Fiscal 2018 Financial Performance

INTERNATIONAL BANKING Strong performance in the Pacific Alliance supported by acquisitions FINANCIAL PERFORMANCE AND METRICS ($MM) 1, 2 Reported Q/Q YEAR-OVER-YEAR HIGHLIGHTS² ⚫ Adjusted Net Income up 22% 。 Strong asset and deposit growth in Pacific Alliance o Includes impact of acquisitions and alignment of reporting period Revenues up 22% o Pacific Alliance up 28% Q4/18 Y/Y Revenue $3,134 Expenses $1,721 PCLs $412 Net Income $712 +22% +11% +23% +15% +32% (45%) +18% +36% Productivity Ratio 54.9% +50bps +200bps Net Interest Margin 4.52% (15bps) (18bps) PCL Ratio 1.05% PCL Ratio on Impaired Loans³, 4 Adjusted6 1.20% +6bps (9bps) (153bps) (13bps) Expenses $1,661 +19% +14% • NIM down 15 bps PCLs $412 Net Income $746 Productivity Ratio 53.0% PCL Ratio 3, 4, 6 1.05% +32% +14% +22% +6% (100bps) +130bps (9bps) (18bps) ADJUSTED NET INCOME 16 ($MM) AND NIM5 (%) 4.67% 4.66% 4.74% 4.70% 4.52% 613 675 683 715 746 Loans up 29% o Pacific Alliance loans up 42% . • 。 Mainly driven by the business mix impact of acquisitions Expenses up 19% 6 o Business volume growth, inflation and higher technology costs 。 Full year productivity ratio improvement of 150bps6 Full-year positive operating leverage of 3.1% PCL ratio³, 4, 6 down 9 bps Q4/17 Q1/18 1 Attributable to equity holders of the Bank Q2/18 Q3/18 Q4/18 2 Y/Y and Q/Q growth rates (%) are on a constant dollars basis, while metrics and change in bps are on a reported basis 3 2018 amounts are based on IFRS 9. Prior period amounts were based on IAS 39 4 Provision for credit losses on certain assets-loans, acceptances and off-balance sheet exposures 5 Net Interest Margin is on a reported basis 6 Adjusted for Acquisition-related costs, including integration and amortization costs related to current acquisitions, amortization of intangibles related to current and past acquisitions and the Day 1 PCL impact on acquired performing loans in Q3/18 ⑤Scotiabank® | 12

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