National Bank Q3 2026 Earnings: Inside the CWB Boost
National Bank’s Q3 2026 earnings show revenue up 18% and diluted EPS up 26%. That is the fastest revenue growth in the Big Six this quarter, measured on each bank’s own reported figures. The question that matters is how much of it is the Canadian Western Bank acquisition showing up in the arithmetic and how much is the business earning more on what it already had. The filings answer one half of that precisely and the other half not at all.
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The numbers
For the quarter ended July 31, 2026, National Bank reported total revenue of $4,053 million against $3,449 million a year earlier, an 18% increase (Q3 2026 release, p.7). Net income was $1,307 million, up 23%, and diluted EPS $3.25, up from $2.58 (release, p.1). Return on common shareholders’ equity was 16.1%, against 13.6%. On the adjusted basis the bank also reports, net income was $1,362 million, diluted EPS $3.39 and ROE 16.8% versus 14.1%. The efficiency ratio improved to 51.6% from 55.8%, or 49.8% from 52.4% adjusted (release, p.7). Nine months in, net income of $3,795 million is up 28%.
The eight-quarter series in the supplementary (p.6) shows the scale change: revenue of $2,944 million in Q4/24 has become $4,053 million, with diluted EPS moving from $2.66 to $3.25 along a bumpy path: Q2/25 printed $2.17 reported against $2.85 adjusted, a reminder that this bank’s reported line has carried specified items for several quarters.
One qualifier on the “best growth in the group” framing: on a reported basis TD’s diluted EPS rose from $1.89 to $2.74 this quarter, faster than National Bank’s 26%, though from a prior-year base depressed by charges. On the adjusted basis each bank states for itself, TD is also up 26%. National Bank is at the top of the group, but sharing the spot rather than owning it.
National Bank: revenue by quarter, as reported by the company. Source: the bank’s own supplementary financial information.
What it means
Here is what the documents pin down exactly. Q3 2026 specified items reduced net income by $55 million: $24 million of CWB integration charges, $27 million of Laurentian Bank transaction-related charges and $25 million of CWB intangible amortization, net of tax (release, p.4). That is the deal’s visible ongoing cost, and it is what separates reported EPS of $3.25 from adjusted EPS of $3.39, a $0.14 spread (our calculation from the two disclosed figures).
Here is what they do not pin down: nowhere in the release, supplementary or report to shareholders is revenue growth split between acquired and organic. Anyone telling you precisely what share of the 18% is CWB is supplying a number the company did not.
What the filings do let you triangulate is where the growth sits. Personal and Commercial earned $421 million, up 14%. That is the segment whose efficiency improvement the bank attributes partly to cost synergies achieved as part of the CWB acquisition. But the largest percentage gains came from elsewhere: Capital Markets earned $442 million, up $108 million or 32%, and Wealth Management $296 million, up 21%. Neither is tied to CWB anywhere in these documents. U.S. Specialty Finance and International added 3%, to $184 million.
Then there is the ROE test, which is the cleanest one available. ROE is measured on the enlarged common equity base a bank carries after issuing for a deal. A transaction that adds only scale lifts absolute earnings; lifting the return on that bigger equity base (13.6% to 16.1% reported, 14.1% to 16.8% adjusted) is a different result, and it is the one on the page. Compare it across the group on our Canadian bank stocks page, with the payout angle on our Canadian dividend stocks page.
The risk
The balance sheet gave ground. CET1 was 13.5%, down from 13.8% at October 31, 2025, with leverage at 4.2% from 4.5%, LCR at 161% from 173% and NSFR at 118% from 124% (release, p.1, p.7). TLAC moved the other way, to 33.1% from 29.7%. Credit costs rose: provisions of $246 million against $203 million, PCL at 0.31% of average loans from 0.28%, and PCL on impaired loans excluding Credigy’s POCI book at 0.28% from 0.21% (supplementary, p.4). Total allowances were $2,727 million.
The disclosure gap is its own risk. These documents contain no forward CWB synergy target, no medium-term financial objectives and no expense guidance, so there is no company-set number against which to score the integration from here.
The Big Six, same quarter, side by side
| Bank | Revenue (CAD millions) | Diluted EPS | Return on equity |
|---|---|---|---|
| Royal Bank | 18,538 | $4.23 | 17.9% |
| TD Bank Group | 16,885 | $2.74 | 15.8% |
| Scotiabank | 10,535 | $2.27 | 14.1% |
| BMO Financial | 9,896 | $2.38 | 8.4% |
| CIBC | 8,368 | $2.47 | 15.2% |
| National Bank | 4,053 | $3.25 | 16.1% |
Every figure above is taken from that bank’s own Q3 2026 earnings release, supplementary pack or report to shareholders, not from an aggregator. Revenue and EPS are as reported.
What to watch
The board declared a $1.32 dividend, up 12% year over year, payable November 1, 2026 to holders of record September 28, 2026 (release, p.2). Next is fiscal Q4, the quarter ending October 31, 2026; the filings give no release date.
The metric to watch is that $0.14 reported-versus-adjusted spread. As CWB integration charges and intangible amortization run off, reported and adjusted EPS should converge, and the pace of that convergence is the most direct read available on whether the acquisition is finishing. Watch the PCL ratio alongside it.
Primary sources: National Bank Investor Relations.
Owning the banks directly requires a brokerage set up for Canadian listings and dividend reinvestment; Questrade is the one we use.
The rest of the Big Six this quarter: Royal Bank, TD Bank Group, Scotiabank, BMO Financial, CIBC.
Disclaimer: The content on bestcanadianstocks.ca is for informational and entertainment purposes only and does not constitute financial advice. Past performance is not indicative of future results. Always consult a qualified financial advisor before making investment decisions. Bank figures from each company’s Q3 2026 supplementary pack.
