Mar 2017 Financial News

Scotia's 1Q profit up by 8%

Mar 09, 2017

Scotiabank’s profit after tax for the quarter ended 31 January 2017 was $170 million, an increase of $13 million or 8 percent over the comparative period in 2016.

Commenting on the results, Scotiabank’s Managing Director Anya Schnoor said: “The bank has started the year with a strong performance which is very commendable in light of the challenging economic times and the highly competitive market in which we operate. Total loans grew by $467 million or 3 per cent year over year with deposits growing by an impressive $942 million or 6 percent in the same period.”

Yesterday Scotiabank held their Annual General Meeting (AGM) at the Hyatt Regency Hotel, Port-of-Spain.

Total assets at January 31, 2017 were $23.6 billion, representing growth of $1.4 billion or 6 per cent over the comparable period in 2016.

Earnings Per Share (EPS) increased to $0.96 while Return on Equity (ROE) and Return on Assets (ROA) improved to 17.79 percent and 2.88 percent respectively, when compared to the same period.

Based on their performance, the Board of Directors approved a first quarter dividend of 50 cents per ordinary share payable on April 13, 2017 to shareholders on record as at March 15, 2017.

Schnoor also said their new “digital first strategy” will help modernize their services to customers.

“As we continue our strategic priorities and focus on our customers we are also focused on building a better bank through our ‘digital first strategy’ and developing new and innovative tools to make it easier for our customers to bank with us. With this in mind our parent company, the Bank of Nova Scotia launched its Digital Factory in Toronto this year. The opening is a big step forward for us in embracing the changing needs of our clients and staying ahead of the curve by leveraging innovative products through technology.”

She said as the bank moves into its second quarter, they will continue to be focused on the potential effects that economic stagnation will have on clients and so they will continue to refine their risk management policies while also working with customers through this challenging period.

Brendan King, Scotiabank’s Chairman who spoke to the media at the AGM said that trade among countries would also bring stability to the global economic system and Scotiabank will continue to support companies who wish to export.

“President Trump has talked about putting America first and looking at trade deals that support America. But on the other side, he said he believes in trade and wants it to grow and that is good for the whole world. Trade has been every influential on global growth and it has been very good on T&T. I have seen T&T products like manufactured products like food and other types of products in Central America now, in South America. The world is there for T&T and the companies that Scotiabank support,” he said.

Schnoor speaking about the possibility of a prolonged economic downturn in T&T said the bank is prepared for any scenario.

“The great thing about Scotiabank is that we have operated in so many countries around the world and this is not the first time that we have experienced an economy that has gone through a difficult period. That is what gives us confidence in the future,” she said.

Source:
Rapheal John-Lall
Trinidad Guardian
Wednesday March 8, 2017

http://www.guardian.co.tt/business/2017-03-08/scotia%E2%80%99s-1q-profit-8