Americas Wholesale Banking Growth and M&A Advisory slide image

Americas Wholesale Banking Growth and M&A Advisory

Canadian Banking: Overview Canadian Banking provides a full suite of financial advice and banking solutions, supported by an excellent customer experience, to over 11 million Retail, Small Business and Commercial Banking customers. Through Tangerine, Canadian Banking also provides digital banking solutions to over 2 million customers. Business Mix Retail 67% Residential Mortgages 63% Financial Results $MM Q2/21 Y/Y Q/Q Revenue Mix¹, 2 $2.6B Average Loan Mix¹ $370B 12% 14% Auto Business and 9% Reported Net Income³ $927 95% 2% Pre-Tax, Pre Provision Profit $1,395 7% (3%) Revenue 33% Business Banking $2,624 4% (1%) Government Loans 2% Other Personal Credit Cards Adjusted Net Income 3, 4 ($MM) and NIM5 (%) Expenses $1,229 1% 2% Loans PCLs $145 (78%) (32%) Productivity Ratio 46.8% (150 bps) 130 bps 2.33% 2.26% 2.26% 2.26% 2.26% Net Interest Margin5 2.26% (7 bps) PCL Ratio6 16 bps (61 bps) (7 bps) 782 915 931 PCL Ratio on Impaired Loans 27 bps (9 bps) 4 bps 481 433 Adjusted4 Q2/20 Q3/20 Q4/20 Q1/21 Q2/21 Net Income³ $931 94% 2% Medium-Term Financial Objectives Net Income Growth³ Target? 5%+ Pre-Tax, Pre Provision Profit Expenses Productivity Ratio $1,400 7% (3%) $1,224 1% 2% 46.6% (150 bps) 130 bps Productivity Ratio Operating Leverage <44% Positive 1 For the three months ended April 30, 2021; 2 Reflects the adoption of leases accounting standards, IFRS16; 3 Net income attributed to equity shareholders; 4 Adjusted for Acquisition related amounts" 5 Net Interest Margin is on a reported basis; 6 Provision for credit losses on certain assets - loans, acceptances and off-balance sheet exposures; 73-5 year target from 2020 Investor Day 20 20
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