International Banking: Pacific Alliance Financial Performance slide image

International Banking: Pacific Alliance Financial Performance

Canadian Banking $MM Q1/21 Y/Y Q/Q Reported • Net Income¹ $911 7% 17% Pre-Tax, Pre Provision Profit $1,444 (2%) 5% Revenue $2,648 (2%) 3% Expenses $1,204 (2%) 2% PCLS $215 (33%) Productivity Ratio 45.5% (10 bps) (35%) (70 bps) • Net Interest Margin 2.26% (10 bps) PCL Ratio² 0.23% (13 bps) (14 bps) PCL Ratio on Impaired Loans² 0.23% (7 bps) (4 bps) . Adjusted³ • Net Income¹ $915 1% 17% Pre-Tax, Pre Provision Profit $1,450 (2%) 5% Expenses $1,198 (2%) 2% PCLS $215 (14%) (35%) Productivity Ratio 45.3% (10 bps) (70 bps) PCL Ratio² 0.23% (5 bps) (14 bps) PCL Ratio on Impaired Loans² 0.23% (6 bps) (4 bps) • YEAR-OVER-YEAR HIGHLIGHTS Adjusted net income 1,3 +1% (+17% Q/Q) o Adjusted PCLs down 14% driven by lower retail delinquencies o Solid volume growth and lower expenses, offset by lower net interest income and non-interest income Revenue -2% (+3% Q/Q) 。 Net interest income +1% Q/Q o Non-interest income +9% Q/Q Adjusted expenses -2%; adjusted operating leverage +0.1% Loan growth of +4% o Residential mortgages +7% o Business loans +5% Deposit growth of +16% o Personal +12%, Non-personal +27% NIM-10 bps (flat Q/Q) o Driven by changes in business mix and Bank of Canada rate cuts 1,3 ADJUSTED NET INCOME ¹³ ($MM) AND NIM (%) 2.36% 2.33% 2.26% 2.26% 2.26% 908 915 782 481 433 Q1/20 Q2/20 Q3/20 Q4/20 Q1/21 1 Attributable to equity holders of the Bank 7 2 Includes provision for credit losses on certain assets - loans, acceptances and off-balance sheet exposures 3 Refer to Non-GAAP Measures on slide 37 for adjusted results
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