Scotiabank Reports Fourth Quarter and 2015 Results
/EINPresswire.com/ -- TORONTO, ONTARIO -- (Marketwired) -- 12/01/15 -- Scotiabank (TSX: BNS)(NYSE: BNS)
Scotiabank's 2015 audited annual consolidated financial statements and accompanying Management's Discussion & Analysis (MD&A) are available at www.scotiabank.com along with the supplementary financial information and regulatory capital disclosure reports, which includes fourth quarter financial information. All amounts are in Canadian dollars and are based on our audited annual consolidated financial statements and accompanying MD&A for the year ended October 31, 2015 and related note prepared in accordance with International Financial Reporting Standards (IFRS), unless otherwise noted.
Additional information related to the Bank, including the Bank's Annual Information Form, can be found on the SEDAR website at www.sedar.com and on the EDGAR section of the SEC's website at www.sec.gov.
Fiscal 2015 Highlights (versus Fiscal Fiscal 2015 Highlights (versus Fiscal
2014 on a reported basis) 2014 adjusted for the 2014 notable
items(1))
- Net income of $7,213 million, - Net income of $7,213 million,
compared to $7,298 million compared to $7,008 million, up 3%
- Diluted earnings per share (EPS) of - EPS of $5.67 compared to $5.43, up
$5.67 compared to $5.66 4.4%
- Return on Equity (ROE) of 14.6%, - ROE of 14.6%, compared to 15.5%
compared to 16.1%
- Annual dividends per share of $2.72
compared to $2.56, an increase of
6%
Fourth quarter Highlights (versus Q4 Fourth quarter Highlights (versus Q4
2014 on a reported basis) 2014 adjusted for the 2014 notable
items(2))
- Net income of $1,843 million, - Net income of $1,843 million,
compared to $1,438 million, up 28% compared to $1,703 million, up 8%
- EPS of $1.45 compared to $1.10, up - EPS of $1.45 compared to $1.32, up
32% 10%
- ROE of 14.2%, compared to 11.9% - ROE of 14.2%, compared to 14.4%
Fiscal 2015 performance versus medium-term objectives:
The Bank's performance in 2015 with respect to its medium-term financial and operational objectives was as follows (comparison to 2014 performance excluding the 2014 notable items(1) is reflected in parentheses):
1. Earn an ROE of 15% to 18%. For the full year, Scotiabank earned an ROE
of 14.6%
2. Generate growth in EPS of 5% to 10%. The year-over-year EPS growth was
flat (growth of 4.4%)
3. Maintain positive operating leverage. Scotiabank's performance was
negative 1.5% (negative 0.7%)
4. Maintain strong capital ratios. Scotiabank's capital position remains
strong with a Common Equity Tier 1 ratio of 10.3%.
(1) Fiscal 2014 included a net benefit of $290 million or +23 cents per
share related to notable items. Refer to 2014 notable items table
below.
(2) Q4 2014 included a net charge of $265 million or -22 cents per share
related to notable items, as the $555 million gain on sale of CI
Financial Corp. was recognized in Q3 2014.
Scotiabank reported net income of $7,213 million in 2015, compared with net income of $7,298 million in 2014 or $7,008 million after adjusting for the 2014 notable items. Earnings per share (diluted) were $5.67, in line with last year or up 4.4% on an adjusted basis.
Scotiabank reported net income for the fourth quarter ended October 31, 2015 of $1,843 million, compared to $1,438 million for the same period last year. Diluted earnings per share (EPS) were $1.45, up 32% compared to $1.10 last year. Return on equity was 14.6%. Adjusting for the 2014 notable items, net income was up 8% and EPS growth was 10%. A quarterly dividend of 70 cents per common share was announced.
"The Bank's earnings growth in 2015 was driven by very good performances in our personal, commercial and wealth businesses, both in Canada and internationally," said Brian Porter, President and CEO. "The Bank continues to perform well, given challenging conditions in certain businesses and markets, and we are well-positioned, including throughout the Pacific Alliance countries, for future growth."
"Canadian Banking had a very strong year. Delivering valued advice and products to our more than 10 million retail and commercial customers resulted in good core growth in both assets and deposits. Continued growth in our commercial banking, wealth management and retail payments strengthened many existing customer relationships, as well as improving our asset and deposit mix.
"International Banking also delivered very strong results, particularly in the second half of the year. While economic growth has moderated in some key markets, we continue to gain profitable market share throughout the key Pacific Alliance region which recorded very strong asset and deposit growth. As well, the Caribbean and Central America's performance improved over the course of 2015 as a result of management actions to optimize operations in the region, as well as an improving economic backdrop.
"With two dividend increases, we increased our returns to shareholders by 6% this year. Our strong capital position at 10.3%, allows us to continue to make the necessary investments while also growing our businesses and making selective acquisitions.
"The Bank's efforts continue to be centred on being more customer focused and enhancing customer experience. For this past year, strategic investments in technology were made across the entire Bank to deliver a more seamless customer experience and to drive growth. In 2016, further investment in technology will continue to digitally transform the Bank, position us for even greater growth and contribute to the creation of long-term shareholder value."
Other Developments
Several Executive appointments have been made, subsequent to the end of the quarter. Ignachio 'Nacho' Deschamps has been appointed Strategic Advisor to the President and CEO, Global Digital Banking, effective January 4, 2016. Mr. Deschamps is a global banking leader with extensive experience in key Latin America markets and Europe. In addition, the following internal appointments have been made, effective December 1, 2015: Sean McGuckin, Group Head and Chief Financial Officer, with Group Treasury now reporting to Mr. McGuckin; Barb Mason, Group Head and Chief Human Resources Officer, with Real Estate now reporting to Ms. Mason; James Neate, Executive Vice President, International Corporate and Commercial Banking; Gillian Riley, Executive Vice President, Canadian Commercial Banking; Mike Henry, Executive Vice President, Retail Payments, Deposits and Unsecured Lending; John Doig, Executive Vice President and Chief Marketing Officer.
Non-GAAP Measures
The Bank uses a number of financial measures to assess its performance. Some of these measures are not calculated in accordance with Generally Accepted Accounting Principles (GAAP), which are based on International Financial Reporting Standards (IFRS), are not defined by GAAP and do not have standardized meanings that would ensure consistency and comparability between companies using these measures. These non-GAAP measures are used throughout this press release and are defined in the "Non-GAAP Measures" section of the Bank's 2015 Annual Report.
Taxable Equivalent Basis (TEB) gross up
For the three months ended For the year ended
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TEB Gross up October 31 July 31 October 31 October 31 October 31
($millions) 2015 2015 2014 2015 2014
----------------------------------------------------------------------------
Net interest income $ 2 $ 3 $ 6 $ 14 $ 17
Non-interest income 71 105 95 376 337
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Total revenue and
provision for taxes $ 73 $ 108 $ 101 $ 390 $ 354
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2014 Notable items
The following is the impact of the 2014 notable items on Business Line results. Refer also to Table 41 in the Bank's 2015 Annual Report for additional details.
For the year ended October 31, 2014
----------------------------------------------------------------------------
Global
Canadian International Banking
($ millions) Banking Banking & Markets Other Total
----------------------------------------------------------------------------
Revenues $ 615 $ (47) $ (2) $ - $ 566
Provision for credit
losses 62 - - - 62
Non-interest
expenses 47 34 36 86 203
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Net income before
income taxes $ 506 $ (81) $ (38) $ (86) $ (301)
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Income taxes 53 (7) (11) (24) 11
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Net income $ 453 $ (74) $ (27) $ (62) $ 290
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Net income
attributable to
equity holders of
the Bank $ 453 $ (74) $ (27) $ (62) $ 290
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Q4 2014 Notable Items
For the three months ended October 31, 2014
----------------------------------------------------------------------------
Global
Canadian International Banking
($ millions) Banking Banking & Markets Other Total
----------------------------------------------------------------------------
Revenues $ - $ (47) $ (30) $ - $ (77)
Provision for credit
losses 62 - - - 62
Non-interest expenses 47 34 36 86 203
----------------------------------------------------------------------------
Net income before
income taxes $ (109) $ (81) $ (66) $ (86) $ (342)
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Income taxes (28) (7) (18) (24) (77)
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Net income $ (81) $ (74) $ (48) $ (62) $ (265)
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Net income
attributable to
equity holders of
the Bank $ (81) $ (74) $ (48) $ (62) $ (265)
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Financial Highlights
As at and for the three months
ended For the year ended
----------------------------------------------------------------------------
October 31 July 31 October 31 October 31 October 31
(Unaudited) 2015 2015 2014 2015 2014
----------------------------------------------------------------------------
Operating
results($
millions)
Net interest
income 3,371 3,354 3,099 13,092 12,305
Net interest
income (TEB(1)) 3,373 3,357 3,105 13,106 12,322
Non-interest
income 2,754 2,770 2,648 10,957 11,299
Non-interest
income (TEB(1)) 2,825 2,875 2,743 11,333 11,636
Total revenue 6,125 6,124 5,747 24,049 23,604
Total revenue
(TEB(1)) 6,198 6,232 5,848 24,439 23,958
Provision for
credit losses 551 480 574 1,942 1,703
Non-interest
expenses 3,286 3,334 3,361 13,041 12,601
Provision for
income taxes 445 463 374 1,853 2,002
Provision for
income taxes
(TEB(1)) 518 571 475 2,243 2,356
Net income 1,843 1,847 1,438 7,213 7,298
Net income
attributable to
common
shareholders 1,754 1,767 1,343 6,897 6,916
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Operating
performance
Basic earnings per
share ($) 1.46 1.46 1.10 5.70 5.69
Diluted earnings
per share ($) 1.45 1.45 1.10 5.67 5.66
Adjusted diluted
earnings per
share ($)(1) 1.46 1.47 1.11 5.72 5.72
Return on equity
(%)(1) 14.2 14.7 11.9 14.6 16.1
Productivity ratio
(%) (TEB(1)) 53.0 53.5 57.5 53.4 52.6
Core banking
margin (%)
(TEB(1)) 2.35 2.40 2.39 2.39 2.39
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Financial position
information($
millions)
Cash and deposits
with financial
institutions 73,927 82,789 56,730
Trading assets 99,140 103,705 113,248
Loans 458,628 451,048 424,309
Total assets 856,497 863,064 805,666
Deposits 600,919 602,791 554,017
Common equity 49,085 48,674 44,965
Preferred shares 2,934 2,934 2,934
Assets under
administration(1) 453,926 459,847 427,547
Assets under
management(1) 179,007 182,891 164,820
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Capital and
liquidity
measures
Common Equity Tier
1 (CET1) capital
ratio (%) 10.3 10.4 10.8
Tier 1 capital
ratio (%) 11.5 11.6 12.2
Total capital
ratio (%) 13.4 13.5 13.9
Leverage ratio
(%)(2) 4.2 4.1 N/A
CET1 risk-weighted
assets ($
millions)(3) 357,995 348,039 312,473
Liquidity coverage
ratio (LCR)
(%)(4) 124 127 N/A
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Credit quality
Net impaired loans
($ millions)(5) 2,085 2,096 2,002
Allowance for
credit losses ($
millions) 4,197 4,125 3,641
Net impaired loans
as a % of loans
and
acceptances(5) 0.44 0.45 0.46
Provision for
credit losses as
a % of average
net loans and
acceptances
(annualized) 0.47 0.42 0.53 0.43 0.40
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Common share
information
Share price ($)
(TSX)
High 64.15 67.29 74.39 71.18 74.93
Low 52.58 60.52 64.05 52.58 59.92
Close 61.49 64.19 69.02 61.49 69.02
Shares outstanding
(millions)
Average - Basic 1,205 1,210 1,217 1,210 1,214
Average - Diluted 1,227 1,231 1,223 1,232 1,222
End of period 1,203 1,208 1,217
Dividends per
share ($) 0.70 0.68 0.66 2.72 2.56
Dividend yield
(%)(6) 4.8 4.3 3.8 4.4 3.8
Market
capitalization ($
millions) (TSX) 73,969 77,529 83,969
Book value per
common share ($) 40.80 40.30 36.96
Market value to
book value
multiple 1.5 1.6 1.9
Price to earnings
multiple
(trailing 4
quarters) 10.8 12.0 12.1
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Other information
Employees 89,214 90,354 86,932
Branches and
offices 3,177 3,211 3,288
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(1) Refer to Non-GAAP measures section of this press release for a
discussion of these measures.
(2) Effective November 1, 2014 the Bank is subject to OSFI's Leverage
Requirement Guidelines.
(3) As at October 31, 2015, credit valuation adjustment (CVA) risk-weighted
assets were calculated using scalars of 0.64, 0.71 and 0.77 to compute
CET1, Tier 1 and Total capital ratios, respectively.
(4) LCR is based on OSFI's guideline, Liquidity Adequacy Requirement (LAR),
effective commencing Q2/15.
(5) Excludes loans acquired under the Federal Deposit Insurance Corporation
(FDIC) guarantee related to the acquisition of R-G Premier Bank of
Puerto Rico.
(6) Based on the average of the high and low common share price for the
period.
Group Financial Performance
Q4 2015 vs. Q4 2014
Net income
Net income was $1,843 million compared to $1,438 million last year. Adjusting for the 2014 notable items (see table above), net income grew by $140 million or 8%. Strong asset growth and the positive impact of foreign currency translation were partly offset by increased provision for credit losses and higher non-interest expenses. This quarter included a number of largely offsetting items, comprised of a reduction in pension benefit accrual related to modifications made to the Bank's main pension plan of $151 million ($204 million pre-tax), an increase to the collective allowance for credit losses against performing loans due to the increase in the loan portfolio of $44 million ($60 million pre-tax), and reorganization costs related to Canadian shared services of $45 million ($61 million pre-tax).
Net interest income
Net interest income (TEB) was $3,373 million, an increase of $268 million or 9%. The increase was attributable to asset growth primarily in retail and commercial loans in International Banking, automotive and commercial loans in Canadian Banking, corporate loans in Global Banking and Markets, and the positive impact of foreign currency translation.
The core banking margin was 2.35%, down four basis points driven by lower asset/liability management income, the impact of higher volumes of lower yielding deposits with financial institutions and a lower margin in Global Banking and Markets. This was partially offset by higher margins in Canadian Banking and International Banking.
Non-interest income
Non-interest income (TEB) of $2,825 million was up $82 million or 3%. Adjusting for the 2014 notable items, non-interest income was in line with last year. Higher banking fees, wealth management revenues, trading revenues, the positive impact of foreign currency translation, and the full quarter impact of the Bank's investment in Canadian Tire Financial Services contributed to the increase. This was offset by lower underwriting and other advisory fees, and lower net gains on investment securities.
Provision for credit losses
The provision for credit losses was $551 million, down $23 million or 4%. Adjusting for the 2014 notable item, provision for credit losses was up $39 million. This increase was primarily due to an addition of $60 million in the collective allowance against performing loans this year. In addition, a decrease in International Banking was partly offset by higher provisions in Global Banking and Markets.
Non-interest expenses and productivity
Non-interest expenses were $3,286 million a decrease of $75 million or 2%. Adjusting for the 2014 notable items, non-interest expenses increased $128 million due to higher advertising, business development and technology costs, the negative impact of foreign currency translation, the impact of the Cencosud acquisition, and reorganization of Canadian shared services. These were partly offset by lower salaries and employee benefit costs primarily due to the pension cost reduction.
The productivity ratio in the fourth quarter was 53.0%, a slight improvement versus the productivity ratio of 53.3% last year, adjusted for the 2014 notable items.
Taxes
The tax rate was 19.4% compared to 20.6%, due primarily to higher tax benefits in foreign jurisdictions.
Q4 2015 vs. Q3 2015
Net income
Net income was $1,843 million, compared to $1,847 million. Higher net interest income and lower non-interest expenses were more than offset by lower non-interest income and higher provision for credit losses. This quarter included a number of largely offsetting items, comprised of a reduction in pension benefit accrual related to modifications made to the Bank's main pension plan of $151 million ($204 million pre-tax), an increase to the collective allowance for credit losses against performing loans due to the increase in the loan portfolio of $44 million ($60 million pre-tax), and reorganization costs related to Canadian shared services of $45 million ($61 million pre-tax).
Net interest income
Net interest income (TEB) was $3,373 million, an increase of $16 million. The increase was attributable to asset growth primarily in retail and commercial loans in International Banking, automotive loans in Canadian Banking, corporate loans in Global Banking and Markets, and the positive impact of foreign currency translation.
The core-banking margin was 2.35%, down five basis points, driven by lower asset/liability management income, the impact of higher volumes of lower yielding deposits with financial institutions and a lower margin in International Banking. This was partially offset by higher margin in Canadian Banking.
Non-interest income
Non-interest income (TEB) was $2,825 million, down $50 million or 2%. Lower wealth management revenue, trading revenue and contribution from associated corporations were partly offset by higher net gains on investment securities and the positive impact of foreign currency translation.
Provision for credit losses
The provision for credit losses was $551 million for the fourth quarter compared with $480 million. The increase primarily related to a $60 million increase in the collective allowance against performing loans this quarter. Higher provisions in Global Banking and Markets and Canadian Banking were partly offset by lower provisions in International Banking.
Non-interest expenses and productivity
Non-interest expenses were down $48 million or 1%. Lower salaries and employee benefits of $180 million primarily due to the pension benefit accrual related to modifications made to the Bank's pension plan were partly offset by costs related to the reorganization of Canadian shared services, higher technology investment and increased marketing costs.
The productivity ratio was 53.0% compared to 53.5% in the previous quarter.
Taxes
The effective tax rate was 19.4% compared to 20.1% due primarily to lower taxes in foreign jurisdictions and higher tax recoveries partly offset by lower tax-exempt dividend income.
Common Dividend
The Board of Directors at its meeting approved the quarterly dividend of 70 cents per common share. This quarterly dividend applies to shareholders of record as of January 5, 2016 and is payable January 27, 2016.
Capital Ratios
The Bank continues to maintain strong, high quality capital levels which positions it well for future business growth. The Basel III all-in Common Equity Tier 1 (CET1) ratio as at year end was 10.3%. Decreases in the CET1 ratio from 2014 were largely due to the acquisitions of Cencosud's financial services business in Chile, and the operations of Citibank Peru and the impact from the Bank's share repurchases under its Normal Course Issuer Bid programs.
The Bank's Basel III all-in Tier 1 and Total Capital ratios were 11.5% and 13.4%, respectively, as at year end. Total capital increased due to the issuance of $1.25 billion of subordinated debentures during the year.
The Bank's capital ratios continue to be well in excess of OSFI's minimum capital ratio requirements for 2016 (including the 1% D-SIB surcharge) of 8%, 9.5% and 11.5% for CET1, Tier 1 and Total Capital respectively.
In addition to the regulatory risk-based capital ratios, banks are also subject to a Leverage ratio, which replaced the Assets-to-Capital multiple (ACM) in 2015. As at October 31, 2015, the Bank's Leverage Ratio of 4.2% was well above the regulatory requirement of 3.0%.
Business Segment Review
Canadian Banking
For the three months ended For the year ended
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(Unaudited) ($
millions)
(Taxable
equivalent October 31 July 31 October 31 October 31 October 31
basis)(1) 2015 2015 2014 2015 2014
----------------------------------------------------------------------------
Business segment
income
Net interest
income $ 1,657 $ 1,633 $ 1,532 $ 6,415 $ 5,996
Non-interest
income 1,215 1,226 1,156 4,832 5,263
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Total revenue 2,872 2,859 2,688 11,247 11,259
Provision for
credit losses 180 173 236 687 663
Non-interest
expenses 1,553 1,510 1,518 6,014 5,799
Income tax expense 302 313 229 1,202 1,113
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Net income $ 837 $ 863 $ 705 $ 3,344 $ 3,684
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Net income
attributable to
non-controlling
interests in
subsidiaries $ - $ - $ - $ - $ 1
Net income
attributable to
equity holders of
the Bank $ 837 $ 863 $ 705 $ 3,344 $ 3,683
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Other measures
Return on economic
equity(1) 28.6% 30.6% 24.3% 29.7% 29.6%
Assets under
administration ($
billions) 310 315 296 310 296
Assets under
management ($
billions) 135 138 124 135 124
Average assets ($
billions) $ 304 $ 301 $ 295 $ 300 $ 292
Average
liabilities ($
billions) $ 224 $ 218 $ 211 $ 218 $ 208
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(1) Refer to Non-GAAP measures section of this press release for a
discussion of these measures.
Q4 2015 vs. Q4 2014
Net income
Canadian Banking reported net income attributable to equity holders of $837 million, an increase of $132 million or 19%. Adjusting for the 2014 notable items and the prior year's contribution from CI Financial Corp. (CI) and changes in the Canadian tax legislation, net income attributable to equity holders increased $79 million or 10% from the same period last year. Solid growth in assets and deposits, a 12 basis point improvement in the net interest margin and higher non-interest income were partially offset by increased non-interest expenses.
Average assets
Average assets grew $9 billion or 3%. Adjusting for the impact of the Tangerine broker-originated and white-label mortgage run off portfolios, assets increased $15 billion or 5%. The growth was driven by increases of $6 billion or 3% in residential mortgages, $5 billion or 8% in personal loans primarily in consumer auto lending and credit cards, as well as $4 billion or 13% in business loans and acceptances.
Average liabilities
Average liabilities increased $13 billion or 6%. Retail banking experienced strong growth of $2 billion or 11% in chequing accounts and $10 billion or 14% in savings deposits. Small business and commercial banking business operating accounts also reported a growth of $3 billion or 7%. This was partially offset by a decline in lower margin GICs of $3 billion or 4%.
Assets under administration (AUA) and assets under management (AUM)
AUM increased $11 billion or 9% and AUA increased $14 billion or 5%. Growth in both AUM and AUA was due to strong net sales, new customers and favourable market conditions.
Net interest income
Net interest income of $1,657 million was up $125 million or 8%. This was driven by an 11 basis point increase in the margin to 2.26% and assets and deposits growth. The margin increase was primarily driven by higher spreads in personal lending, including residential mortgages, the growth in higher margin credit card products, as well as the run-off of lower spread Tangerine mortgages.
Non-interest income
Non-interest income of $1,215 million was up $59 million or 5% primarily driven by higher mutual fund fees as a result of strong net sales and favorable market conditions, as well as the full quarter impact of the Bank's investment in Canadian Tire Financial Services and growth in card revenues and insurance income.
Provision for credit losses
The provision for credit losses was $180 million, a decrease of $56 million or 24%. Adjusting for the 2014 notable item, the provision for credit losses was up $6 million due to modest increases in retail and commercial portfolios. The provision for credit losses ratio remained unchanged at 0.24%.
Non-interest expenses
Non-interest expenses were up $35 million or 2%. Adjusting for the 2014 notable item, non-interest expenses grew $81 million or 6% from the same quarter last year, primarily due to increased technology investment and project spending, volume and revenue driven expenses, partially offset by benefits realized from structural cost reductions.
Taxes
The effective tax rate increased to 26.5% from 24.5%, primarily due to the changes in the Canadian tax legislation.
Q4 2015 vs. Q3 2015
Net income
Net income attributable to equity holders of $837 million decreased $26 million or 3%, mainly due to higher non-interest expenses, partially offset by higher net interest income driven by growth in assets and deposits.
Average assets
Average assets grew $3 billion or 1%. Adjusting for the impact of the Tangerine run-off portfolios, assets increased $5 billion or 2%, mainly due to the growth of $3 billion or 2% in residential mortgages and $2 billion or 2% in personal loans primarily in consumer auto lending.
Average liabilities
Average liabilities increased $6 billion or 3% primarily due to the growth of $5 billion or 7% in retail saving accounts and $1 billion or 2% in small business and commercial banking business operating accounts. The growth was partly offset by a decline of $1 billion or 1% in lower margin retail GICs.
Assets under administration (AUA) and assets under management (AUM)
AUM decreased by $3 billion or 2% and AUA decreased by $5 billion or 2% primarily due to unfavourable market conditions.
Net interest income
Net interest income increased $24 million or 1%, primarily driven by the growth in assets and deposits. Net interest margin was up one basis point.
Non-interest income
Non-interest income decreased $11 million or 1%, primarily due to market driven lower wealth management revenues, partially offset by higher card revenues and insurance income.
Provision for credit losses
The provision for credit losses was $180 million, compared to $173 million. The increase of $7 million was mainly due to higher provisions in the commercial portfolio. The provision for credit losses ratio was up one basis point to 0.24%.
Non-interest expenses
Non-interest expenses were up $43 million or 3%, primarily related to advertising, technology and project spending to support business growth.
Taxes
The effective tax rate of 26.5% decreased slightly from 26.6%.
International Banking
For the three months ended For the year ended
----------------------------------------------------------------------------
(Unaudited) ($
millions)
(Taxable
equivalent October 31 July 31 October 31 October 31 October 31
basis)(1) 2015 2015 2014 2015 2014
----------------------------------------------------------------------------
Business segment
income
Net interest
income $ 1,510 $ 1,467 $ 1,302 $ 5,706 $ 5,155
Non-interest
income 847 813 757 3,137 2,945
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Total revenue 2,357 2,280 2,059 8,843 8,100
Provision for
credit losses 284 293 336 1,128 1,024
Non-interest
expenses 1,373 1,294 1,245 5,095 4,690
Income tax expense 136 156 109 568 544
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Net income $ 564 $ 537 $ 369 $ 2,052 $ 1,842
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Net income
attributable to
non-controlling
interests in
subsidiaries $ 60 $ 52 $ 65 $ 199 $ 226
Net income
attributable to
equity holders of
the Bank $ 504 $ 485 $ 304 $ 1,853 $ 1,616
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Other measures
Return on economic
equity(1) 13.3% 13.2% 9.5% 12.8% 12.8%
Average assets ($
billions) $ 135 $ 129 $ 117 $ 128 $ 115
Average
liabilities ($
billions) $ 99 $ 96 $ 86 $ 94 $ 85
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(1) Refer to Non-GAAP measures section of this press release for a
discussion of these measures.
Q4 2015 vs. Q4 2014
Net income
International Banking reported net income attributable to equity holders of $504 million. Adjusting for the 2014 notable items, net income was up $126 million or 33% reflecting strong loan, deposit and fee growth in Latin America, a higher contribution from affiliates, lower provision for credit losses, and the positive impact of foreign currency translation.
This quarter includes the impact of acquisitions in Chile and Peru. These acquisitions were insignificant to net income, but impacted the various income and expense categories.
Average assets
Average assets of $135 billion increased $18 billion or 16% driven by strong retail and commercial loan growth, particularly in Latin America.
Average liabilities
Average liabilities increased $13 billion or 14% to $99 billion largely due to 19% growth in deposits, or 12% adjusting for the positive impact of foreign currency translation.
Net interest income
Net interest income rose $208 million, driven by solid volume growth and a stable net interest margin. Retail and commercial loan growth was 16% and 19%, respectively, or 11% and 9% adjusting for foreign exchange translation. Growth in retail loans was driven by a 16% increase in Latin America with acquisitions contributing to 5% of this increase. Commercial loan growth reflected increases of 14% in Latin America, partly offset by a 5% decline in the Caribbean.
Non-interest income
Non-interest income increased $90 million or 12%. Adjusting for the impact of 2014 notable items, non-interest income increased $43 million or 5% due to higher fees and commissions, and higher net income from investments in associated corporations partly offset by last year's gain on sale of a non-strategic business in Peru and lower gains on investment securities. Net fee and commission revenues increased $51 million or 9% to $616 million primarily driven by higher transaction fees and card revenues in Latin America and the Caribbean, and acquisitions. Net income from investments in associated corporations increased by $19 million, or 20% to $112 million, largely reflecting higher contributions from Thanachart Bank in Thailand and Bank of Xi'an in China.
Provision for credit losses
The provision for credit losses was $284 million, down $52 million or 15%. The provision for credit losses ratio improved from 1.62% to 1.17%, primarily due to lower commercial provisions. Higher retail provisions were entirely driven by acquisitions and increases in the Caribbean and Central America, in part offset by lower provisions in Latin America. The decrease in commercial portfolios was due to lower provisions in the Caribbean and Central America region largely due to significant provisions in the same period last year in a small number of accounts in the Caribbean primarily related to the hospitality portfolio, slightly offset by higher provisions in Latin America.
Non-interest expenses
Non-interest expenses increased by $128 million or 10%. Adjusting for the impact of 2014 notable items, non-interest expenses increased by $162 million or 13%. Half of the increase was due to acquisitions and the negative impact of foreign currency translation, with the balance due to higher technology investments, increased advertising and inflationary increases.
Taxes
The effective tax rate decreased to 19.4% compared to 22.6% due to higher tax benefits in Latin America, mainly Mexico.
Q4 2015 vs. Q3 2015
Net income
Net income attributable to equity holders increased by $19 million or 4% to $504 million driven by strong loan growth, higher fees and trading revenues, partly offset by a lower contribution from associated corporations and growth in non-interest expenses.
Average assets
Average assets of $135 billion increased $7 billion or 5% driven by strong retail and commercial growth in Latin America.
Average liabilities
Average liabilities increased $3 billion or 3% to $99 billion largely due to 4% growth in deposits, or 2% adjusting for positive foreign currency translation.
Net interest income
Net interest income rose $43 million or 3% to $1,510 million driven by strong asset growth, partly offset by a lower margin. Retail and commercial loan growth was 5% and 6%, respectively, or 4% and 3% adjusting for foreign exchange translation. Retail and commercial loan growth in Latin America was partly offset by a slight decline in the Caribbean. The net interest margin declined by 1% or 7 basis points to 4.70% driven primarily by margin compression in Mexico and Peru.
Non-interest income
Non-interest income increased $34 million or 4% to $847 million with higher fee and commission revenues and other operating income partially offset by a lower contribution from investments in associated corporations. Net fee and commission revenues rose $15 million or 3% to $616 million primarily driven by seasonally higher fees in Latin America, particularly Chile. Net income from investments in associated corporations at $112 million was $32 million or 22% lower, primarily due to lower contributions from Thanachart Bank, and from Bank of Xi'an. Other operating income increased by $51 million or 76% to $119 million, due primarily to strong trading revenues, higher securities gains and higher insurance income in the Caribbean.
Provision for credit losses
The provision for credit losses was $284 million, a decrease of $9 million. The provision for credit losses ratio improved from 1.27% to 1.17%. This was driven mainly by lower retail provisions in Latin America, primarily Colombia, more than offsetting higher provisions in the Caribbean and Central America. Commercial provisions remained in line with last quarter, with higher provisions in the Caribbean and Central America, due to higher recoveries last quarter, offsetting lower provisions in Latin America.
Non-interest expenses
Non-interest expenses of $1,373 million were $79 million or 6% higher, driven largely by higher technology spending, business volume growth and seasonal marketing campaigns in Latin America.
Taxes
The effective tax rate decreased to 19.4% compared to 22.5% last quarter due to higher tax benefits in Mexico.
Global Banking and Markets
For the three months ended For the year ended
----------------------------------------------------------------------------
(Unaudited) ($
millions)
(Taxable
equivalent October 31 July 31 October 31 October 31 October 31
basis)(1) 2015 2015 2014 2015 2014
----------------------------------------------------------------------------
Business segment
income
Net interest
income $ 273 $ 272 $ 261 $ 1,071 $ 1,064
Non-interest
income 656 693 749 2,953 3,167
----------------------------------------------------------
Total revenue 929 965 1,010 4,024 4,231
Provision for
credit losses 27 14 2 67 16
Non-interest
expenses 450 464 477 1,846 1,880
Income tax expense 127 112 152 558 665
----------------------------------------------------------------------------
Net income $ 325 $ 375 $ 379 $ 1,553 $ 1,670
----------------------------------------------------------------------------
Net income
attributable to
non-controlling
interests in
subsidiaries $ - $ - $ - $ - $ -
Net income
attributable to
equity holders of
the Bank $ 325 $ 375 $ 379 $ 1,553 $ 1,670
----------------------------------------------------------------------------
Other measures
Return on economic
equity(1) 18.9% 23.7% 26.8% 25.1% 28.0%
Average assets ($
billions) $ 341 $ 335 $ 317 $ 342 $ 311
Average
liabilities ($
billions) $ 242 $ 232 $ 224 $ 240 $ 217
----------------------------------------------------------------------------
(1) Refer to Non-GAAP measures section of this press release for a
discussion of these measures.
Q4 2015 vs. Q4 2014
Net income
Global Banking and Markets reported net income attributable to equity holders of $325 million, a decrease of $54 million or 14%. Adjusting for the 2014 notable items, net income attributable to equity holders was down $102 million or 24%. This was driven mainly by a lower contribution from U.S. lending, investment banking, and equities, as well as higher provision for credit losses. These were only partly offset by stronger results in the fixed income business and the positive impact of foreign currency translation. The prior year also included securities gains in U.S. lending and Asia.
Average assets
Average assets increased $24 billion or 8%. Adjusting for the positive impact of foreign currency translation, assets declined by $10 billion as increases in corporate loans and acceptances were more than offset by lower trading assets and securities purchased under resale agreements.
Average liabilities
Average liabilities increased by $18 billion or 8%. Adjusting for the positive impact of foreign currency translation, average liabilities decreased by $4 billion or 2%.
Net interest income
Net interest income was $273 million, an increase of $12 million or 5%. Higher lending volumes in Canada, the U.S. and Europe and the positive impact of foreign currency translation were partly offset by lower trade finance volumes in Asia and margin compression in the U.S., Europe and Asia.
Non-interest income
Non-interest income was $656 million, a decrease of $93 million or 12% mainly due to lower advisory fees and lower equity underwriting fees.
Provision for credit losses
The provision for credit losses was up $25 million to $27 million due to higher provisions in Canada and the U.S., partially offset by lower provisions in Europe. The provision for credit losses ratio was 0.14%, up 12 basis points.
Non-interest expenses
Non-interest expenses of $450 million were lower by $27 million or 6%. Adjusting for the impact of 2014 notable items, expenses increased by $9 million or 2%. This was due to higher salaries and benefits and technology expenses and the negative impact of foreign currency translation, partly offset by lower performance-based compensation.
Taxes
The effective tax rate of 28.1% was generally in line with last year.
Q4 2015 vs. Q3 2015
Net income
Net income attributable to equity holders decreased $50 million or 13%. This was mainly due to lower contributions from the equities business and higher provision for credit losses.
Average assets
Average assets increased by $6 billion or 2%, due to the positive impact of foreign currency translation and higher corporate loans and acceptances. This was partly offset by lower trading assets and securities purchased under resale agreements.
Average liabilities
Average liabilities increased by $10 billion or 4% mainly due to growth in derivative-related liabilities.
Net interest income
Net interest income was in line with the previous quarter. Growth in lending volumes in Canada, the U.S. and Europe was offset by margin compression in Europe and Asia.
Non-interest income
Non-interest income decreased $37 million or 5%. This was due to lower tax-exempt trading revenues and reduced underwriting fees partly offset by higher advisory fees.
Provision for credit losses
The provision for credit losses was $27 million this quarter, up $13 million due to higher provisions in Canada and Asia, partially offset by a decrease in provisions for Europe and the U.S. The provision for credit losses ratio was 0.14%, up 6 basis points.
Non-interest expenses
Non-interest expenses decreased $14 million or 3% mainly due to lower salaries and benefits expenses.
Taxes
The effective tax rate increased to 28.1% from 23.0%, mainly due to a higher level of income in higher tax jurisdictions in the current quarter.
Other(1)
For the three months ended For the year ended
----------------------------------------------------------------------------
(Unaudited) ($
millions)
(Taxable
equivalent October 31 July 31 October 31 October 31 October 31
basis)(2) 2015 2015 2014 2015 2014
----------------------------------------------------------------------------
Business segment
income
Net interest
income(3) $ (69) $ (18) $ 4 $ (100) $ 90
Non-interest
income 36 38 (14) 35 (76)
----------------------------------------------------------
Total revenue (33) 20 (10) (65) 14
Provision for
credit losses 60 - - 60 -
Non-interest
expenses (90) 66 121 86 232
Income tax
expense(3) (120) (118) (116) (475) (320)
----------------------------------------------------------------------------
Net income $ 117 $ 72 $ (15) $ 264 $ 102
----------------------------------------------------------------------------
Net income
attributable to
non-controlling
interests $ - $ - $ - $ - $ -
Net income
attributable to
equity holders of
the Bank $ 117 $ 72 $ (15) $ 264 $ 102
----------------------------------------------------------------------------
Other measures
Average assets ($
billions) $ 101 $ 95 $ 78 $ 91 $ 78
Average
liabilities ($
billions) $ 263 $ 262 $ 235 $ 257 $ 238
----------------------------------------------------------------------------
(1) Includes all other smaller operating segments and corporate
adjustments, such as the elimination of the tax-exempt income gross-up
reported in net interest income, other operating income and provision
for income taxes and differences in the actual amount of costs incurred
and charged to the operating segments.
(2) Refer to Non-GAAP measures section of this press release for a
discussion of these measures.
(3) Includes the elimination of the tax-exempt income gross-up reported in
net interest income, other operating income and provision for income
taxes for the three months ended October 31, 2015 ($73), July 31, 2015
($108), October 31, 2014 ($101), and the years ended October 31, 2015
($390) and October 31, 2014 ($354) to arrive at the amounts reported in
the Consolidated Statement of Income.
The Other segment includes Group Treasury, smaller operating segments, business line elimination items and other corporate items which are not allocated to a business line.
Net interest income, other operating income, and the provision for income taxes in each period include the elimination of tax-exempt income gross-up. This amount is included in the operating segments, which are reported on a taxable equivalent basis. The elimination was $73 million in the fourth quarter, compared to $101 million in the same period last year and $108 million last quarter.
Net income from investments in associated corporations and the provision for income taxes in each period include the tax normalization adjustments related to the gross-up of income from associated companies. This adjustment normalizes the effective tax rate in the divisions to better present the contribution of the associated companies to the divisional results.
This quarter included a number of largely offsetting items, comprised of a reduction in pension benefit accrual related to modifications made to the Bank's main pension plan of $151 million ($204 million pre-tax), an increase to the collective allowance for credit losses against performing loans due to the increase in the loan portfolio of $44 million ($60 million pre-tax), and reorganization costs related to Canadian shared services of $45 million ($61 million pre-tax).
Q4 2015 vs Q4 2014
Net income attributable to equity holders was $117 million in the quarter, compared to a net loss of $15 million the same quarter last year. Adjusting for the 2014 notable items, income increased by $70 million. As well, higher net gains on investment securities, and lower taxes were mostly offset by lower contributions from asset/liability management activities and an increase to the collective allowance for credit losses on performing loans.
Q4 2015 vs Q3 2015
Net income attributable to equity holders was $117 million, an increase of $45 million. The increase was mainly due to the above-noted largely offsetting items. As well higher net gains on investment securities, and lower taxes were offset by lower benefits of foreign currency translation (including hedges), and lower contributions from asset/liability management activities.
Total
For the three months ended For the year ended
----------------------------------------------------------------------------
(Unaudited) ($ October 31 July 31 October 31 October 31 October 31
millions) 2015 2015 2014 2015 2014
----------------------------------------------------------------------------
Business segment
income
Net interest
income $ 3,371 $ 3,354 $ 3,099 $ 13,092 $ 12,305
Non-interest
income 2,754 2,770 2,648 10,957 11,299
----------------------------------------------------------
Total revenue 6,125 6,124 5,747 24,049 23,604
Provision for
credit losses 551 480 574 1,942 1,703
Non-interest
expenses 3,286 3,334 3,361 13,041 12,601
Income tax expense 445 463 374 1,853 2,002
----------------------------------------------------------------------------
Net income $ 1,843 $ 1,847 $ 1,438 $ 7,213 $ 7,298
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Net income
attributable to
non-controlling
interests $ 60 $ 52 $ 65 $ 199 $ 227
Net income
attributable to
equity holders of
the Bank $ 1,783 $ 1,795 $ 1,373 $ 7,014 $ 7,071
----------------------------------------------------------------------------
Other measures
Return on
equity(1) 14.2% 14.7% 11.9% 14.6% 16.1%
Average assets ($
billions) $ 881 $ 860 $ 807 $ 861 $ 796
Average
liabilities ($
billions) $ 828 $ 808 $ 756 $ 809 $ 748
----------------------------------------------------------------------------
(1) Refer to Non-GAAP measures section of this press release for a
discussion of these measures.
Quarterly Financial Highlights
For the three months ended
----------------------------------------------------------------------------
October 31 July 31 April 30 January 31
(Unaudited) 2015 2015 2015 2015
----------------------------------------------------------------------------
Total revenue ($ millions) $ 6,125 $ 6,124 $ 5,937 $ 5,863
Total revenue (TEB(1)) ($
millions) 6,198 6,232 6,054 5,955
Net income ($ millions) 1,843 1,847 1,797 1,726
Basic earnings per share ($) 1.46 1.46 1.43 1.36
Diluted earnings per share ($) 1.45 1.45 1.42 1.35
----------------------------------------------------------------------------
----------------------------------------------------------------------------
For the three months ended
----------------------------------------------------------------------------
October 31 July 31 April 30 January 31
(Unaudited) 2014 2014 2014 2014
----------------------------------------------------------------------------
Total revenue ($ millions) $ 5,747 $ 6,487 $ 5,725 $ 5,645
Total revenue (TEB(1)) ($
millions) 5,848 6,576 5,809 5,725
Net income ($ millions) 1,438 2,351 1,800 1,709
Basic earnings per share ($) 1.10 1.86 1.40 1.33
Diluted earnings per share ($) 1.10 1.85 1.39 1.32
----------------------------------------------------------------------------
----------------------------------------------------------------------------
(1) Refer to Non-GAAP measures section of this press release for a
discussion of these measures.
Consolidated Statement of Financial Position
As at
----------------------------------------------------------------------------
October 31 July 31 October 31
(Unaudited) ($ millions) 2015 2015 2014
----------------------------------------------------------------------------
Assets
Cash and deposits with financial
institutions $ 73,927 $ 82,789 $ 56,730
Precious metals 10,550 7,697 7,286
Trading assets
Securities 78,380 83,396 95,363
Loans 18,341 17,306 14,508
Other 2,419 3,003 3,377
----------------------------------------------------------------------------
99,140 103,705 113,248
----------------------------------------------------------------------------
Financial instruments designated at fair
value through profit or loss 320 126 111
Securities purchased under resale
agreements and securities borrowed 87,312 87,512 93,866
Derivative financial instruments 41,003 47,207 33,439
Investment securities 43,216 41,190 38,662
Loans
Residential mortgages 217,498 216,000 212,648
Personal and credit cards 91,477 89,897 84,204
Business and government 153,850 149,276 131,098
----------------------------------------------------------------------------
462,825 455,173 427,950
Allowance for credit losses 4,197 4,125 3,641
----------------------------------------------------------------------------
458,628 451,048 424,309
Other
Customers' liability under acceptances 10,296 11,025 9,876
Property and equipment 2,286 2,237 2,272
Investments in associates 4,033 4,082 3,461
Goodwill and other intangible assets 11,449 11,037 10,884
Deferred tax assets 2,034 2,229 1,763
Other assets 12,303 11,180 9,759
----------------------------------------------------------------------------
42,401 41,790 38,015
----------------------------------------------------------------------------
Total assets $ 856,497 $ 863,064 $ 805,666
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Liabilities
Deposits
Personal $ 190,044 $ 186,298 $ 175,163
Business and government 375,144 377,054 342,367
Financial institutions 35,731 39,439 36,487
----------------------------------------------------------------------------
600,919 602,791 554,017
Financial instruments designated at fair
value through profit or loss 1,486 1,376 465
Other
Acceptances 10,296 11,025 9,876
Obligations related to securities sold
short 20,212 23,363 27,050
Derivative financial instruments 45,270 48,866 36,438
Obligations related to securities sold
under repurchase agreements and
securities lent 77,015 77,764 88,953
Subordinated debentures 6,182 6,184 4,871
Other liabilities 41,638 38,734 34,785
----------------------------------------------------------------------------
200,613 205,936 201,973
----------------------------------------------------------------------------
Total liabilities 803,018 810,103 756,455
----------------------------------------------------------------------------
Equity
Common equity
Common shares 15,141 15,185 15,231
Retained earnings 31,316 30,640 28,609
Accumulated other comprehensive income
(loss) 2,455 2,673 949
Other reserves 173 176 176
----------------------------------------------------------------------------
Total common equity 49,085 48,674 44,965
Preferred shares 2,934 2,934 2,934
----------------------------------------------------------------------------
Total equity attributable to equity
holders of the Bank 52,019 51,608 47,899
Non-controlling interests in
subsidiaries 1,460 1,353 1,312
----------------------------------------------------------------------------
Total equity 53,479 52,961 49,211
----------------------------------------------------------------------------
Total liabilities and equity $ 856,497 $ 863,064 $ 805,666
----------------------------------------------------------------------------
See Basis of Preparation below.
Consolidated Statement of Income
For the three months ended For the year ended
----------------------------------------------------------------------------
(Unaudited) ($ October 31 July 31 October 31 October 31 October 31
millions) 2015 2015 2014(1) 2015 2014(1)
----------------------------------------------------------------------------
Revenue
Interest income
Loans $ 4,849 $ 4,795 $ 4,578 $ 18,912 $ 18,176
Securities 225 229 203 922 921
Securities
purchased under
resale agreements
and securities
borrowed 41 42 48 161 180
Deposits with
financial
institutions 72 77 62 292 263
----------------------------------------------------------------------------
5,187 5,143 4,891 20,287 19,540
----------------------------------------------------------------------------
Interest expense
Deposits 1,508 1,491 1,563 6,070 6,173
Subordinated
debentures 49 50 45 187 204
Other 259 248 184 938 858
----------------------------------------------------------------------------
1,816 1,789 1,792 7,195 7,235
----------------------------------------------------------------------------
Net interest
income 3,371 3,354 3,099 13,092 12,305
----------------------------------------------------------------------------
Non-interest
income
Banking 873 859 828 3,360 3,170
Wealth management 809 837 787 3,269 3,023
Underwriting and
other advisory 109 113 212 525 712
Non-trading
foreign exchange 122 130 106 492 420
Trading revenues 277 248 182 1,185 1,114
Net gain on sale
of investment
securities 182 136 200 639 741
Net income from
investments in
associated
corporations 96 120 72 405 428
Insurance
underwriting
income, net of
claims 147 142 124 556 474
Other 139 185 137 526 1,217
----------------------------------------------------------------------------
2,754 2,770 2,648 10,957 11,299
----------------------------------------------------------------------------
Total revenue 6,125 6,124 5,747 24,049 23,604
Provision for
credit losses 551 480 574 1,942 1,703
----------------------------------------------------------------------------
5,574 5,644 5,173 22,107 21,901
----------------------------------------------------------------------------
Non-interest
expenses
Salaries and
employee benefits 1,544 1,733 1,581 6,681 6,547
Premises and
technology 564 530 507 2,086 1,936
Depreciation and
amortization 157 144 134 584 526
Communications 110 108 106 434 417
Advertising and
business
development 184 148 153 592 571
Professional 161 144 137 548 471
Business and
capital taxes 88 88 81 361 314
Other 478 439 662 1,755 1,819
----------------------------------------------------------------------------
3,286 3,334 3,361 13,041 12,601
----------------------------------------------------------------------------
Income before
taxes 2,288 2,310 1,812 9,066 9,300
Income tax expense 445 463 374 1,853 2,002
----------------------------------------------------------------------------
Net income $ 1,843 $ 1,847 $ 1,438 $ 7,213 $ 7,298
----------------------------------------------------------------------------
Net income
attributable to
non-controlling
interests in
subsidiaries $ 60 $ 52 $ 65 $ 199 $ 227
Net income
attributable to
equity holders of
the Bank $ 1,783 $ 1,795 $ 1,373 $ 7,014 $ 7,071
Preferred
shareholders 29 28 30 117 155
Common
shareholders $ 1,754 $ 1,767 $ 1,343 $ 6,897 $ 6,916
----------------------------------------------------------------------------
Earnings per
common share(in
dollars)
Basic $ 1.46 $ 1.46 $ 1.10 $ 5.70 $ 5.69
Diluted $ 1.45 $ 1.45 $ 1.10 $ 5.67 $ 5.66
----------------------------------------------------------------------------
----------------------------------------------------------------------------
(1) Certain prior period amounts have been restated to conform to the
current period presentation.
See Basis of Preparation below.
Consolidated Statement of Changes in Equity
Accumulated other comprehensive income
(loss)
--------------------------------------
Retained Foreign Available-
($ millions) Common earnings currency for-sale Cash flow
(Unaudited) shares (1) translation securities hedges
----------------------------------------------------------------------------
Balance as at
November 1,
2014 $ 15,231 $ 28,609 $ 700 $ 664 $ (48)
Net income - 6,897 - - -
Other
comprehensive
income (loss) - - 1,933 (470) 55
------------------------------------------------------------
Total
comprehensive
income $ - $ 6,897 $ 1,933 $ (470) $ 55
Shares issued 104 - - - -
Shares
repurchased/red
eemed (194) (761) - - -
Common dividends
paid - (3,289) - - -
Preferred
dividends paid - - - - -
Distributions to
non-contolling
interests - - - - -
Share-based
payments - - - - -
Other - (140)(4) - - -
------------------------------------------------------------
Balance as at
October 31,
2015 $ 15,141 $ 31,316 $ 2,633 $ 194 $ 7
----------------------------------------------------------------------------
Balance as
reported
November 1,
2013 $ 14,516 $ 25,315 $ (173) $ 705 $ (42)
Opening
adjustment(7) - (247) - - -
------------------------------------------------------------
Restated balance 14,516 25,068 (173) 705 (42)
Net income - 6,916 - - -
Other
comprehensive
income (loss) - - 873 (41) (6)
------------------------------------------------------------
Total
comprehensive
income $ - $ 6,916 $ 873 $ (41) $ (6)
Shares issued 771 3 - - -
Shares
repurchased/red
eemed (56) (264) - - -
Common dividends
paid - (3,110) - - -
Preferred
dividends paid - - - - -
Distributions to
non-contolling
interests - - - - -
Share-based
payments - - - - -
Other - (4) - - -
------------------------------------------------------------
Balance as at
October 31,
2014 $ 15,231 $ 28,609 $ 700 $ 664 $ (48)
----------------------------------------------------------------------------
Balance as
reported
November 1,
2012 $ 13,139 $ 21,978 $ (528) $ 597 $ (135)
Opening
adjustment(7) - (203) - - -
------------------------------------------------------------
Restated balance 13,139 21,775 (528) 597 (135)
Net income - 6,162 - - -
Other
comprehensive
income (loss) - - 358 108 93
------------------------------------------------------------
Total
comprehensive
income $ - $ 6,162 $ 358 $ 108 $ 93
Shares issued 1,377 1 - - -
Preferred shares
redeemed - - - - -
Common dividends
paid - (2,858) - - -
Preferred
dividends paid - - - - -
Distributions to
non-contolling
interests - - - - -
Share-based
payments - - - - -
Other - (12) (3) - -
------------------------------------------------------------
Balance as at
October 31,
2013(7) $ 14,516 $ 25,068 $ (173) $ 705 $ (42)
----------------------------------------------------------------------------
Accumulated other comprehensive
income (loss)
------------------------------------
Own
Share from Employee Credit Other Total
($ millions) associates benefits Risk reserves common
(Unaudited) (2) (2) (2) (3) equity
----------------------------------------------------------------------------
Balance as at
November 1,
2014 $ 113 $ (480) $ - $ 176 $ 44,965
Net income - - - - $ 6,897
Other
comprehensive
income (loss) (8) (14) 15 - $ 1,511
------------------------------------------------------------
Total
comprehensive
income $ (8) $ (14) $ 15 $ - $ 8,408
Shares issued - - - (17) 87
Shares
repurchased/red
eemed - - - - (955)
Common dividends
paid - - - - (3,289)
Preferred
dividends paid - - - - -
Distributions to
non-contolling
interests - - - - -
Share-based
payments - - - 14 14
Other - - (5)(5) - (145)
------------------------------------------------------------
Balance as at
October 31,
2015 $ 105 $ (494) $ 10 $ 173 $ 49,085
----------------------------------------------------------------------------
Balance as
reported
November 1,
2013 $ 55 $ - $ - $ 193 $ 40,569
Opening
adjustment(7) - (157) - - (404)
------------------------------------------------------------
Restated balance 55 (157) - 193 40,165
Net income - - - - 6,916
Other
comprehensive
income (loss) 58 (323) - - 561
------------------------------------------------------------
Total
comprehensive
income $ 58 $ (323) $ - $ - $ 7,477
Shares issued - - - (34) 740
Shares
repurchased/red
eemed - - - - (320)
Common dividends
paid - - - - (3,110)
Preferred
dividends paid - - - - -
Distributions to
non-contolling
interests - - - - -
Share-based
payments - - - 30 30
Other - - - (13)(8) (17)
------------------------------------------------------------
Balance as at
October 31,
2014 $ 113 $ (480) $ - $ 176 $ 44,965
----------------------------------------------------------------------------
Balance as
reported
November 1,
2012 $ 35 $ - $ - $ 166 $ 35,252
Opening
adjustment(7) - (714) - - (917)
------------------------------------------------------------
Restated balance 35 (714) - 166 34,335
Net income - - - 6,162
Other
comprehensive
income (loss) 20 557 - - 1,136
------------------------------------------------------------
Total
comprehensive
income $ 20 $ 557 $ - $ - $ 7,298
Shares issued - - - (35) 1,343
Preferred shares
redeemed - - - - -
Common dividends
paid - - - - (2,858)
Preferred
dividends paid - - - - -
Distributions to
non-contolling
interests - - - - -
Share-based
payments - - - 36 36
Other - - - 26(8) 11
------------------------------------------------------------
Balance as at
October 31,
2013(7) $ 55 $ (157) $ - $ 193 $ 40,165
----------------------------------------------------------------------------
Non-controlling interests
---------------------------
Total
common Non- Capital
and controlling instruments
($ millions) Preferred preferred interest in equity
(Unaudited) shares equity subsidiaries holders Total
----------------------------------------------------------------------------
Balance as at
November 1,
2014 $ 2,934 $ 47,899 $ 1,312 $ - $ 49,211
Net income 117 $ 7,014 199 - 7,213
Other
comprehensive
income (loss) - $ 1,511 (75) - 1,436
------------------------------------------------------------
Total
comprehensive
income $ 117 $ 8,525 $ 124 $ - $ 8,649
Shares issued - 87 - - 87
Shares
repurchased/red
eemed - (955) - - (955)
Common dividends
paid - (3,289) - - (3,289)
Preferred
dividends paid (117) (117) - - (117)
Distributions to
non-contolling
interests - - (86) - (86)
Share-based
payments - 14 - - 14
Other - (145) 110(6) - (35)
------------------------------------------------------------
Balance as at
October 31,
2015 $ 2,934 $ 52,019 $ 1,460 $ - $ 53,479
----------------------------------------------------------------------------
Balance as
reported
November 1,
2013 $ 4,084 $ 44,653 $ 1,155 $ 743 $ 46,551
Opening
adjustment(7) - (404) (17) (743) (1,164)
------------------------------------------------------------
Restated balance 4,084 44,249 1,138 - 45,387
Net income 155 7,071 227 - 7,298
Other
comprehensive
income (loss) - 561 22 - 583
------------------------------------------------------------
Total
comprehensive
income $ 155 $ 7,632 $ 249 $ - $ 7,881
Shares issued - 740 - - 740
Shares
repurchased/red
eemed (1,150) (1,470) - - (1,470)
Common dividends
paid - (3,110) - - (3,110)
Preferred
dividends paid (155) (155) - - (155)
Distributions to
non-contolling
interests - - (76) - (76)
Share-based
payments - 30 - - 30
Other - (17) 1(6) - (16)
------------------------------------------------------------
Balance as at
October 31,
2014 $ 2,934 $ 47,899 $ 1,312 $ - $ 49,211
----------------------------------------------------------------------------
Balance as
reported
November 1,
2012 $ 4,384 $ 39,636 $ 966 $ 777 $ 41,379
Opening
adjustment(7) - (917) (20) (777) (1,714)
------------------------------------------------------------
Restated balance 4,384 38,719 946 - 39,665
Net income 217 6,379 231 - 6,610
Other
comprehensive
income (loss) - 1,136 (4) - 1,132
------------------------------------------------------------
Total
comprehensive
income $ 217 $ 7,515 $ 227 $ - $ 7,742
Shares issued - 1,343 - - 1,343
Preferred shares
redeemed (300) (300) - - (300)
Common dividends
paid - (2,858) - - (2,858)
Preferred
dividends paid (217) (217) - - (217)
Distributions to
non-contolling
interests - - (80) - (80)
Share-based
payments - 36 - - 36
Other - 11 45(6) - 56
------------------------------------------------------------
Balance as at
October 31,
2013(7) $ 4,084 $ 44,249 $ 1,138 $ - $ 45,387
----------------------------------------------------------------------------
(1) Includes undistributed retained earnings of $61(2014 - $52; 2013 - $43)
related to a foreign associated corporation, which is subject to local
regulatory restriction.
(2) Represents amounts that will not be reclassified subsequently to net
income. Share from associates $1 (2014 - $(2); 2013 - nil) will not be
reclassified subsequently to net income.
(3) Represents amounts on account of share-based payments.
(4) Includes retrospective adjustments primarily related to foreign
currency translation on Allowance for Credit Losses with respect to
periods prior to 2013 ($152).
(5) Represents retrospective adjustments to reflect the adoption of the own
credit risk provisions of IFRS 9 pertaining to financial liabilities
designated at fair value through profit or loss.
(6) Includes changes to non-controlling interests arising from business
combinations.
(7) Certain prior period amounts are retrospectively adjusted to reflect
the adoption of new and amended IFRS standards (IFRS 10 and IAS 19) in
2014.
(8) Includes impact of Tandem SARs voluntarily renounced by certain
employees while retaining their corresponding option for shares.
See Basis of Preparation below.
Consolidated Statement of Comprehensive Income
For the three months ended For the year ended
-------------------------------------------------------
(Unaudited) ($ October 31 July 31 October 31 October 31 October 31
millions) 2015 2015 2014 2015 2014
----------------------------------------------------------------------------
Net income $ 1,843 $ 1,847 $ 1,438 $ 7,213 $ 7,298
Other comprehensive
income (loss)
Items that will be
reclassified
subsequently to net
income
Net change in
unrealized foreign
currency
translation gains
(losses):
Net unrealized
foreign currency
translation gains
(losses) (311) 2,178 574 3,145 1,607
Net gains (losses)
on hedges of net
investments in
foreign operations 45 (1,061) (376) (1,677) (943)
Income tax expense
(benefit):
Net unrealized
foreign currency
translation
gains (losses) 1 29 9 46 25
Net gains
(losses) on
hedges of net
investments in
foreign
operations 10 (280) (99) (433) (250)
-------------------------------------------------------
(277) 1,368 288 1,855 889
Net change in
unrealized gains
(losses) on
available-for-sale
securities:
Net unrealized
gains (losses) on
available-for-sale
securities (134) 125 139 386 801
Reclassification of
net (gains) losses
to net income(1) (176) (264) (278) (966) (934)
Income tax expense
(benefit):
Net unrealized
gains (losses)
on available-
for-sale
securities 24 41 27 161 186
Reclassification
of net (gains)
losses to net
income (26) (84) (82) (261) (281)
-------------------------------------------------------
(308) (96) (84) (480) (38)
Net change in gains
(losses) on
derivative
instruments
designated as cash
flow hedges:
Net gains (losses)
on derivative
instruments
designated as cash
flow hedges (23) 1,595 (22) 1,519 441
Reclassification of
net (gains) losses
to net income 176 (1,683) 74 (1,444) (447)
Income tax expense
(benefit):
Net gains
(losses) on
derivative
instruments
designated as
cash flow hedges (19) 489 (9) 450 137
Reclassification
of net (gains)
losses to net
income 61 (513) 23 (430) (137)
-------------------------------------------------------
111 (64) 38 55 (6)
-------------------------------------------------------
Other comprehensive
income from
investments in
associates (3) (23) 33 (9) 60
-------------------------------------------------------
Items that will not
be reclassified
subsequently to net
income
Net change in
remeasurement of
employee benefit
plan asset and
liability:
Actuarial gains
(losses) on
employee benefit
plans 332 125 (58) (3) (432)
Income tax expense
(benefit) 81 39 (14) (2) (112)
-------------------------------------------------------
251 86 (44) (1) (320)
Net change in fair
value due to
change in own
credit risk on
financial
liabilities
designated under
the fair value
option(2):
Change in fair
value due to
change in own
credit risk on
financial
liabilities
designated under
the fair value
option 12 8 - 20 -
Income tax expense
(benefit) 3 2 - 5 -
-------------------------------------------------------
9 6 - 15 -
-------------------------------------------------------
Other comprehensive
income from
investments in
associates - - - 1 (2)
-------------------------------------------------------
Other comprehensive
income (loss) (217) 1,277 231 1,436 583
-------------------------------------------------------
Comprehensive income $ 1,626 $ 3,124 $ 1,669 $ 8,649 $ 7,881
-------------------------------------------------------
Comprehensive income
attributable to non-
controlling
interests $ 61 $ 18 $ 47 $ 124 $ 249
-------------------------------------------------------
Comprehensive income
attributable to
equity holders of
the Bank $ 1,565 $ 3,106 $ 1,622 $ 8,525 $ 7,632
Preferred
shareholders 29 28 30 117 155
Common shareholders $ 1,536 $ 3,078 $ 1,592 $ 8,408 $ 7,477
----------------------------------------------------------------------------
(1) Includes amounts related to qualifying hedges.
(2) In accordance with the transition requirements for the own credit risk
provisions of IFRS 9, prior period comparatives have not been restated
for the adoption of this standard in 2015.
See Basis of Preparation below
Consolidated Statement of Cash Flows
For the three months
(Unaudited) ($ millions) ended For the year ended
----------------------------------------------------------------------------
Sources (uses) of cash October 31 October 31 October 31 October 31
flows 2015 2014 2015 2014
----------------------------------------------------------------------------
Cash flows from operating
activities
Net income $ 1,843 $ 1,438 $ 7,213 $ 7,298
Adjustment for:
Net interest income (3,371) (3,099) (13,092) (12,305)
Depreciation and
amortization 157 134 584 526
Provisions for credit
losses 551 574 1,942 1,703
Equity-settled share-
based payment expense 2 3 14 30
Net gain on sale of
investment securities (182) (200) (639) (741)
Realized gain on sale of
an investment in an
associate - - - (469)
Unrealized gain on
reclassification of an
investment in an
associate - - - (174)
Net income from
investments in
associated corporations (96) (72) (405) (428)
Provision for income
taxes 445 374 1,853 2,002
Changes in operating assets
and liabilities:
Trading assets 4,238 7,936 20,302 (13,848)
Securities purchased
under resale agreements
and securities borrowed 99 (1,137) 13,991 (7,526)
Loans (9,265) (3,270) (22,942) (16,785)
Deposits (807) 2,729 13,915 20,224
Obligations related to
securities sold short (3,162) (3,064) (8,101) 1,506
Obligations related to
assets sold under
repurchase agreements
and securities lent (516) (3,383) (18,982) 7,306
Net derivative financial
instruments 2,687 (664) 2,442 (1,147)
Other, net (3,402) 4,275 4,707 7,181
Dividends received 217 296 1,147 1,063
Interest received 4,846 4,560 19,145 18,438
Interest paid (1,644) (1,653) (7,262) (7,509)
Income tax paid (352) (154) (1,985) (1,401)
----------------------------------------------------------------------------
Net cash from/(used in)
operating activities (7,712) 5,623 13,847 4,944
----------------------------------------------------------------------------
Cash flows from investing
activities
Interest-bearing deposits
with financial
institutions 8,640 (5,225) (8,448) 213
Purchase of investment
securities (11,310) (10,684) (44,684) (47,328)
Proceeds from sale and
maturity of investment
securities 8,836 11,488 41,649 44,876
Acquisition/sale of
subsidiaries, associated
corporations or business
units, net of cash
acquired - (505) (701) 2,045
Property and equipment, net
of disposals (145) (74) (282) (277)
Other, net (406) 2 (1,053) (115)
----------------------------------------------------------------------------
Net cash from/(used in)
investing activities 5,615 (4,998) (13,519) (586)
----------------------------------------------------------------------------
Cash flows from financing
activities
Proceeds from issue of
subordinated debentures 12 - 1,248 -
Redemption/ repayment of
subordinated debentures (12) - (18) (1,000)
Redemption of preferred
shares - - - (1,150)
Proceeds from common shares
issued 22 122 101 753
Common share purchased for
cancellation (311) (176) (955) (320)
Cash dividends paid (870) (833) (3,406) (3,265)
Distributions to non-
controlling interests (12) (11) (86) (76)
Other, net 3,112 399 3,379 872
----------------------------------------------------------------------------
Net cash from/(used in)
financing activities 1,941 (499) 263 (4,186)
----------------------------------------------------------------------------
Effect of exchange rate
changes on cash and cash
equivalents (39) 44 305 207
----------------------------------------------------------------------------
Net change in cash and cash
equivalents (195) 170 896 379
Cash and cash equivalents
at beginning of period(1) 6,919 5,658 5,828 5,449
----------------------------------------------------------------------------
Cash and cash equivalents
at end of year(1) $ 6,724 $ 5,828 $ 6,724 $ 5,828
----------------------------------------------------------------------------
(1) Represents cash and non-interest bearing deposits with financial
institutions.
See Basis of Preparation below.
Basis of preparation
These unaudited consolidated financial statements were prepared in accordance with IFRS as issued by IASB and accounting requirements of OSFI in accordance with Section 308 of the Bank Act, except for certain required disclosures. Therefore, these unaudited consolidated financial statements should be read in conjunction with the Bank's audited consolidated financial statements for the year ended October 31, 2015 which will be available today at Scotiabank.com.
Forward looking statements
Our public communications often include oral or written forward-looking statements. Statements of this type are included in this document, and may be included in other filings with Canadian securities regulators or the U.S. Securities and Exchange Commission, or in other communications. All such statements are made pursuant to the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995 and any applicable Canadian securities legislation.
Forward-looking statements may include, but are not limited to, statements made in this Management's Discussion and Analysis in the
Bank's 2015 Annual Report under the headings "Overview - Outlook," for Group Financial Performance "Outlook," for each business segment "Outlook" and in other statements regarding the Bank's objectives, strategies to achieve those objectives, the regulatory environment in which the Bank operates, anticipated financial results (including those in the area of risk management), and the outlook for the Bank's businesses and for the Canadian, U.S. and global economies. Such statements are typically identified by words or phrases such as "believe," "expect," "anticipate," "intent," "estimate," "plan," "may increase," "may fluctuate," and similar expressions of future or conditional verbs, such as "will," "may", "should," "would" and "could."
By their very nature, forward-looking statements involve numerous assumptions, inherent risks and uncertainties, both general and specific, and the risk that predictions and other forward-looking statements will not prove to be accurate. Do not unduly rely on forward-looking statements, as a number of important factors, many of which are beyond the Bank's control and the effects of which can be difficult to predict, could cause actual results to differ materially from the estimates and intentions expressed in such forward-looking statements. These factors include, but are not limited to: the economic and financial conditions in Canada and globally; fluctuations in interest rates and currency values; liquidity and funding; significant market volatility and interruptions; the failure of third parties to comply with their obligations to the Bank and its affiliates; changes in monetary policy; legislative and regulatory developments in Canada and elsewhere, including changes to, and interpretations of tax laws and risk-based capital guidelines and reporting instructions and liquidity regulatory guidance; changes to the Bank's credit ratings; operational (including technology) and infrastructure risks; reputational risks; the risk that the Bank's risk management models may not take into account all relevant factors; the accuracy and completeness of information the Bank receives on customers and counterparties; the timely development and introduction of new products and services in receptive markets; the Bank's ability to expand existing distribution channels and to develop and realize revenues from new distribution channels; the Bank's ability to complete and integrate acquisitions and its other growth strategies; critical accounting estimates and the effects of changes in accounting policies and methods used by the Bank (See "Controls and Accounting Policies - Critical accounting estimates" in the Bank's 2015 Annual Report, as updated by quarterly reports);
global capital markets activity; the Bank's ability to attract and retain key executives; reliance on third parties to provide components of the Bank's business infrastructure; unexpected changes in consumer spending and saving habits; technological developments; fraud by internal or external parties, including the use of new technologies in unprecedented ways to defraud the Bank or its customers; increasing cyber security risks which may include theft of assets, unauthorized access to sensitive information or operational disruption; consolidation in the Canadian financial services sector; competition, both from new entrants and established competitors; judicial and regulatory proceedings; natural disasters, including, but not limited to, earthquakes and hurricanes, and disruptions to public infrastructure, such as transportation, communication, power or water supply; the possible impact of international conflicts and other developments, including terrorist activities and war; the effects of disease or illness on local, national or international economies; and the Bank's anticipation of and success in managing the risks implied by the foregoing. A substantial amount of the Bank's business involves making loans or otherwise committing resources to specific companies, industries or countries. Unforeseen events affecting such borrowers, industries or countries could have a material adverse effect on the Bank's financial results, businesses, financial condition or liquidity. These and other factors may cause the Bank's actual performance to differ materially from that contemplated by forward-looking statements. For more information, see the "Risk Management" section starting on page 66 of the Bank's 2015 Annual Report.
Material economic assumptions underlying the forward-looking statements contained in this document are set out in the 2015 Annual Report under the heading "Overview - Outlook," as updated by quarterly reports; and for each business segment "Outlook". The "Outlook" sections in this document are based on the Bank's views and the actual outcome is uncertain. Readers should consider the above-noted factors when reviewing these sections.
The preceding list of factors is not exhaustive of all possible risk factors and other factors could also adversely affect the Bank's results. When relying on forward-looking statements to make decisions with respect to the Bank and its securities, investors and others should carefully consider the preceding factors, other uncertainties and potential events. The Bank does not undertake to update any forward-looking statements, whether written or oral, that may be made from time to time by or on its behalf.
Additional information relating to the Bank, including the Bank's Annual Information Form, can be located on the SEDAR website at www.sedar.com and on the EDGAR section of the SEC's website at www.sec.gov.
December 1, 2015
Shareholder and investor information
Direct deposit service
Shareholders may have dividends deposited directly into accounts held at financial institutions which are members of the Canadian Payments Association. To arrange direct deposit service, please write to the transfer agent.
Dividend and Share Purchase Plan
Scotiabank's dividend reinvestment and share purchase plan allows common and preferred shareholders to purchase additional common shares by reinvesting their cash dividend without incurring brokerage or administrative fees.
As well, eligible shareholders may invest up to $20,000 each fiscal year to purchase additional common shares of the Bank. All administrative costs of the plan are paid by the Bank.
For more information on participation in the plan, please contact the transfer agent.
Dividend dates for 2016
Record and payment dates for common and preferred shares, subject to approval by the Board of Directors.
Record Date Payment Date January 5 January 27 April 5 April 27 July 5 July 27 October 4 October 27
Annual Meeting date for fiscal 2015
Shareholders are invited to attend the 184th Annual Meeting of Holders of Common Shares, to be held on April 12, 2016, at the Calgary Telus Convention Centre, 120 9th Avenue SE, Calgary, Alberta, beginning at 9:30 a.m. local time. The record date for determining shareholders entitled to receive notice of and to vote at the meeting will be the close of business on February 16, 2016.
Duplicated communication
If your shareholdings are registered under more than one name or address, multiple mailings will result. To eliminate this duplication, please write to the transfer agent to combine the accounts.
Normal Course Issuer Bid
A copy of the Notice of Intention to commence the Normal Course Issuer Bid is available without charge by contacting the Secretary's Department at (416) 866-3672.
Website
For information relating to Scotiabank and its services, visit us at our website: www.scotiabank.com.
Conference call and Web broadcast
The quarterly results conference call will take place on December 1, 2015, at 8:00 am EST and is expected to last approximately one hour. Interested parties are invited to access the call live, in listen-only mode, by telephone, toll-free, at (416) 847-6330 or 1-866-530-1553 (please call five to 15 minutes in advance). In addition, an audio webcast, with accompanying slide presentation, may be accessed via the Investor Relations page of www.scotiabank.com. Following discussion of the results by Scotiabank executives, there will be a question and answer session.
A telephone replay of the conference call will be available from December 1, 2015, to December 16, 2015, by calling (647) 436-0148 or 1-888-203-1112 (North America toll-free) and entering the identification code 8929747#. The archived audio webcast will be available on the Bank's website for three months.
Contact information
Investors:
Financial analysts, portfolio managers and other investors requiring financial information, please contact Investor Relations, Finance Department:
Scotiabank Scotia Plaza, 44 King Street West Toronto, Ontario, Canada M5H 1H1 Telephone: (416) 933-8774 Fax: (416) 866-7867 E-mail: investor.relations@scotiabank.com
Media:
For media enquiries, please contact the Public and Corporate Affairs Department at the above address.
Telephone: (416) 933-1795 Fax: (416) 866-4988 E-mail: corporate.communications@scotiabank.com
Shareholders:
For enquiries related to changes in share registration or address, dividend information, lost share certificates, estate transfers, or to advise of duplicate mailings, please contact the Bank's transfer agent:
Computershare Trust Company of Canada 100 University Avenue, 8th Floor Toronto, Ontario, Canada M5J 2Y1 Telephone: 1-877-982-8767 Fax: 1-888-453-0330 E-mail: service@computershare.com Co-Transfer Agent (U.S.A.) Computershare Trust Company N.A. 250 Royall Street Canton, MA 02021 U.S.A. Telephone: 1-800-962-4284
For other shareholder enquiries, please contact the Finance Department:
Scotiabank Scotia Plaza, 44 King Street West Toronto, Ontario, Canada M5H 1H1 Telephone: (416) 866-4790 Fax: (416) 866-4048 E-mail: corporate.secretary@scotiabank.com
Rapport trimestriel disponible en francais
Le Rapport annuel et les etats financiers de la Banque sont publies en francais et en anglais et distribues aux actionnaires dans la version de leur choix. Si vous preferez que la documentation vous concernant vous soit adressee en francais, veuillez en informer Relations publiques, Affaires de la societe et Affaires gouvernementales, La Banque de Nouvelle-Ecosse, Scotia Plaza, 44, rue King Ouest, Toronto (Ontario), Canada M5H 1H1, en joignant, si possible, l'etiquette d'adresse, afin que nous puissions prendre note du changement.
Contacts:
Scotiabank
(416) 866-4790
(416) 866-4048 (FAX)
corporate.secretary@scotiabank.com
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