Find out how the banking giant fared in 2022's second quarter
Scotiabank has kicked off the Big Six banking giants’ quarterly earnings announcements by revealing net income of $2.75 billion in 2022’s second quarter, up slightly from the same period last year.
Earnings per share (EPS) saw an increase to $2.18 compared with $1.90 last year, and the bank’s adjusted return on equity rose from 14.9% last year to 16.4% this time around.
The results were driven by strong growth (27%) in Scotiabank’s Canadian Banking earnings, which it attributed to “robust” mortgage and commercial loan growth, strong fee income, lower provision for credit losses and higher overall revenues.
In International Banking, earnings exceeded $600 million, while Global Wealth Management earnings were up 9% and Global Banking and Markets posted earnings of $488 million.
“We are pleased with the very strong EPS growth of 15% and a return on equity of 16.4%,” Brian Porter, Scotiabank’s president and CEO, said in prepared remarks accompanying the news.
“Continued loan growth of 13%, an improving net interest margin, strong customer balance sheets, combined with prudent expense management, positions the bank well to grow its earnings.”
The announcement indicated Scotiabank is positioned to continue growing in line with its strategic objectives thanks to strong internal capital generation and a Common Equity Tier 1 capital ratio of 11.6%.
