International Banking - Annual Overview
FISCAL 2017 FINANCIAL PERFORMANCE - ANNUAL
Strong performance across all three business lines
$MM, EXCEPT EPS
2017
Change¹
Net Income
$8,243
+8%
•
Diluted EPS
$6.49
+8%
•
Revenue
$27,155
+3%
Expenses
$14,630
+3%
Productivity Ratio
53.9%
+20bps
Core Banking Margin
2.46%
+8bps
•
PCL Ratio
45bps
-5bps
NET INCOME¹ BY BUSINESS SEGMENT ($MM)
+9%
Y/Y
+15%
Y/Y
+16%
Y/Y
3,736 4,064
2,079 2,390
1,571 1,818
Canadian Banking
International Banking Global Banking and
Markets
■ 2016 2017
1 Adjusting for restructuring charge of $278 million after-tax ($378 million before-tax) in Q2/16
•
ANNUAL HIGHLIGHTS1
Diluted EPS grew 8%
Revenue up 3%
。 Asset growth and higher core banking margin
。 Banking, wealth management and insurance services
。 Lower trading and net gain on sale of businesses
。 Lower net gains on investment securities only
partially offset by higher gains on sale of real estate
Expense growth of 3%
。 Technology costs and professional fees
。 Employee-related costs and impact of acquisitions
FY2017 operating leverage was flat
。 Structural cost transformation savings of
approximately $500 million for the year, ahead of
$350 million target
。 Savings contributed to low all-bank expense growth
and enabled technology and digital investments
。 Strong positive operating leverage in Canadian
Banking and International Banking, but lower non-
interest revenues from Global Banking and Markets
and Other
⚫ PCL ratio improved 5 bps
。 Lower energy related credit losses
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