Q3/11 Financial Performance and Outlook
10
Continued Strength in Capital Ratios
Capital Ratios (%)
12.3
11.7
11.8
11.8
12.0
9.7
9.9
9.6
9.4
9.3
Q3/10 Q4/10 Q1/11 Q2/11
Q3/11
Tangible Common Equity
Tier 1
Scotiabank
YTD internal capital
generation of $2,155MM (vs.
$1,484MM in 2010)
YTD common shares stock
issued under DRIP: $466MM
(vs. $470MM in 2010)
Estimated common equity
Tier 1 ratio under Basel III of
7.0% to 7.5% by Q1 2013
Canadian Banking: Continuing Asset Growth
Net Income
($ millions)
461
442
444
Q3/10
Q2/11
Scotiabank
Q3/11
Year-over-Year
Earnings up 4%; revenues up 2%
+ Solid asset and deposit growth
- Margin decrease from competitive pressures,
growth in variable rate mortgages and higher
funding costs
• PCLs down $18MM to $145MM
•
•
•
Expenses up 6%
Higher pension costs from changes in
actuarial assumptions
- Higher performance based compensation
Quarter-over-Quarter
Earnings up 4%; revenues up 5%
+ Strong growth in retail mortgages, consumer
auto loans and commercial loans
+ Higher credit fees in commercial banking
PCLs unchanged
Expenses up 8%
- Longer quarter
- Higher volume related expenses
LO
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