Royal Bank of Canada profit increased 40% to $1.3-billion in the previous quarter compared to last year, but a strong Canadian Dollar weakened returns from worldwide operations.

The growing Canadian currency decreased Royal Bank's income from global units like investment banking and capital management by $534-million, and trim down turnover by $82-million.

Royal Bank posted 96 cents in cash earnings per share, a lot lower than the $1.10 per share estimate by analysts.

Canada's biggest bank persists to strive in U. S. retail markets, as its global banking lost out $27-million in the quarter.

At the same stage last year, the unit had missed $1.1-billion, together with a $1-billion goodwill mutilation fee.

Royal Bank's center Canadian retail branch network carries on to be an inspiration, with revenue upbeat by 27% year-over-year to $736-million.

Gordon Nixon, the bank's Chief Executive Officer said, "Our results reflect strong performances across our businesses and demonstrate the long-standing strength of this organization".

Royal Bank reported a 15.8% revenue on equity. Its capital ratios are double to what controllers need, with a Tier 1 capital ratio of 13.4%.

The bank said that terms for credit losses, or the sum of money reserved to cover bad loans, dropped 48% to C$504 million from a year before, but swelled C$11 million, or 2%, from last quarter.