Scotiabank Trinidad and Tobago has seen a drop in profits for the first six months of fiscal year 2023 compared to the same period in 2022.
In the company’s financial report for the six month period ended April 30, 2023, the company recorded after-tax profit of $344 million, $12 million less than the $356 million profit the company gained during the same period last year.
Gayle Pazos, managing director of Scotiabank T&T, Despite the drop in profits, the company announced improved returns to its shareholders, said, “Despite inflationary pressures impacting our expense profile, I am pleased with the group’s core performance. Operational revenue continues to improve, with net interest income improving by 16 per cent year over year and 4 per cent over the last quarter.”
Pazos pointed out that the bank was seeing improvement in terms of loan sales.
She said, “Retail and commercial loans collectively grew by $1.5 billion or 9 per cent, demonstrating the strength of our business lines, the confidence that our customers continue to place in us and our commitment to our market.”
The company’s total revenue, comprising of net interest income and other income, was $974 million for the period ended April 30, 2023, an increase of $22 million or 2 per cent over the prior year.
Net interest income for the period was $695 million, an increase of $98 million or 16 per cent, driven by growth in loans to retail and corporate/commercial customers combined with improved yields on the group’s investment portfolio. However for the six months ended April 30, 2023, other income of $280 million decreased by $76 million compared to 2022 primarily due to lower trading revenues.
She also hailed the company’s digital transformation which has improved customer relationships “through new tools and advancements that help them conduct their business faster, easier and more securely.”
She also announced that Scotia Access customers would have access to new tools offering dedicated support at the touch of a button through the Scotia App. This, she explained, would consolidate the bank’s position as an industry leader in terms of digital banking usage.
She said: “We are first to the local market with this digital functionality, enabling our Scotia Access customers to have instant messaging, voice and video calling with their designated advisors within our secured banking platform.
“Our customers continue to embrace our digital platforms with a record digital adoption of 51.7 per cent, and digital transactions stood at 2.4 million, an increase of 20 per cent year over year.”