The banking giant became the latest of the Big Six to release its Q1 financials
Higher provisions for credit losses saw Scotiabank’s profits slip in Q1, with adjusted earnings per share coming in at $1.85 compared with $2.15 the same time last year.
The banking giant’s adjusted net income for the first quarter was $2.37 billion, down from $2.76 billion in Q1 2022, with its provisions for credit losses spiking to $638 million (compared with $222 million at the same time last year) amid an uncertain economic climate.
Scotiabank said strong asset and deposit growth, as well as margin expansion, had helped spur adjusted earnings in its Canadian banking unit of $1.1 billion, while international banking saw a 20% bump compared with the same time last year to $661 million.
Adjusted earnings on the global wealth management side fell by 6% to $392 million as assets under management and fee income took a hit from challenging market conditions.
The bank’s president and CEO Scott Thomson said its Q1 performance showed “continued relative pressure” on profitability as well as the benefits of its “diversified” platform.
