HSBC Bank Canada said today its first-quarter profit rose 7.4% to $116 million, from a year-earlier $108 million.

Earnings per share for the quarter ended March 31 rose to 24¢ from 22¢, the bank said.

Revenue rose to $422 million from $381 million.

“HSBC Bank Canada is off to a good start in fiscal 2006, with solid year-over-year revenue and net income growth,” CEO Lindsay Gordon said in news release.

“The increases were broad-based and reflected solid contribution from each of our customer groups.”

But he warned that “the competitive environment continues to impact our net interest margin. In growing our business, we have actively managed to contain our costs, which has resulted in a stable cost efficiency ratio. Lastly, the stable credit environment in Canada has resulted in continued low provision for credit losses.”