Q1 2017 Financial Performance slide image

Q1 2017 Financial Performance

Q1 2017 Financial Performance $ millions, except EPS Q1/17 Q/Q Y/Y Net Income $2,009 +11% • Diluted EPS $1.57 +10% . Revenues $6,868 +2% $3,689 +1% +8% +3% • Productivity Ratio Expenses 53.7% -40bps -240bps Core Banking Margin 2.40% Dividends Per Common Share +2bps Year-over-Year Highlights Net Income grew 11% Diluted EPS growth of 10% Revenue growth of 8% Higher asset growth and wider margins across all business lines, partly offset by lower contributions from asset/liability management activities Increased banking, trading, underwriting and wealth management fees Gains on sale of real estate were offset by lower net gain on investment securities +$0.02 • Expense growth of 3% +$0.02 +$0.02 $0.74 $0.74 $0.72 $0.72 $0.70 Q1/16 Q2/16 Q3/16 Q4/16 Q1/17 Announced dividend increase 7 • Focused investment on business initiatives continues to drive higher digital and technology related expenses Higher employee related costs Partly offset by benefits from cost reduction initiatives and lower advertising and other business expenses Operating leverage of +4.5% Scotiabank®
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