HSBC Bank Canada said its profits improved in the fourth quarter, finishing off a strong year in which earnings improved 18% over 2003.

The bank said Monday it made $86 million, after a $2 million preferred share dividend payment, in the three-month period ended Dec. 31, or 18¢ per share. That compares with $82 million or 17¢ per share in the final quarter of 2003.

Full-year profits totalled $345 million, or 72¢ per share, up from $292 million or 62¢ per share.

Total assets were $43.3 billion at Dec. 31, an increase of 15.5% from $37.5 billion at the end of 2003.

Total funds under management were $17.7 billion at the end of 2004, up 23.8% from $14.3 billion the year before.