TORONTO (Bloomberg) — Canadian Imperial Bank of Commerce, the country’s fifth-largest bank, said profit rose 13 percent to a record, driven by salary cuts and higher earnings from consumer banking.Net income for the fourth-quarter ended October 31 was C$819 million ($713 million), or C$2.32 a share, compared with C$728 million, or C$2.06, a year earlier, the Toronto-based bank said today in a statement. Profit topped analysts’ estimates.

Chief executive officer Gerald McCaughey has pared expenses in the past year by cutting almost 300 jobs and reducing professional fees, rents and salaries as revenue growth slows. McCaughey, who took over as CEO 16 months ago, surpassed his annual savings target of C$250 million.

“I believe he views CIBC as running a little bit overweight in terms of their cost structure and is going to continue to whittle that down,” UBS Canada analyst Jason Bilodeau said in an interview before earnings. “They have costs to take out and that’s what they’re going to do.”

Costs cuts, lower taxes and fewer provisions for bad loans helped counter a slump in revenue from consumer and investment banking. Overall revenue fell 16 percent to C$2.89 billion, compared with C$3.42 billion a year earlier.

National Bank Financial analyst Robert Wessel, who rates the stock “sector perform”, said profit was C$2 a share excluding one-time items, topping his estimate of C$1.70 a share on that basis. The median estimate of nine analysts polled by Bloomberg News was C$1.68 a share.

Consumer banking profit rose 43 percent to C$501 million from C$350 million a year ago, fuelled by credit cards, mortgages and personal lending. Canadian Imperial set aside C$92 million for bad loans, down 46 percent from the C$170 million set aside a year ago.