08/27/2015 08:52 EDT | Updated 08/27/2016 05:59 EDT

CIBC Raises Dividend After Higher Third-Quarter Earnings


TORONTO — CIBC (TSX:CM) increased its third-quarter net income to $978 million, up 6.2 per cent from the same time last year, driven by improvements at its core banking business and wealth management services.

CIBC's net profit was equal to $2.42 per share while its adjusted earnings per share was $2.45.

The bank says it will raise its quarterly dividend by 2.75 per cent to $1.12 per share, an increase of three cents.

CIBC also plans to to buy back up to eight million of its shares over the next 12 months, representing up to two per cent of the total float.

The buyback would cost up to $722.5 million if all shares were repurchased at Wednesday's closing stock price of $90.31.