Scotiabank ESG and Financial Performance Update slide image

Scotiabank ESG and Financial Performance Update

International Banking: CCA¹ FINANCIAL PERFORMANCE AND METRICS ($MM) Reported (Constant FX) 2,3 Q2/23 Q1/23 Q2/22 Q/Q² Y/Y² 20% Revenue $623 $603 $547 3% 14% Central America Expenses $344 $350 $328 (2%) 5% GEOGRAPHIC DISTRIBUTION 7,8 REVENUE 65% English Caribbean PTPP4,9 $279 $253 $219 10% 28% $623MM Provision for Credit Losses $25 $37 $43 (32%) (42%) 15% Net Income Attributable to Equity $172 $141 $99 22% 74% Holders (NIAEH) Dominican Republic Net Interest Margin⁹ 6.00% 5.68% 5.02% 32 bps 98 bps Return on Equity⁹ 20.9% 16.5% 11.1% 441 bps 981 bps 13% Productivity Ratio5 55.2% 57.8% 60.6% (262 bps) (544 bps) Central America Risk Adjusted Margin 6,9 5.65% 5.19% 4.41% 46 bps Effective Tax Rate 22.0% 22.3% 30.4% (37 bps) 124 bps (850 bps) 9% NIAEH³ $172MM 78% English Caribbean RETURN ON EQUITY (%) 54.1% Dominican Republic 26.1% 17.6% 7.9% 8.5% 10.4% 6.0% 4.9% 2021 2022 6.8% Q2/23 English Caribbean Dominican Republic Central America 32% Central America 15% Dominican Republic AVERAGE EARNING ASSETS $33Bn 54% English Caribbean 1 Figures excluding wealth management: 2 Current and prior period dollars, Y/Y and Q/Q growth rates (%) are on a constant dollar basis, while metrics and change in bps are on a reported basis; 3 Refer to non- GAAP measures on page 4 of the Management's Discussion & Analysis in the Bank's Second Quarter 2023 Report to Shareholders, available on http://www.sedar.com; 4 Pre-Tax, Pre-Provision Profit defined as revenues less expenses; 5 Refer to page 54 of the Management's Discussion & Analysis in the Bank's Second Quarter 2023 Report to Shareholders, available on http://www.sedar.com, for an explanation of the composition of the measure. Such explanation is incorporated by reference hereto; 6 Risk-Adjusted Margin calculated as (Net Interest Income less Provision for Credit Losses) / Average Core Earning Assets; 7 For the 3 months ended April 30, 2023; 8 May not add due to rounding; 9 See non-GAAP reconciliations beginning on slide 83 34
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