COVID-19 Business Impact Presentation
Canadian Banking
YEAR-OVER-YEAR HIGHLIGHTS
Adjusted Net Income down 42%3
o Higher performing loan PCLs
o Strong volume growth and higher net interest
income offset by lower non-interest income
Revenue flat
。 Net interest income up 4%
o Non-interest income down 11%
Loan growth of 7%
o Residential mortgages up 6%; credit cards flat
o Business loans up 14%
Deposit growth of 4%
o Personal up 3%; Non-Personal up 6%
NIM down 7 bps
Adjusted YTD operating leverage of -1.7%³
1,3
ADJUSTED NET INCOME ¹³ ($MM) AND NIM (%)
$MM
Q2/20
Y/Y
Q/Q
Reported
Net Income¹
$477
(42%)
(44%)
Pre-Tax, Pre Provision Profit
$1,306
(4%)
(11%)
Revenue
$2,526
(7%)
Expenses
$1,220
+4%
(1%)
•
PCLs
$670
+165%
+109%
Productivity Ratio
48.3%
+200 bps
+270 bps
Net Interest Margin
2.33%
(7 bps)
(3 bps)
•
PCL Ratio²
0.77%
+46 bps
+41 bps
PCL Ratio Impaired Loans²
0.36%
+7 bps
+6 bps
Adjusted³
•
Net Income¹
$481
(42%)
(47%)
Pre-Tax, Pre Provision Profit
$1,312
(4%)
(11%)
Expenses
$1,214
+4%
PCLS
$670
+165%
(1%)
+168%
.
.
Productivity Ratio
48.1%
+200 bps
+270 bps
PCL Ratio²
0.77%
+46 bps
+49 bps
PCL Ratio Impaired Loans²
0.36%
+7 bps
+7 bps
2.40%
1 Attributable to equity holders of the Bank
2 Provision for credit losses on certain assets - loans, acceptances and off-balance sheet exposures
3 Refer to Non-GAAP Measures on Slide 44 for adjusted results
2.44%
2.41%
2.36%
2.33%
823
914
902
908
481
Q2/19
Q3/19
Q4/19
Q1/20
Q2/20
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