CIBC is reporting a 37% jump in profit for the first quarter ended January 31.

The bank said the increase in profit came as a result of as a healthy credit environment and sharply lowere loan loss provisions.

Net profit was $609 million, or $1.54 per diluted share, up from $445 million, or $1.11 per share, a year ago..

CIBC said its loan loss provisions dropped to $155 million from $339 million.

The bank set aside $50 million to deal with the potential fallout of a U.S. probe into the bank’s mutual fund dealings, but this was offset by a $50 million reduction in the bank’s income tax expenses stemming from an increase in the bank’s future tax asset

Revenues slipped to $2.96 billion from $3.1 billion, while return on equity was 21%, up from 16.8% in the same period last year.

“CIBC delivered another quarter of strong results,” said John Hunkin, president and CEO, in a news release. “We continued to make excellent progress in our four key business strategies, and remained focused on building a model for sustained, long-term growth.”

Volume growth in most lines of business drove strong results for CIBC Retail Markets. The cards business produced record revenue for the quarter.

CIBC Wealth Management also delivered strong results, as equity markets improved, and trading activity increased as investor confidence returned.