Scotiabank T&T recorded a profit after taxation of $488 million for the 9 months ended July 31, 2024,
This represents an increase of $19 million or 3.97 per cent compared to the previous year.
In a news release yesterday, from Scotiabank T&T, said that income after tax for the third quarter was $165 million, $8 million or 5 per cent more than the second quarter of 2024.
Earnings per share (EPS) increased to $2.769 driven by the increase in profitability, with a return on equity (ROE) of 14.5 per cent and return on assets (ROA) of 2.2 per cent.
Based on these results, the bank said it was pleased to announce a dividend of $0.70 per share for the third quarter, representing an improved dividend yield of 4.60 per cent and a payout ratio of 78 per cent.
Regarding the results, managing director of Scotiabank T&T, Gayle Pazos, said, “We are pleased to announce another solid third quarter performance by Scotiabank.
"Total revenue grew by 4 per cent compared to the same period in 2023, driven by net loans to customers of $1.4 billion or 8 per cent, demonstrating the strength and expertise of our retail and commercial teams and their commitment to our customers.
"Our customers continue to embrace our digital channels, with digital transactions increasing by 862,000 or 20 per cent year over year, pushing our digital adoption rate to 55.3 per cent. Digital sales now account for 40.2 per cent of total retail products including lending, deposits, and credit cards.”
Scotia said total revenue, comprising net interest income and other income, was $1.4 billion for the period ended July 31, 2024, an increase of $49 million or 4 per cent over the prior year.
“Net interest income for the period was $1.1 billion, an increase of $51 million or 5 per cent. The main driver was interest from loans to customers, increasing by $66 million or 7 per cent based on loan growth, with customer deposit interest costs increasing by $50 million over the comparable period last year. Investment securities interest increased by $35 million or 26 per cent, as our team continued to manage liquidity while securing higher earning investments through our various partners,” the release said.
Also, total liabilities increased to $26.1 billion, $1.3 billion or 5 per cent over the same comparable period in 2023 with deposits from customers increasing by $1.5 billion or 7 per cent.
“Our deposit portfolio has grown in both the retail and commercial segments and is key to providing stable funding for our credit expansion.”
As it relates to its insurance subsidiary, Scotibank said Scotia Life, continues to be an integral part of the group, contributing 14 per cent of the overall group net income after tax.
“Growth in our customer portfolio remains key, with our recently launched suite of new products accounting for 37 per cent of the new policy sales to date. We continue to strengthen our position with creditor gross premiums increasing by 5 per cent and policyholder liabilities growing by $162 million or 9 per cent,” the release further added.
Scotiabank said its capital adequacy ratio stood at 16.12 per cent as at July 31, 2024 which continues to be significantly above the 10% minimum capital adequacy ratio under BASEL II regulations.