MD&A.For further information regarding the compositi

196、on of our supplementary financial measures,refer to the Glossary of Financial Terms section of BMOs 2024 Annual MD&A,which is available online at and at www.sedarplus.ca.Certain comparative figures have been reclassified to conform with the current years presentation and for changes in accounting po

197、licy.Financial Results December 5,202439(1)Management of the impact of interest rate changes between the announcement and closing of the acquisition of Bank of the West on its fair value and goodwill,recorded in Corporate Services.Q1-2023 comprised$1,628 million of mark-to-market losses on certain i

198、nterest rate swaps recorded in trading revenue and$383 million of losses on a portfolio of primarily U.S.treasuries and other balance sheet instruments recorded in net interest income.(2)Impact of a lawsuit associated with a predecessor bank,M&I Marshall and IlsleyBank,recorded in Corporate Services

199、.Q4-2024:Reversal of the fiscal 2022 legal provision,including accrued interest,comprising a reversal of$589 million of interest expense and$594 million of non-interest expense.Prior periods comprised the following:Q3-2024:$14 million interest expense and$4 million non-interest expense;Q2-2024 and Q

200、1-2024:$14 million interest expense and$1 million non-interest expense,respectively;Q4-2023:$14 million interest expense and$2 million non-interest expense;Q3-2023:$3 million interest expense and a$7 million recovery of non-interest expense;Q2-2023:$7 million interest expense;and Q1-2023:$6 million

201、interest expense and$2 million non-interest expense.(3)Net accounting loss on the sale of a portfolio of recreational vehicle loans related to balance sheet optimization,recorded in non-interest revenue in Corporate Services in Q1-2024.(4)Impact of certain tax measures enacted by the Canadian govern

202、ment,recorded in Corporate Services.Fiscal 2023:$371 million one-time tax expense,comprising a$312 million Canada Recovery Dividend and$59 million related to the pro-rated fiscal 2022 impact of the 1.5%tax rate increase,net of a deferred tax asset remeasurement;and a$131 million($160 million pre-tax

203、)charge related to the amended GST/HST definition for financial services,comprising$138 million recorded in non-interest revenue and$22 million recorded in non-interest expense.(5)Initial provision for credit losses on the purchased Bank of the West performing loan portfolio,recorded in Corporate Se

204、rvices in Q2-2023.(6)Acquisition and integration costs,recorded in non-interest expense in the related operating group.Bank of the West recorded in Corporate Services:Q4-2024$13 million($17 million pre-tax);Q3-2024$16 million($21 million pre-tax);Q2-2024$22 million($30 million pre-tax);Q1-2024$46 mi

205、llion($61 million pre-tax);Q4-2023$434 million($583 million pre-tax);Q3-2023$363 million($487 million pre-tax);Q2-2023$545 million($722 million pre-tax);and Q1-2023$178 million($235 million pre-tax).Radicle and Clearpool recorded in BMO Capital Markets:Q4-2024$2 million($2 million pre-tax);Q3-2024$1

206、 million($1 million pre-tax);Q2-2024$2 million($3 million pre-tax);Q1-2024$10 million($14 million pre-tax);Q4-2023 included a recovery of$2 million($3 million pre-tax);Q3-2023$1 million($2 million pre-tax);Q2-2023$2 million($2 million pre-tax);and Q1-2023$3 million($4 million pre-tax).AIR MILES reco

207、rded in Canadian P&C:Q4-2024$12 million($16 million pre-tax);Q3-2024 and Q2-2024$2 million($3 million pre-tax),respectively;Q1-2024$1 million($1 million pre-tax);Q4-2023$1 million($2 million pre-tax);Q3-2023$6 million($8 million pre-tax);and Q2-2023$2 million($3 million pre-tax).(7)Amortization of a

208、cquisition-related intangible assets and any impairments,recorded in non-interest expense in the related operating group.Q4-2024$92 million($124 million pre-tax),including a$14 million($18 million pre-tax)write-down related to the acquisition of Radicle in BMO Capital Markets;Q3-2024 and Q2-2024$79

209、million($107 million pre-tax),respectively;Q1-2024$84 million($112 million pre-tax);Q4-2023$88 million($119 million pre-tax);Q3-2023 and Q2-2023$85 million($115 million pre-tax),respectively;and Q1-2023$6 million($8 million pre-tax).(8)Impact of a U.S.Federal Deposit Insurance Corporation(FDIC)speci

210、al assessment recorded in non-interest expense,in Corporate Services.Q4-2024 a recovery of$11 million($14 million pre-tax);Q3-2024$5 million($6 million pre-tax);Q2-2024$50 million($67 million pre-tax);and Q1-2024$313 million($417 million pre-tax).(9)For further information refer to slide 38 and the

211、Non-GAAP and Other Financial Measures section of BMOs 2024 Annual MD&A.Certain comparative figures have been reclassified for changes in accounting policy.(Canadian$in millions,except as noted)Q4 24Q3 24Q4 23F2024F2023Reported ResultsNet interest income5,4384,7944,94119,46818,681Non-interest revenue

212、3,5193,3983,37813,32710,578Revenue8,9578,1928,31932,79529,259Provision for credit losses(1,523)(906)(446)(3,761)(2,178)Non-interest expense(4,427)(4,839)(5,679)(19,499)(21,134)Income before income taxes3,0072,4472,1949,5355,947Provision for income taxes(703)(582)(484)(2,208)(1,510)Net income2,3041,8

213、651,7107,3274,437Diluted EPS($)2.942.482.199.515.76Adjusting Items(Pre-tax)Management of fair value changes on the purchase of Bank of the West(1)(2,011)Legal provision/reversal(including related interest expense and legal fees)(2)589(14)(14)547(30)Impact of loan portfolio sale(3)(164)Impact of Cana

214、dian tax measures(recorded in revenue)(4)(138)Impact of adjusting items on revenue(pre-tax)589(14)(14)383(2,179)Initial provision for credit losses on purchased performing loans(pre-tax)(5)(705)Acquisition and integration costs(6)(35)(25)(582)(172)(2,045)Amortization of acquisition-related intangibl

215、e assets(7)(124)(107)(119)(450)(357)Legal provision/reversal(including related interest expense and legal fees)(2)594(4)(2)5883FDIC special assessment(8)14(6)(476)Impact of Canadian tax measures(recorded non-interest expense)(4)(22)Impact of adjusting items on non-interest expense(pre-tax)449(142)(7

216、03)(510)(2,421)Impact of adjusting items on reported net income(pre-tax)1,038(156)(717)(127)(5,305)Adjusting Items(After-tax)Management of fair value changes on the purchase of Bank of the West(1)(1,461)Legal provision/reversal(including related interest expense and legal fees)(2)433(11)(10)401(23)I

217、mpact of loan portfolio sale(3)(136)Impact of Canadian tax measures(recorded in revenue)(4)(115)Impact of adjusting items on revenue(after-tax)433(11)(10)265(1,599)Initial provision for credit losses on purchased performing loans(after-tax)(5)(517)Acquisition and integration costs(6)(27)(19)(433)(12

218、9)(1,533)Amortization of acquisition-related intangible assets(7)(92)(79)(88)(334)(264)Legal provision/reversal(including related interest expense and legal fees)(2)437(2)(2)4332FDIC special assessment(8)11(5)(357)Impact of Canadian tax measures(recorded in non-interest expense)(4)(16)Impact of adju

219、sting items on non-interest expense(after-tax)329(105)(523)(387)(1,811)Impact of Canadian tax measures -provision for income taxes(4)(371)Impact of adjusting items on reported net income(after-tax)762(116)(533)(122)(4,298)Impact on diluted EPS($)1.04(0.16)(0.75)(0.17)(6.05)Adjusted ResultsNet intere

220、st income4,8494,8084,95518,92119,094Non-interest revenue3,5193,3983,37813,49112,344Revenue8,3688,2068,33332,41231,438Provision for credit losses(1,523)(906)(446)(3,761)(1,473)Non-interest expense(4,876)(4,697)(4,976)(18,989)(18,713)Income before income taxes1,9692,6032,9119,66211,252Provision for in

221、come taxes(427)(622)(668)(2,213)(2,517)Net income1,5421,9812,2437,4498,735Diluted EPS($)1.902.642.939.6811.81Non-GAAP and Other Financial Measures9Financial Results December 5,202440Summary of Reported and Adjusted Results by Operating Group(Canadian$in millions unless otherwise stated)Q4 24Q3 24Q2

222、24Q1 24Q4 23F2024F2023Total BankReported Net Income2,3041,8651,8661,2921,7107,3274,437Management of Fair Value Changes on the Purchase of Bank of the West1,461Acquisition and integration costs271926574331291,533Amortization of acquisition-related intangible assets9279798488334264Legal provision/reve

223、rsal(including related interest expense and legal fees)(870)13121112(834)21Impact of Canadian tax measures502Initial provision for credit losses on purchased performing loans517Impact of loan portfolio sale136136FDIC special assessment(11)550313357Adjusted Net Income1,5421,9812,0331,8932,2437,4498,7

224、35U.S.Segment(USD)Reported Net Income9304395591843642,11215Management of Fair Value Changes on the Purchase of Bank of the West1,093Acquisition and integration costs9111739317761,124Amortization of acquisition-related intangible assets5455545961222186Legal provision/reversal(including related intere

225、st expense and legal fees)(643)10988(616)15Initial Provision for credit losses on purchased performing loans379Impact of loan portfolio sale102102FDIC special assessment(8)337231263Adjusted Net Income3425186766237502,1592,812CanadianReported Net Income7509148729219223,4573,573P&C Acquisition and int

226、egration costs122211179Amortization of acquisition-related intangible assets34333136Adjusted Net Income7659208779259263,4873,588U.S.P&C(USD)Reported Net Income1913443984194331,3521,843Amortization of acquisition-related intangible assets5151515657209173Adjusted Net Income2423954494754901,5612,016BMO

227、 Wealth ManagementReported Net Income3263623202403511,2481,146Amortization of acquisition-related intangible assets2221174Adjusted Net Income3283643222413521,2551,150BMO Capital MarketsReported Net Income2513894593934721,4921,625Acquisition and integration costs21210(2)154Amortization of acquisition

228、-related intangible assets1745553120Adjusted Net Income2703944664084751,5381,649Corporate ServicesReported Net Income721(270)(328)(822)(626)(699)(4,396)Management of Fair Value Changes on the Purchase of Bank of the West1,461Acquisition and integration costs13162246434971,520Legal provision/reversal

229、(including related interest expense and legal fees)(870)13121112(834)21Impact of Canadian tax measures502Initial provision for credit losses on purchased performing loans517Impact of loan portfolio sale136136FDIC special assessment(11)550313357Adjusted Net Income(147)(236)(244)(316)(180)(943)(375)Ad

230、justed results and measures are non-GAAP.Refer to footnotes(1)to(8)in the Non-GAAP and Other Financial Measures table on slide 39 for details on adjusting items,and the Non-GAAP and Other Financial Measures and Summary Quarterly Earnings Trend sections of BMOs 2024 Annual MD&A for further informatio

231、nFinancial Results December 5,202441Pre-Provision,Pre-Tax Earnings(PPPT)Reconciliation(Canadian$in millions unless otherwise stated)Q4 24Q3 24Q2 24Q1 24Q4 23F2024F2023Total BankReported Income before taxes3,0072,4472,4251,6562,1949,5355,947Total provision for(recovery of)credit losses1,5239067056274

232、463,7612,178Reported Pre-Provision,Pre-Tax Earnings(PPPT)4,5303,3533,1302,2832,64013,2968,125Acquisition and integration costs352536765821722,045Amortization of acquisition-related intangible assets124107107112119450357Legal provision/reversal(including related interest expense and legal fees)(1,183

233、)18151516(1,135)27FDIC special assessment(14)667417476Impact of loan portfolio sale164164Management of Fair Value Changes on the Purchase of Bank of the West2,011Impact of Canadian tax measures160Adjusted Pre-Provision,Pre-Tax Earnings(PPPT)3,4923,5093,3553,0673,35713,42312,725U.S.SegmentReported In

234、come(loss)before taxes1,1775317012074522,616(138)(USD)Total provision for(recovery of)credit losses6463642232261351,459914Reported Pre-Provision,Pre-Tax Earnings(PPPT)1,8238959244335874,075776Acquisition and integration costs131522524261021,500Management of Fair Value Changes on the Purchase of Bank

235、 of the West1,505Impact of loan portfolio sale122122FDIC special assessment(10)449308351Amortization of acquisition-related intangible assets7373737982298251Legal provision/reversal(including related interest expense and legal fees)(875)13121111(839)20Adjusted Pre-Provision,Pre-Tax Earnings(PPPT)1,0

236、241,0001,0801,0051,1064,1094,052CanadianReported Income before taxes1,0371,2601,2051,2731,2714,7754,927P&C Total provision for(recovery of)credit losses5783883982952651,659909Reported Pre-Provision,Pre-Tax Earnings(PPPT)1,6151,6481,6031,5681,5366,4345,836Amortization of acquisition-related intangibl

237、e assets2088564121Acquisition and integration costs1633122313Adjusted Pre-Provision,Pre-Tax Earnings(PPPT)1,6351,6561,6111,5731,5426,4755,857U.S.P&CReported Income before taxes2034144895225551,6282,391(USD)Total provision for(recovery of)credit losses5092862062171291,218376Reported Pre-Provision,Pre

238、-Tax Earnings(PPPT)7127006957396842,8462,767Amortization of acquisition-related intangible assets6869687576280233Adjusted Pre-Provision,Pre-Tax Earnings(PPPT)7807697638147603,1263,000BMO WealthReported Income before taxes4284794223184741,6471,515ManagementTotal provision for(recovery of)credit losse

239、s34(9)(7)1313118Reported Pre-Provision,Pre-Tax Earnings(PPPT)4624704153314751,6781,533Amortization of acquisition-related intangible assets2331297Adjusted Pre-Provision,Pre-Tax Earnings(PPPT)4644734183324771,6871,540BMO CapitalReported Income before taxes3024915814955981,8692,096MarketsTotal provisi

240、on for(recovery of)credit losses21112852(22)136918Reported Pre-Provision,Pre-Tax Earnings(PPPT)5136196334735992,2382,114Acquisition and integration costs21314(3)205Amortization of acquisition-related intangible assets2456774227Adjusted Pre-Provision,Pre-Tax Earnings(PPPT)5396256424946032,3002,146Rep

241、orted and adjusted pre-provision pre-tax earnings(PPPT)are non-GAAP measures.Refer to slide 38 for more informationAdjusted results and measures are non-GAAP.Refer to footnotes(1)to(8)in the Non-GAAP and other Financial Measures table on slide 39 for details on adjusting items,and the Non-GAAP and O

242、ther Financial Measures and Summary Quarterly Earnings Trend sections of BMOs 2024 Annual MD&A for further informationFinancial Results December 5,202442Revenue,Non-Interest Expense and Efficiency Ratio Reconciliation(Canadian$in millions unless otherwise stated)Q4 24Q3 24Q2 24Q1 24Q4 23F2024F2023F2

243、022Total BankReported Revenue8,9578,1927,9747,6728,31932,79529,25933,710Insurance claims,commissions and changes in policy benefit liabilities(CCPB)(683)Reported Revenue,net of CCPB8,9578,1927,9747,6728,31932,79529,25934,393Impact of divestitures21Management of Fair Value Changes on the Purchase of

244、Bank of the West2,011(7,713)Legal provision/reversal(including related interest expense and legal fees)(589)14141414(547)30515Impact of Canadian tax measures(recorded in revenue)138Impact of loan portfolio sale)164164Adjusted Revenue,net of CCPB8,3688,2067,9887,8508,33332,41231,43827,216Reported Exp

245、enses4,4274,8394,8445,3895,67919,49921,13416,194Acquisition and integration costs(35)(25)(36)(76)(582)(172)(2,045)(326)Amortization of acquisition-related intangible assets(124)(107)(107)(112)(119)(450)(357)(31)Impact of divestitures(16)Legal provision/reversal(including related interest expense and

246、 legal fees)594(4)(1)(1)(2)5883(627)Impact of Canadian tax measures(recorded in non-interest expense)(22)FDIC special assessment14(6)(67)(417)(476)Adjusted Expenses4,8764,6974,6334,7834,97618,98918,71315,194Reported Efficiency Ratio49.4%59.1%60.7%70.2%68.3%59.5%72.2%48.0%Adjusted Efficiency Ratio58.

247、3%57.3%58.0%60.9%59.7%58.6%59.5%55.8%U.S.Segment Reported Revenue3,0332,5272,5712,5122,79510,6438,75613,035(USD)Impact of divestitures(7)Management of Fair Value Changes on the Purchase of Bank of the West1,505(5,869)Legal provision/reversal(including related interest expense and legal fees)(436)101

248、11010(405)22378Impact of loan portfolio sale122122Adjusted Revenue2,5972,5372,5822,6442,80510,36010,2837,537Reported Expenses1,2101,6321,6472,0792,2086,5687,9804,968Impact of divestitures57Acquisition and integration costs(13)(15)(22)(52)(426)(102)(1,500)(247)Amortization of acquisition-related inta

249、ngible assets(73)(73)(73)(79)(82)(298)(251)(22)Legal provision/reversal(including related interest expense and legal fees)439(3)(1)(1)(1)4342(460)FDIC special assessment10(4)(49)(308)(351)Adjusted Expenses1,5731,5371,5021,6391,6996,2516,2314,296Reported Efficiency Ratio39.9%64.6%64.0%82.8%79.0%61.7%

250、91.1%38.1%Adjusted Efficiency Ratio60.6%60.6%58.2%62.0%60.6%60.3%60.6%57.0%For periods prior to November 1,2022,we presented adjusted revenue on a basis net of insurance claims,commissions and changes in policy benefit liabilities(CCPB),and our efficiency ratio was calculated on a similar basis.Begi

251、nning the first quarter of fiscal 2023,we no longer report CCPB,given the adoption and retrospective application of IFRS 17,Insurance Contracts(IFRS 17).For periods prior to November 1,2022,adjusted efficiency ratio was calculated based on revenue,net of CCPB.Measures and ratios presented on a basis

252、 net of CCPB are non-GAAP amounts.For more information,refer to the Insurance Claims,Commissions and Changes in Policy Benefit Liabilities section of the 2023 Annual MD&AAdjusted results and measures are non-GAAP.Refer to footnotes(1)to(8)in the Non-GAAP and other Financial Measures table on slide 3

253、9 for details on adjusting items,and the Non-GAAP and Other Financial Measures and Summary Quarterly Earnings Trend sections of BMOs 2024 Annual MD&A for further informationFinancial Results December 5,202443Summary of Reported and Adjusted Results by Operating Group(Canadian$in millions unless othe

254、rwise stated)ReportedAdjustedQ4 24Q3 24Q4 23Q4 24Q3 24Q4 23Total BankRevenue8,9578,1928,3198,3688,2068,333Expenses4,4274,8395,6794,8764,6974,976Pre-Provision,Pre-tax Earnings14,5303,3532,6403,4923,5093,357Total PCL(recovery)1,5239064461,523906446Net Income2,3041,8651,7101,5421,9812,243U.S.Segment Ne

255、t Income(US$)930439364342518750Diluted EPS($)2.942.482.191.902.642.93Efficiency Ratio(%)49.459.168.358.357.359.7ROE(%)11.410.09.37.410.612.4ROTCE2(%)15.613.913.59.714.217.1Canadian P&CNet Interest Income2,3042,2532,0962,3042,2532,096Non-Interest Revenue630655700630655700Revenue2,9342,9082,7962,9342,

256、9082,796Expenses1,3191,2601,2601,2991,2521,254Pre-Provision,Pre-tax Earnings11,6151,6481,5361,6351,6561,542Total PCL(recovery)578388265578388265Net Income750914922765920926Efficiency Ratio(%)45.043.345.044.343.144.8ROE(%)18.122.326.118.522.426.3US P&C3(USD)Net Interest Income(teb)1,5061,5001,5211,50

257、61,5001,521Non-Interest Revenue304289301304289301Revenue(teb)1,8101,7891,8221,8101,7891,822Expenses1,0981,0891,1381,0301,0201,062Pre-Provision,Pre-tax Earnings1712700684780769760Total PCL(recovery)509286129509286129Net Income191344433242395490Net Income(CDE$)256470591326539670Efficiency Ratio(%)60.7

258、60.862.456.957.058.2ROE(%)2.95.57.13.86.38.1(Canadian$in millions unless otherwise stated)ReportedAdjustedQ4 24Q3 24Q4 23Q4 24Q3 24Q4 23BMO Wealth ManagementWealth&Asset Management1,3991,3421,2471,3991,3421,247Insurance87972188797218Revenue1,4861,4391,4651,4861,4391,465Expenses1,0249699901,022966988

259、Pre-Provision,Pre-tax Earnings1462470475464473477Total PCL(recovery)34(9)134(9)1Net Income326362351328364352Wealth&Asset Management NI273300202275302203Insurance NI53621495362149Efficiency Ratio(%)68.967.367.768.867.167.5ROE(%)26.629.728.826.829.828.9BMO Capital Markets3Global Markets9381,0009459381

260、,000945I&CB662666706662666706Revenue(teb)1,6001,6661,6511,6001,6661,651Expenses1,0871,0471,0521,0611,0411,048Pre-Provision,Pre-tax Earnings1513619599539625603Total PCL(recovery)21112812111281Net Income251389472270394475U.S.Net Income($US)43551184557118Efficiency Ratio(%)67.962.963.766.362.563.5ROE(%

261、)7.311.415.27.811.615.3Corporate Services3Revenue480(266)14(109)(252)28Group teb offset(11)(8)(95)(11)(8)(95)Revenue(teb)469(274)(81)(120)(260)(67)Expenses(502)718248940239Total PCL(recovery)253253Net Income721(270)(626)(147)(236)(180)Adjusted results and measures are non-GAAP.Refer to slide 39 for

262、adjustments to reported results and slide 38 and the Non-GAAP and Other Financial Measures sections of BMOs 2024 Annual MD&A for more information 1 Reported and adjusted pre-provision pre-tax earnings(PPPT)are non-GAAP measures.Refer to slide 38 for more information and slide 41 for calculation of P

263、PPT2 Reported and adjusted return on tangible common equity(ROTCE)are non-GAAP measures.Refer to slide 38 and Non-GAAP and Other Financial Measures section of BMOs 2024 Annual MD&A for more information3 U.S P&C and BMO Capital Markets operating group results are presented on a taxable equivalent basis(teb).This teb adjustment is offset in Corporate S CHEN-SEEDirector,Investor RBILL ANDERSONManaging Director,Investor RInvestor RelationsBMO Financial GroupContact Information