Scotiabank's 2022 audited annual consolidated financial statements and accompanying Management's Discussion & Analysis (MD&A) are available at www.scotiabank.com along with the supplementary financial information and regulatory capital disclosure reports, which include fourth quarter financial information. All amounts are in Canadian dollars and are based on our audited annual consolidated financial statements and accompanying MD&A for the year ended October 31, 2022 and related notes prepared in accordance with International Financial Reporting Standards (IFRS), unless otherwise noted.

 

Additional information related to the Bank, including the Bank's Annual Information Form, can be found on the SEDAR website at www.sedar.com and on the EDGAR section of the SEC's website at www.sec.gov.



Fiscal 2022 Highlights on a Reported Basis
(versus Fiscal 2021)
 

Fourth Quarter 2022 Highlights on a Reported Basis
(versus Q4, 2021)

•  Net income of $10,174 million, compared to $9,955 million         

•  Net income of $2,093 million, compared to $2,559 million

•  Earnings per share (diluted) of $8.02, compared to $7.70

•  Earnings per share (diluted) of $1.63, compared to $1.97

•  Return on equity(1) of 14.8%, compared to 14.7%

•  Return on equity of 11.9%, compared to 14.8%



Fiscal 2022 Highlights on an Adjusted Basis(2)
(versus Fiscal 2021)

Fourth Quarter 2022 Highlights on an Adjusted Basis(2)
(versus Q4, 2021)

•  Net income of $10,749 million, compared to $10,169 million

•  Net income of $2,615 million, compared to $2,716 million

•  Earnings per share (diluted) of $8.50, compared to $7.87

•  Earnings per share (diluted) of $2.06, compared to $2.10

•  Return on equity of 15.6%, compared to 15.0%

•  Return on equity of 15.0%, compared to 15.6%



Fiscal 2022 Performance versus Medium-Term Objectives

The following table provides a summary of our 2022 performance against our medium-term financial objectives:



Medium-Term Objectives

Fiscal 2022 Results


Reported

Adjusted(2)

Diluted earnings per share growth of 7%+                                                       

4.2 %

8.0 %

Return on equity of 14%+

14.8 %

15.6 %

Achieve positive operating leverage

Negative 2.4%

Negative 1.1%

Maintain strong capital ratios

CET1 capital ratio(3) of 11.5%    

N/A




TORONTO, Nov. 29, 2022 /CNW/ - Scotiabank reported net income of $10,174 million for the fiscal year 2022, compared with net income of $9,955 million in 2021. Diluted earnings per share (EPS) were $8.02, compared to $7.70 in the previous year. Return on equity was 14.8%, compared to 14.7% in the previous year.

Scotiabank Logo (CNW Group/Scotiabank)

Reported net income for the fourth quarter ended October 31, 2022 was $2,093 million compared to $2,559 million in the same period last year. Diluted earnings per share were $1.63, compared to $1.97 in the same period a year ago.

This quarter's net income included adjusting items of $504 million after tax. These consisted of a $66 million restructuring charge relating to the realignment of certain Global Banking and Markets businesses in Asia and an on-going technology modernization, $98 million of committed support costs relating to the expansion of our Scene+ loyalty program and a $340 million loss resulting from the sale of investment in associates in Venezuela and Thailand, as well as the wind down of operations in India and Malaysia mainly currency related.

Adjusted net income(2) was $10,749 million, up from $10,169 million in the previous year, and adjusted EPS was $8.50 versus $7.87 in the previous year.

Adjusted net income(2) for the fourth quarter ended October 31, 2022 was $2,615 million and adjusted EPS was $2.06, compared to $2.10 last year. Adjusted return on equity was 15.0% compared to 15.6% a year ago.

"This year, the Bank remained focused on leading through sound advice and delivering value to our customers, including launching the enhanced Scene+ loyalty program, which has since grown by more than one million new members and was further expanded with the addition of Empire Company Limited to the partnership. Our commitment to our customers has resulted in a number of prestigious recognitions, including Bank of the Year for Canada for the third year in a row from The Banker, Investment Bank of the Year for the Americas from The Banker, and Best Bank in Canada from Euromoney," said Brian Porter, President and CEO of Scotiabank.

Despite the uncertain and volatile operating environment, each of the four business lines contributed strongly to our consolidated fiscal year performance reflecting the diversified earnings power of the Bank.

Canadian Banking generated adjusted earnings of $4,779 million in 2022, an increase of 15% compared to the prior year. The increase was due primarily to higher revenues driven by strong growth of 14% in residential mortgages and a 21% increase in business banking loans, as well as lower provision for credit losses. Non-interest income grew 6%. 

Global Wealth Management reported adjusted earnings of $1,583 million in 2022. Challenging market conditions drove declines in assets under management, impacting fee income, partly offset by strong growth in the advisory business and continued prudent expense management.

Global Banking and Markets generated earnings of $1,911 million, reflecting solid business banking performance, including strong loan growth momentum, while capital markets faced challenging market conditions. Provision for credit losses rose this year due to lower reversals, and expenses grew to support continued business investment.

International Banking delivered a strong rebound in adjusted earnings in 2022. Adjusted earnings of $2,446 million represented a 32% increase compared to the prior year. This was driven by strong commercial and residential mortgage loan growth, prudent expense management and lower provision for credit losses.

For fiscal 2022, the Bank exceeded its medium-term profitability targets on an adjusted basis, in terms of earnings per share growth and return on equity metrics. With a Common Equity Tier 1 capital ratio of 11.5%, the Bank remains well capitalized to support its strategic growth plans and return capital to shareholders. The quarterly dividend remains unchanged at $1.03 per common share.

This year, the Bank released its inaugural Net-Zero Pathways Report, which includes sector-specific decarbonization baselines and targets. The Bank has made significant progress in achieving its climate-related financing target, having mobilized a total of $96 billion in climate-related finance, up from $58 billion last year. In 2022, the Bank released its inaugural ScotiaRISE Impact Report, which highlights the program's first-year results, from the Bank's $500 million, 10-year community investment commitment. Since the launch of ScotiaRISE, the Bank has partnered with more than 200 community organizations and invested more than $60 million in communities across Scotiabank's footprint.

"I am exceedingly proud of what our team of 90,000 Scotiabankers has accomplished over the past 10 years. We have made strategic investments to refocus and strengthen our footprint and position the Bank for continued success over the long term. The Bank is stronger, more diverse, and more inclusive than it has ever been. Simply put, our Bank is a different bank today—one well-placed to deliver consistent long-term growth, and to cultivate our world-class culture, now and into the future," continued Mr. Porter. "It has been the privilege of my life to serve as the CEO of this storied institution. At 190 years old, Scotiabank is older than the country of Canada itself and as we look ahead to 2023, I have every confidence that the Bank's best days are yet to come."

_________________________________________

(1) Refer to page 133 of the Management's Discussion & Analysis in the Bank's 2022 Annual Report, available on www.sedar.com, for an explanation of the composition of the measure. Such explanation is incorporated by reference hereto.

(2) Refer to Non-GAAP Measures section starting on page 22.

(3) This measure has been disclosed in this document in accordance with OSFI Guideline - Capital Adequacy Requirements (November 2018).


Financial Highlights


As at and for the three months ended

As at and for the year ended


October 31


July 31


October 31 

October 31


October 31 


2022


2022


2021

2022


2021

Operating results ($ millions)









Net interest income

4,622


4,676


4,217

18,115


16,961

Non-interest income

3,004


3,123


3,470

13,301


14,291

Total revenue

7,626


7,799


7,687

31,416


31,252

Provision for credit losses

529


412


168

1,382


1,808

Non-interest expenses

4,529


4,191


4,271

17,102


16,618

Income tax expense

475


602


689

2,758


2,871

Net income

2,093


2,594


2,559

10,174


9,955

Net income attributable to common shareholders of the Bank

1,949


2,504


2,411

9,656


9,391

Operating performance









Basic earnings per share ($)

1.64


2.10


1.98

8.05


7.74

Diluted earnings per share ($)

1.63


2.09


1.97

8.02


7.70

Return on equity (%)(1)

11.9


15.3


14.8

14.8


14.7

Return on tangible common equity (%)(2)

15.0


19.2


18.7

18.6


18.7

Productivity ratio (%)(1)

59.4


53.7


55.6

54.4


53.2

Operating leverage (%)(1)






(2.4)


1.1

Net interest margin (%)(2)

2.18


2.22


2.17

2.20


2.23

Financial position information ($ millions)









Cash and deposits with financial institutions

65,895


67,715


86,323




Trading assets

113,154


118,605


146,312




Loans

744,987


713,378


636,986




Total assets

1,349,418


1,292,102


1,184,844




Deposits

916,181


879,582


797,259




Common equity

65,150


65,043


64,750




Preferred shares and other equity instruments

8,075


7,052


6,052




Assets under administration(1)

641,636


630,087


652,924




Assets under management(1)

311,099


319,612


345,762




Capital and liquidity measures









Common Equity Tier 1 (CET1) capital ratio (%)(3)

11.5


11.4


12.3




Tier 1 capital ratio (%)(3)

13.2


13.0


13.9




Total capital ratio (%)(3)

15.3


15.0


15.9




Total loss absorbing capacity (TLAC) ratio (%)(4)

27.4


28.4


27.8




Leverage ratio (%)(5)

4.2


4.2


4.8




TLAC Leverage ratio (%)(4)

8.8


9.3


9.6




Risk-weighted assets ($ millions)(3)

462,448


452,800


416,105




Liquidity coverage ratio (LCR) (%)(6)

119


122


124




Net stable funding ratio (NSFR) (%)(7)

111


109


110




Credit quality









Net impaired loans ($ millions)

3,151


2,695


2,801




Allowance for credit losses ($ millions)(8)

5,499


5,295


5,731




Gross impaired loans as a % of loans and acceptances(1)

0.62


0.58


0.67




Net impaired loans as a % of loans and acceptances(1)

0.41


0.36


0.42




Provision for credit losses as a % of average net loans and acceptances(1)(9)

0.28


0.22


0.10

0.19


0.29

Provision for credit losses on impaired loans as a % of average net loans and acceptances(1)(9)

0.26


0.21


0.31

0.24


0.53

Net write-offs as a % of average net loans and acceptances(1)

0.24


0.21


0.34

0.24


0.54

Adjusted results(2)









Adjusted net income ($ millions)

2,615


2,611


2,716

10,749


10,169

Adjusted diluted earnings per share ($)

2.06


2.10


2.10

8.50


7.87

Adjusted return on equity (%)

15.0


15.4


15.6

15.6


15.0

Adjusted return on tangible common equity (%)

18.7


19.2


19.6

19.5


19.0

Adjusted productivity ratio (%)

53.7


53.4


52.8

52.8


52.2

Adjusted operating leverage (%)






(1.1)


1.5

Common share information









Closing share price ($) (TSX)

65.85


78.01


81.14




Shares outstanding (millions)










Average – Basic

1,192


1,195


1,215

1,199


1,214


Average – Diluted

1,199


1,203


1,224

1,208


1,225


End of period

1,191


1,193


1,215




Dividends paid per share ($)

1.03


1.03


0.90

4.06


3.60

Dividend yield (%)(1)

5.7


5.2


4.5

5.1


5.2

Market capitalization ($ millions) (TSX)

78,452


93,059


98,612




Book value per common share ($)(1)

54.68


54.52


53.28




Market value to book value multiple(1)

1.2


1.4


1.5




Price to earnings multiple (trailing 4 quarters)(1)

8.2


9.3


10.5




Other information









Employees (full-time equivalent)

90,979


90,978


89,488




Branches and offices

2,384


2,392


2,518




(1)

Refer to page 133 of the Management's Discussion & Analysis in the Bank's 2022 Annual Report, available on www.sedar.com, for an explanation of the composition of the measure. Such explanation is incorporated by reference hereto.

(2)

Refer to Non-GAAP Measures section starting on page 22.

(3)

This measure has been disclosed in this document in accordance with OSFI Guideline - Capital Adequacy Requirements (November 2018).

(4)

This measure has been disclosed in this document in accordance with OSFI Guideline - Total Loss Absorbing Capacity (September 2018).

(5)

This measure has been disclosed in this document in accordance with OSFI Guideline - Leverage Requirements (November 2018).

(6)

This measure has been disclosed in this document in accordance with OSFI Guideline – Public Disclosure Requirements for Domestic Systemically Important Banks on Liquidity Coverage Ratio (April 2015).

(7)

This measure has been disclosed in this document in accordance with OSFI Guideline – Public Disclosure Requirements for Domestic Systemically Important Banks on Liquidity Net Stable Funding Ratio Disclosure Requirements (January 2021).

(8)

Includes allowance for credit losses on all financial assets - loans, acceptances, off-balance sheet exposures, debt securities, and deposits with financial institutions.

(9)

Includes provision for credit losses on certain financial assets - loans, acceptances, and off-balance sheet exposures.



Impact of Foreign Currency Translation



Average exchange rate

% Change




October 31


July 31



October 31


October 31, 2022 

October 31, 2022 

For the three months ended


2022


2022



2021


vs. July 31, 2022

vs. October 31, 2021 

U.S. Dollar/Canadian Dollar


0.752


0.778



0.796


(3.3)

%

(5.6)

%

Mexican Peso/Canadian Dollar


15.072


15.678



16.065


(3.9)

%

(6.2)

%

Peruvian Sol/Canadian Dollar


2.942


2.957



3.239


(0.5)

%

(9.2)

%

Colombian Peso/Canadian Dollar


3,381


3,200



3,043


5.7

%

11.1

%

Chilean Peso/Canadian Dollar


696.481


690.164



631.752


0.9

%

10.2

%























Average exchange rate


% Change









October 31


October 31


October 31, 2022 

For the year ended







2022


2021


vs. October 31, 2021 

U.S. Dollar/Canadian Dollar







0.777


0.795


(2.3)

%

Mexican Peso/Canadian Dollar







15.799


16.035


(1.5)

%

Peruvian Sol/Canadian Dollar







3.002


3.032


(1.0)

%

Colombian Peso/Canadian Dollar







3,187


2,929


8.8

%

Chilean Peso/Canadian Dollar







669.905


593.123


12.9

%






















For the three months ended

For the year ended

Impact on net income(1) ($ millions except EPS)




October 31, 2022 


October 31, 2022


October 31, 2022 



vs. October 31, 2021 


vs. July 31, 2022


vs. October 31, 2021 

Net interest income






$

45

$

36

$

(158)


Non-interest income(2)







(38)


(46)


(109)


Non-interest expenses







(35)


(29)


92


Other items (net of tax)







10


10


72


Net income






$

(18)

$

(29)

$

(103)


Earnings per share (diluted)






$

(0.02)

$

(0.02)

$

(0.09)


Impact by business line ($ millions)













Canadian Banking






$

2

$

-

$

3


International Banking(2)







4


(7)


(97)


Global Wealth Management







3


2


-


Global Banking and Markets







22


14


27


Other(2)







(49)


(38)


(36)


Net income






$

(18)

$

(29)

$

(103)


(1)

Includes impact of all currencies.

(2)

Includes the impact of foreign currency hedges.



Group Financial Performance

Net income

Q4 2022 vs Q4 2021

Net income was $2,093 million compared to $2,559 million, a decrease of 18%.

The impact on net income of adjusting items for the current quarter was $522 million after-tax ($603 million pre-tax) (refer to the Non-GAAP measures section starting on page 22 for a reconciliation). The Bank recorded a net loss of $340 million ($361 million pre-tax) in relation to the divesture of investments in associates in Venezuela and Thailand, and the wind-down of operations in India and Malaysia, mostly relating to the reclassification of cumulative foreign currency translation losses net of hedges, from accumulated other comprehensive income to non-interest income in the Consolidated Statement of Income. The Bank recognized costs of $98 million ($133 million pre-tax) to support the expansion of the Scene+ loyalty program to include Empire Company Limited as a partner. The Bank recorded a restructuring charge of $66 million ($85 million pre-tax) primarily related to the strategic decision to realign the Global Banking and Markets business in Asia Pacific to focus on select banking and capital markets activities in the region. The charge also included reductions in Canadian and international technology employees, driven by ongoing technology modernization and digital transformation. Other adjusting items in the current quarter included amortization of acquisition-related intangible assets of $18 million ($24 million pre-tax). The impact of the adjustments on diluted earnings per share was $0.43 and on Basel III Common Equity Tier 1 (CET1) ratio was two basis points.

The adjustments in the prior year were $157 million after-tax ($213 million pre-tax) which included restructuring and other provisions of $139 million after-tax ($188 million pre-tax), and amortization of acquisition-related intangible assets of $18 million ($25 million pre-tax).

Adjusted net income was $2,615 million compared to $2,716 million, a decrease of 4%, due mainly to lower non-interest income, higher non-interest expenses and higher provision for credit losses, partly offset by higher net interest income and lower provision for income taxes.

Q4 2022 vs Q3 2022

Net income was $2,093 million compared to $2,594 million, a decrease of 19%. This quarter included adjusting items of $522 million compared to $17 million in the prior quarter [refer to the Non-GAAP measures section on page 22]. Adjusted net income was $2,615 million compared to $2,611 million, an increase of $4 million. The increase was due mainly to higher non-interest income and lower provision for income taxes, partly offset by higher provision for credit losses and non-interest expenses.

Total revenue

Q4 2022 vs Q4 2021

Revenues were $7,626 million compared to $7,687 million, a decrease of 1%, including adjusting items of $361 million this quarter. Adjusted revenues were $7,987 million compared to $7,687 million, an increase of 4%, due mainly to higher net interest income, partly offset by lower non-interest income.

Q4 2022 vs Q3 2022

Revenues were $7,626 million compared to $7,799 million, a decrease of 2%, including adjusting items of $361 million this quarter. Adjusted revenues were $7,987 million compared to $7,799 million, an increase of 2%, due mainly to higher non-interest income, partly offset by lower net interest income.

Net interest income

Q4 2022 vs Q4 2021

Net interest income was $4,622 million, an increase of $405 million or 10%, due primarily to strong asset growth across all business lines. Net interest margin was up 1 basis point to 2.18%, driven primarily by higher margins across all business lines, which benefited from central bank rate increases, partly offset by a lower contribution from asset/liability management activities related to higher funding costs and increased levels of high quality, lower-margin liquid assets.

Q4 2022 vs Q3 2022

Net interest income decreased $54 million or 1%. Loan growth across all business lines was more than offset by lower net interest margins.

Net interest margin of 2.18% was down 4 basis points driven by a lower contribution from asset/liability management activities related to higher funding costs, as well as a lower Canadian Banking margin, partly offset by a higher International Banking margin, as well as decreased levels of high quality, lower-margin liquid assets.

Non-interest income

Q4 2022 vs Q4 2021

Non-interest income was $3,004 million, down $466 million or 13% including adjusting items of $361 million this quarter (refer to Non-GAAP Measures starting on page 22). Adjusted non-interest income was down $105 million or 3%. The decrease was due mainly to lower wealth management revenues, unrealized losses on non-trading derivatives, and lower income from associated corporations. These were partly offset by higher banking revenues, other fees and commission revenues, and non-trading foreign exchange fees.

Q4 2022 vs Q3 2022

Non-interest income was down $119 million or 4% including adjusting items of $361 million this quarter (refer to Non-GAAP Measures starting on page 22). Adjusted non-interest income was up $242 million or 8%, due primarily to higher trading revenues, banking revenues, other fees and commission revenues, as well as underwriting and advisory fees, partly offset by lower wealth management revenues.

Provision for credit losses

Q4 2022 vs Q4 2021

The provision for credit losses was $529 million, compared to $168 million, an increase of $361 million. The provision for credit losses ratio increased 18 basis points to 28 basis points.

The provision for credit losses on performing loans was $35 million, compared to a net reversal of $343 million. The provision this period was driven by portfolio growth and the less favourable macroeconomic forecast, partly offset by improved credit quality expectations mainly in Canadian retail and improved credit quality in Global Banking and Markets. Higher provision reversals last year were due mainly to the more favourable credit and macroeconomic outlook as well as credit migration to impaired loans across most markets.

The provision for credit losses on impaired loans was $494 million, compared to $511 million, a decrease of $17 million or 3% due primarily to lower provisions in the International retail portfolio driven by lower formations partly offset by higher formations in the Canadian retail portfolio. The provision for credit losses ratio on impaired loans was 26 basis points, a decrease of five basis points.

Q4 2022 vs Q3 2022

The provision for credit losses was $529 million, compared to $412 million, an increase of $117 million or 28%. The provision for credit losses ratio increased six basis points to 28 basis points.

The provision for credit losses on performing loans was $35 million, compared to $23 million last quarter, driven by the less favourable macroeconomic forecast and portfolio growth, partly offset by improved credit quality expectations mainly in Canadian retail.

The provision for credit losses on impaired loans was $494 million, compared to $389 million, an increase of $105 million or 27%, due to higher corporate and commercial provisions and retail formations across markets.

The provision for credit losses ratio on impaired loans was 26 basis points, an increase of five basis points.

Non-interest expenses

Q4 2022 vs Q4 2021

Non-interest expenses were $4,529 million, up $258 million or 6%, including adjusting items of $242 million versus $213 million in the prior year (refer to Non-GAAP Measures starting on page 22). Adjusted non-interest expenses were $4,287 million, up $229 million or 6%, driven by higher personnel costs, performance-based compensation, advertising and technology-related costs, business and capital taxes and the negative impact of foreign currency translation.

The productivity ratio was 59.4% compared to 55.6%. The adjusted productivity ratio was 53.7% compared to 52.8%.

Q4 2022 vs Q3 2022

Non-interest expenses were up $338 million or 8% including adjusting items of $242 million versus $24 million in the prior quarter (refer to Non-GAAP Measures starting on page 22).  Adjusted non-interest expenses were up $120 million or 3%. The increase was due to higher professional fees, performance-based compensation, advertising and technology-related costs, and the negative impact of foreign currency translation. Partly offsetting were other employee benefits and share-based compensation expenses.

The productivity ratio was 59.4% compared to 53.7%. The adjusted productivity ratio was 53.7% compared to 53.4%.

Provision for income taxes

Q4 2022 vs Q4 2021

The effective tax rate was 18.5% compared to 21.2%. The adjusted effective tax rate was 17.6% compared to 21.5% due primarily to higher income from lower tax rate jurisdictions and higher tax-exempt income in the quarter.

Q4 2022 vs Q3 2022

The effective tax rate was 18.5% compared to 18.8% in the previous quarter. The adjusted effective tax rate was 17.6% compared to 18.8% in the previous quarter due primarily to higher tax-exempt income.

Capital Ratios

The Bank continues to maintain strong, high quality capital levels which position it well for future business growth and opportunities. The CET1 ratio as at October 31, 2022 was 11.5%, a decrease of approximately 80 basis points from the prior year as solid internal capital generation during the year was more than offset by strong organic growth in risk-weighted assets across all business lines, common share buybacks under the Bank's Normal Course Issuer Bid, changes in the valuation of investment securities, and the Bank's increased ownership in Scotiabank Chile.

The Bank's Tier 1 capital ratio was 13.2% as at October 31, 2022, a decrease of approximately 70 basis points from the prior year, due primarily to the above noted impacts to the CET1 ratio, the phase-out impact of approximately $650 million of non-qualifying additional tier 1 instruments, and the Bank's redemption of $500 million of NVCC preferred shares, partly offset by issuances of $1.5 billion and USD $750 million of Limited Recourse Capital Notes (LRCNs).

The Bank's Total capital ratio was 15.3% as at October 31, 2022, a decrease of approximately 60 basis points from 2021, due primarily to the above noted impacts to the Tier 1 capital ratio, the redemption of $1.25 billion of NVCC subordinated debentures, amortization of approximately $325 million of NVCC Tier 2 instruments and the phase-out impact of approximately $250 million of non-qualifying subordinated debentures, partly offset by issuances of $1.75 billion and USD $1.25 billion of NVCC subordinated debentures.

The TLAC ratio was 27.4% as at October 31, 2022, a decrease of 40 basis points from the prior year, mainly from strong growth in risk-weighted assets during the year.

The Leverage ratio was 4.2%, a decrease of approximately 60 basis points from the prior year due primarily to OSFI's discontinuance of the temporary exclusion of sovereign-issued securities from its leverage exposures measure, combined with strong growth in the Bank's on and off-balance sheet assets.

The TLAC Leverage ratio was 8.8%, a decrease of approximately 80 basis points from 2021, due primarily to strong growth in the Bank's on and off-balance sheet assets.

The Bank's capital ratios continue to be in excess of OSFI's minimum capital ratio requirements for 2022 for CET1, Tier 1 and Total Capital. The Bank was well above the OSFI minimum Leverage ratio as at October 31, 2022.

Business Segment Review

Canadian Banking



For the three months ended


For the year ended

(Unaudited)($ millions)


October 31 



July 31 



October 31 



October 31 



October 31 


(Taxable equivalent basis)(1)


2022



2022



2021



2022



2021


Reported Results
















Net interest income

$

2,363


$

2,361


$

2,082


$

9,001


$

8,030


Non-interest income(2)


771



758



749



3,029



2,868


Total revenue


3,134



3,119



2,831



12,030



10,898


Provision for credit losses


163



93



(96)



209



333


Non-interest expenses


1,397



1,385



1,251



5,388



4,951


Income tax expense


404



428



438



1,670



1,459


Net income

$

1,170


$

1,213


$

1,238


$

4,763


$

4,155


Net income attributable to equity holders of the Bank

$

1,170


$

1,213


$

1,238


$

4,763


$

4,155


Other measures
















Return on equity(3)


24.7 %



26.1 %



29.4 %



26.3 %



25.2 %


Net interest margin(3)


2.26 %



2.29 %



2.20 %



2.24 %



2.23 %


Average assets ($ billions)

$

446


$

437


$

398


$

430


$

381


Average liabilities ($ billions)

$

347


$

337


$

318


$

332


$

313


(1)

Results are presented on a taxable equivalent basis. Refer to Business Line Overview section of the Bank's 2022 Annual Report to Shareholders.

(2)

Includes net income from investments in associated corporations for the three months ended October 31, 2022 - $23 (July 31, 2022 - $15; October 31, 2021 - $18) and for the year ended October 31, 2022 - $64 (October 31, 2021 - $87).

(3)

Refer to Non-GAAP measures starting on page 22.

 



For the three months ended


For the year ended

(Unaudited)($ millions)


October 31 



July 31 



October 31 



October 31 



October 31 


(Taxable equivalent basis)


2022



2022



2021



2022



2021


Adjusted Results(1)
















Net interest income

$

2,363


$

2,361


$

2,082


$

9,001


$

8,030


Non-interest income


771



758



749



3,029



2,868


Total revenue


3,134



3,119



2,831



12,030



10,898


Provision for credit losses


163



93



(96)



209



333


Non-interest expenses(2)


1,391



1,380



1,245



5,366



4,929


Income tax expense


406



429



440



1,676



1,465


Net income

$

1,174


$

1,217


$

1,242


$

4,779


$

4,171


(1)

Refer to Non-GAAP Measures starting on page 22 for the reconciliation of reported and adjusted results.

(2)

Includes adjustment for Amortization of acquisition-related intangible assets, excluding software for the three months ended October 31, 2022 – $6 (July 31, 2022 – $5; October 31, 2021 – $6) and for the year ended October 31, 2022 – $22 (October 31, 2021 – $22).



Net income

Q4 2022 vs Q4 2021

Net income attributable to equity holders was $1,170 million, compared to $1,238 million. Adjusted net income attributable to equity holders was $1,174 million, a decrease of $68 million or 5%. The decline was due primarily to higher provision for credit losses.

Q4 2022 vs Q3 2022

Net income attributable to equity holders declined $43 million or 4%. The decline was due primarily to higher provision for credit losses.

Total revenue

Q4 2022 vs Q4 2021

Revenues were $3,134 million, up $303 million or 11%, due to higher net interest income and non-interest income.

Q4 2022 vs Q3 2022

Revenues increased $15 million due primarily to higher non-interest income.

Net interest income

Q4 2022 vs Q4 2021

Net interest income of $2,363 million increased $281 million or 13%, due primarily to strong loan and deposit growth, as well as margin expansion. The net interest margin increased six basis points to 2.26%, due primarily to higher deposit spreads and the impact of the Bank of Canada rate increases, partly offset by lower loan spreads.

Q4 2022 vs Q3 2022

Net interest income was in line with prior quarter. Strong loan and deposit growth were offset by margin compression.  The net interest margin decreased three basis points to 2.26%, due primarily to lower mortgage prepayment fees and lower spreads on variable rate mortgages, partly offset by higher deposit spreads.

Non-interest income

Q4 2022 vs Q4 2021

Non-interest income of $771 million increased $22 million or 3%. The increase was due primarily to higher banking revenue and foreign exchange fees, partly offset by lower mutual fund distribution fees.

Q4 2022 vs Q3 2022

Non-interest income increased $13 million or 2%. The increase was due primarily to higher banking revenue and income from associated corporations.

Provision for credit losses

Q4 2022 vs Q4 2021

The provision for credit losses was $163 million, compared to a net reversal of $96 million.  The provision for credit losses ratio increased 25 basis points to 15 basis points.

Provision for credit losses on performing loans was $10 million, compared to a net reversal of $195 million. The provision this period was driven primarily by the less favourable macroeconomic forecast and portfolio growth partly offset by improved retail portfolio credit quality.

Provision for credit losses on impaired loans was $153 million, compared to $99 million, an increase of $54 million due primarily to higher retail provisions driven by higher formations. The provision for credit losses ratio on impaired loans was 14 basis points, an increase of four basis points.

Q4 2022 vs Q3 2022

The provision for credit losses was $163 million, compared to $93 million, an increase of $70 million. The provision for credit losses ratio increased six basis points to 15 basis points.

Provision for credit losses on performing loans was $10 million, compared to a net reversal of $50 million last quarter. The provision this period was driven primarily by the less favourable macroeconomic forecast and portfolio growth, partly offset by improved retail portfolio credit quality expectations.

Provision for credit losses on impaired loans was $153 million, compared to $143 million, an increase of $10 million or 7% due primarily to higher commercial provisions driven by higher formations, partly offset by lower retail provisions. The provision for credit losses ratio on impaired loans was 14 basis points, an increase of one basis point.

Non-interest expenses

Q4 2022 vs Q4 2021

Non-interest expenses were $1,397 million, up $146 million or 12%, due primarily to higher technology and personnel costs to support business growth.

Q4 2022 vs Q3 2022

Non-interest expenses were up $12 million or 1%, due primarily to higher technology costs to support business growth.

Provision for income taxes

The effective tax rate was 25.7% for the quarter, compared to 26.2% in the prior year and 26.1% in the prior quarter.

Average assets

Q4 2022 vs Q4 2021

Average assets increased $48 billion or 12% to $446 billion. The growth included $27 billion or 11% in residential mortgages, $16 billion or 25% in business loans and acceptances, $3 billion or 4% in personal loans, and $1 billion or 11% in credit card loans.

Q4 2022 vs Q3 2022

Average assets increased $9 billion or 2%. The growth included $4 billion or 1% in residential mortgages, $3 billion or 4% in business loans and acceptances, and $1 billion or 1% in personal loans.

Average liabilities

Q4 2022 vs Q4 2021

Average liabilities increased $29 billion or 9% to $347 billion. The growth included $15 billion or 8% in personal deposits and $6 billion or 6% in non-personal deposits.

Q4 2022 vs Q3 2022

Average liabilities increased $10 billion or 3%. The growth included $8 billion or 4% in personal deposits and $1 billion or 1% in non-personal deposits.

International Banking



For the three months ended



For the year ended


(Unaudited)($ millions)


October 31 



July 31 



October 31 



October 31 



October 31 


(Taxable equivalent basis)(1)


2022



2022



2021



2022



2021


Reported Results
















Net interest income

$

1,806


$

1,759


$

1,589


$

6,900


$

6,625


Non-interest income(2)


698



660



728



2,827



2,993


Total revenue


2,504



2,419



2,317



9,727



9,618


Provision for credit losses


355



325



314



1,230



1,574


Non-interest expenses


1,364



1,295



1,259



5,212



5,254


Income tax expense


106



122



137



618



635


Net income

$

679


$

677


$

607


$

2,667


$

2,155


Net income attributable to non-controlling interests in

















subsidiaries


36



52



79



249



332


Net income attributable to equity holders of the Bank

$

643


$

625


$

528


$

2,418


$

1,823


Other measures
















Return on equity(3)


13.1 %



13.0 %



12.0 %



12.9 %



10.4 %


Net interest margin(4)


4.08 %



3.95 %



3.78 %



3.96 %



3.95 %


Average assets ($ billions)

$

217


$

209


$

192


$

207


$

194


Average liabilities ($ billions)

$

160


$

155


$

146


$

152


$

149


(1)

Results are presented on a taxable equivalent basis. Refer to Business Line Overview section of the Bank's 2022 Annual Report to Shareholders.


(2)

Includes net income from investments in associated corporations for the three months ended October 31, 2022 - $51 (July 31, 2022 - $54; October 31, 2021 - $52) and for the year ended October 31, 2022 - $250 (October 31, 2021 - $206).


(3)

Refer to Non-GAAP Measures starting on page 22.


(4)

Prior period has been restated to reflect the deduction of non-interest bearing deposits with financial institutions, to align with the Bank's definition. 


 



For the three months ended



For the year ended

(Unaudited)($ millions)


October 31 



July 31 



October 31 



October 31 



October 31 


(Taxable equivalent basis)


2022



2022



2021



2022



2021


Adjusted Results(1)
















Net interest income

$

1,806


$

1,759


$

1,589


$

6,900


$

6,625


Non-interest income


698



660



728



2,827



2,993


Total revenue


2,504



2,419



2,317



9,727



9,618


Provision for credit losses


355



325



314



1,230



1,574


Non-interest expenses(2)


1,355



1,285



1,249



5,173



5,209


Income tax expense


108



126



140



629



648


Net income

$

686


$

683


$

614


$

2,695


$

2,187


Net income attributable to non-controlling interests in

















subsidiaries


36



52



79



249



332


Net income attributable to equity holders of the Bank

$

650


$

631


$

535


$

2,446


$

1,855


(1)

Refer to Non-GAAP Measures starting on page 22 for the reconciliation of reported and adjusted results.


(2)

Includes adjustment for Amortization of acquisition-related intangible assets, excluding software for the three months ended October 31, 2022 – $9 (July 31, 2022 – $10; October 31, 2021 – $10) and for the year ended October 31, 2022 – $39 (October 31, 2021 – $45).



















Net income

Q4 2022 vs Q4 2021

Net income attributable to equity holders was $643 million, compared to $528 million, up $115 million or 22%. Adjusted net income attributable to equity holders was $650 million, an increase of $115 million or 21%. This increase was driven by higher net interest income and lower provision for income taxes, partly offset by higher non-interest expenses, higher provision for credit losses and lower non-interest income.  

Q4 2022 vs Q3 2022

Net income attributable to equity holders increased by $18 million or 3% from $625 million. Adjusted net income attributable to equity holders increased by $19 million or 3%, compared to $631 million last quarter. This increase was driven by higher net interest income, and non-interest income and lower provision for income taxes, partly offset by higher non-interest expenses and higher provision for credit losses.

Financial Performance on a Constant Dollar Basis

International Banking business segment results are analyzed on a constant dollar basis which is a non-GAAP measure (refer to Non-GAAP Measures starting on page 22). Under the constant dollar basis, prior period amounts are recalculated using current period average foreign currency rates. The following table presents the reconciliation between reported, adjusted and constant dollar results for International Banking for prior periods. The Bank believes that constant dollar is useful for readers to understand business performance without the impact of foreign currency translation and is used by management to assess the performance of the business segment. The tables below are computed on a basis that is different than the "Impact of foreign currency translation" table on page 4. Ratios are on a reported basis.

The discussion below on the results of operations is on a constant dollar basis.

Reported results on a constant dollar basis



For the three months ended



For the year ended

(Unaudited)($ millions)


October 31 



July 31 



October 31 



October 31 



October 31 


(Taxable equivalent basis)


2022



2022



2021



2022



2021


Net interest income

$

1,806


$

1,786


$

1,622


$

6,900


$

6,478


Non-interest income


698



640



700



2,827



2,874


Total revenue


2,504



2,426



2,322



9,727



9,352


Provision for credit losses


355



328



323



1,230



1,534


Non-interest expenses


1,364



1,311



1,278



5,212



5,149


Income tax expense


106



114



130



618



605


Net income

$

679


$

673


$

591


$

2,667


$

2,064


Net income attributable to non-controlling interests in

















subsidiaries


36



52



76



249



308


Net income attributable to equity holders of the Bank

$

643


$

621


$

515


$

2,418


$

1,756


Other Measures
















Average assets ($ billions)

$

217


$

213


$

195


$

207


$

190


Average liabilities($ billions)

$

160


$

158


$

147


$

152


$

144






















Adjusted results on a constant dollar basis



For the three months ended



For the year ended

(Unaudited)($ millions)


October 31 



July 31 



October 31 



October 31 



October 31 


(Taxable equivalent basis)


2022



2022



2021



2022



2021


Net interest income

$

1,806


$

1,786


$

1,622


$

6,900


$

6,478


Non-interest income


698



640



700



2,827



2,874


Total revenue


2,504



2,426



2,322



9,727



9,352


Provision for credit losses


355



328



323



1,230



1,534


Non-interest expenses


1,355



1,302



1,268



5,173



5,107


Income tax expense


108



117



134



629



616


Net income

$

686


$

679


$

597


$

2,695


$

2,095


Net income attributable to non-controlling interests in

















subsidiaries


36



51



76



249



309


Net income attributable to equity holders of the Bank

$

650


$

628


$

521


$

2,446


$

1,786





Net income

Q4 2022 vs Q4 2021

Net income attributable to equity holders was $643 million, compared to $515 million. Adjusted net income attributable to equity holders was $650 million, an increase of $129 million or 22%. This increase was driven by higher net interest income and lower provision for income taxes, partly offset by higher non-interest expenses, and higher provision for credit losses.  

Q4 2022 vs Q3 2022

Net income attributable to equity holders increased by $22 million or 4% from $621 million. Adjusted net income attributable to equity holders increased by $22 million or 4%, compared to $628 million last quarter. This increase was driven by higher non-interest income, net interest income, and lower provision for income taxes.  This was partly offset by higher non-interest expenses and higher provision for credit losses.

Total revenue

Q4 2022 vs Q4 2021

Revenues were $2,504 million, an increase of $182 million or 8%, driven by higher net interest income.

Q4 2022 vs Q3 2022

Revenues increased by $78 million, or 3%, driven by higher non-interest income and net interest income.

Net interest income

Q4 2022 vs Q4 2021

Net interest income of $1,806 million was up 11%, driven by growth in commercial loans and residential mortgages, as well as margin expansion. Net interest margin increased by 30 basis points to 4.08%, due mainly to higher central bank rates, and inflationary adjustments, partly offset by higher funding costs and changes in deposits mix.

Q4 2022 vs Q3 2022

Net interest income increased by $20 million, or 1%, driven by growth in commercial loans and residential mortgages, and margin expansion. Net interest margin increased by 13 basis points to 4.08%. 

Non-interest income

Q4 2022 vs Q4 2021

Non-interest income was $698 million, in line with previous year, with net fees and commissions growing 6%.  This was offset by lower capital market revenues and gains on investment securities compared to last year.

Q4 2022 vs Q3 2022

Non-interest income increased by $58 million or 9%, driven by net fees and commissions and capital markets revenues.

Provision for credit losses

Q4 2022 vs Q4 2021

The provision for credit losses was $355 million, compared to $323 million, an increase of $32 million or 10%. The provision for credit losses ratio decreased two basis points to 89 basis points.

Provision for credit losses on performing loans was $35 million, compared to a net reversal of $97 million. The increase this period related to higher retail and commercial provisions, due mainly to the less favourable macroeconomic forecast, as well as growth in the retail portfolio.

Provision for credit losses on impaired loans was $320 million compared to $420 million, a decrease of $100 million or 24%.  This was due mainly to lower retail provisions driven by lower formations primarily in Peru and Colombia. The provision for credit losses ratio on impaired loans was 81 basis points, a decrease of 37 basis points.

Q4 2022 vs Q3 2022

The provision for credit losses was $355 million, compared to $328 million, an increase of $27 million or 8%. The provision for credit losses ratio increased five basis points to 89 basis points.

Provision for credit losses on performing loans was $35 million, compared to $62 million last quarter, a decrease of $27 million due primarily to lower retail provisions as prior period included a higher impact of the unfavourable macroeconomic forecast.

Provision for credit losses on impaired loans was $320 million compared to $266 million, an increase of $54 million or 21% due primarily to higher retail provisions driven by higher formations across markets. The provision for credit losses ratio on impaired loans increased 13 basis points to 81 basis points.

Non-interest expenses

Q4 2022 vs Q4 2021

Non-interest expenses were $1,364 million, up 7%. Adjusted non-interest expenses were $1,355 million, up 7%, driven by business growth and inflationary impacts, partly offset by the benefit of efficiency initiatives.

Q4 2022 vs Q3 2022

Non-interest expenses were $1,364 million compared to $1,311 million, an increase of 4%. Adjusted non-interest expenses increased by $53 million or 4% from $1,302 million last quarter, driven by business growth, inflationary impacts, partly offset by the benefit of efficiency initiatives.

Provision for income taxes

Q4 2022 vs Q4 2021

The effective tax rate was 13.5%, compared to 18.4%. On an adjusted basis, the effective tax rate was 13.6% compared to 18.6%, primarily due to higher inflationary adjustments in Mexico and Chile, and changes in the earnings mix.

Q4 2022 vs Q3 2022

The effective tax rate was 13.5%, compared to 15.4%. On an adjusted basis, the effective tax rate was 13.6% compared to 15.5% due primarily to a prior period tax recovery and higher inflationary adjustments in Mexico and Chile.

Average assets

Q4 2022 vs Q4 2021

Average assets were $217 billion, an increase of $22 billion. Total loan growth of 12% was driven by a 16% increase in residential mortgages, a 12% increase in commercial loans, and a 9% increase in personal loans and credit card balances.

Q4 2022 vs Q3 2022

Average assets increased by $4 billion. Loans grew by 2%, driven by a 4% increase in residential mortgages, a 2% increase in commercial loans and a 2% increase in personal loans and credit card balances.

Average liabilities

Q4 2022 vs Q4 2021

Average liabilities of $160 billion were up $13 billion. Total deposits increased 8%, driven by a 12% increase in non-personal deposits and a 1% increase in personal deposits.

Q4 2022 vs Q3 2022

Average liabilities were up $2 billion. Total deposits increased by 2%, driven by a 2% increase in non-personal deposits and a 1% increase in personal deposits.

Global Wealth Management



For the three months ended


For the year ended

(Unaudited)($ millions)


October 31 



July 31 



October 31 


October 31 



October 31 

(Taxable equivalent basis)(1)


2022



2022



2021


2022



2021

Reported Results














Net interest income

$

206


$

200


$

161

$

764


$

628

Non-interest income


1,083



1,112



1,186


4,617



4,752

Total revenue


1,289



1,312



1,347


5,381



5,380

Provision for credit losses


1



5



1


6



2

Non-interest expenses


798



796



824


3,259



3,255

Income tax expense


127



133



135


551



549

Net income

$

363


$

378


$

387

$

1,565


$

1,574

Net income attributable to non-controlling interests in















subsidiaries


2



2



2


9



9

Net income attributable to equity holders of the Bank

$

361


$

376


$

385

$

1,556


$

1,565

Other measures














Return on equity(2)


14.8 %



15.5 %



16.3 %


16.2 %



16.7 %

Assets under administration ($ billions)

$

580


$

581


$

597

$

580


$

597

Assets under management ($ billions)

$

311


$

320


$

346

$

311


$

346

(1)

Results are presented on a taxable equivalent basis. Refer to Business Line Overview section of the Bank's 2022 Annual Report to Shareholders.

(2)

Refer to Non-GAAP Measures starting on page 22.

 



For the three months ended


For the year ended

(Unaudited)($ millions)


October 31 



July 31 



October 31 


October 31 



October 31 

(Taxable equivalent basis)


2022



2022



2021


2022



2021

Adjusted Results(1)














Net interest income

$

206


$

200


$

161

$

764


$

628

Non-interest income


1,083



1,112



1,186


4,617



4,752

Total revenue


1,289



1,312



1,347


5,381



5,380

Provision for credit losses


1



5



1


6



2

Non-interest expenses(2)


789



787



815


3,223



3,219

Income tax expense


129



135



137


560



558

Net income

$

370


$

385


$

394

$

1,592


$

1,601

Net income attributable to non-controlling interests in















subsidiaries


2



2



2


9



9

Net income attributable to equity holders of the Bank

$

368


$

383


$

392

$

1,583


$

1,592

(1)

Refer to Non-GAAP Measures starting on page 22 for the reconciliation of reported and adjusted results.

(2)

Includes adjustment for Amortization of acquisition-related intangible assets, excluding software for the three months ended October 31, 2022 – $9 (July 31, 2022 – $9; October 31, 2021 – $9) and for the year ended October 31, 2022 – $36 (October 31, 2021 – $36).



Net income

Q4 2022 vs Q4 2021

Net income attributable to equity holders was $361 million, a decrease of $24 million or 6%, due primarily to lower fee income, partly offset by higher net interest income and lower volume-related expenses.

Q4 2022 vs Q3 2022

Net income attributable to equity holders decreased $15 million or 4%, from lower fee income, partly offset by higher net interest income.

Total revenue

Q4 2022 vs Q4 2021

Revenues were $1,289 million, down $58 million or 4% due primarily to lower fee income driven by lower AUM and trading volumes, partly offset by higher net interest income driven by strong loan growth and improved margins.

Q4 2022 vs Q3 2022

Revenues were down $23 million or 2% due primarily to lower fee income driven by lower AUM reflecting current market conditions.

Provision for credit losses

Q4 2022 vs Q4 2021

The provision for credit losses was $1 million, unchanged from last year.

Q4 2022 vs Q3 2022

The provision for credit losses was $1 million, a decrease of $4 million. The provision for credit losses ratio was two basis points.

Non-interest expenses

Q4 2022 vs Q4 2021

Non-interest expenses of $798 million were down $26 million or 3%, driven largely by lower volume-related expenses.

Q4 2022 vs Q3 2022

Non-interest expenses were in line with last quarter as lower volume-related expenses were largely offset by technology costs to support business initiatives.

Provision for income taxes

The effective tax rate was 25.8% compared to 25.9% in the prior year and 26.1% in the prior quarter.

Assets under management (AUM) and assets under administration (AUA)

Q4 2022 vs Q4 2021

Assets under management of $311 billion decreased $35 billion or 10% driven by market depreciation. Assets under administration of $580 billion decreased $17 billion or 3% due primarily to market depreciation, partly offset by higher net sales.

Q4 2022 vs Q3 2022

Assets under management decreased $9 billion or 3%, and assets under administration decreased by $1 billion, due primarily to market depreciation.

Global Banking and Markets



For the three months ended


For the year ended

(Unaudited)($ millions)


October 31 



July 31 



October 31 


October 31 



October 31 

(Taxable equivalent basis)(1)


2022



2022



2021


2022



2021

Reported Results














Net interest income

$

492


$

405


$

365

$

1,630


$

1,436

Non-interest income


862



747



812


3,542



3,587

Total revenue


1,354



1,152



1,177


5,172



5,023

Provision for credit losses


11



(15)



(50)


(66)



(100)

Non-interest expenses


696



655



591


2,674



2,458

Income tax expense


163



134



134


653



590

Net income

$

484


$

378


$

502

$

1,911


$

2,075

Net income attributable to














 equity holders of the Bank

$

484


$

378


$

502

$

1,911


$

2,075

Other measures














Return on equity(2)


13.4 %



11.1 %



15.5 %


14.3 %



16.5 %

Average assets ($ billions)

$

461


$

443


$

409

$

445


$

401

Average liabilities ($ billions)

$

430


$

419


$

382

$

414


$

385

(1)

Results are presented on a taxable equivalent basis. Refer to Business Line Overview section of the Bank's 2022 Annual Report to Shareholders.

(2)

Refer to Non-GAAP Measures starting on page 22.
















Net income

Q4 2022 vs Q4 2021

Net income attributable to equity holders was $484 million, a decrease of $18 million or 4%, due mainly to higher non-interest expenses and higher provision for credit losses, partly offset by higher net interest income, non-interest income, and the positive impact of foreign currency translation.

Q4 2022 vs Q3 2022

Net income attributable to equity holders increased by $106 million or 28%. This was due to higher net interest income, non-interest income, and the positive impact of foreign currency translation, partly offset by higher non-interest expenses and provision for credit losses.

Total revenue

Q4 2022 vs Q4 2021

Revenues were $1,354 million, an increase of $177 million or 15% due to higher net interest income, non-interest income and the positive impact of foreign currency translation.

Q4 2022 vs Q3 2022

Revenues increased by $202 million or 18% due to higher non-interest income, net interest income, and the positive impact of foreign currency translation.

Net interest income

Q4 2022 vs Q4 2021

Net interest income was $492 million, an increase of $127 million or 35% due to higher deposit and lending volumes, increased deposit margins, and the positive impact of foreign currency translation, partly offset by higher trading-related funding costs.

Q4 2022 vs Q3 2022

Net interest income increased by $87 million or 21% due mainly to increased lending margins, higher deposit and lending volumes, and the positive impact of foreign currency translation.

Non-interest income

Q4 2022 vs Q4 2021

Non-interest income was $862 million, an increase of $50 million or 6% due to higher banking revenues and the positive impact of foreign currency translation, partly offset by lower trading revenues, mainly in the Equities business, and underwriting and advisory fees.

Q4 2022 vs Q3 2022

Non-interest income increased by $115 million or 15%, due mainly to higher banking revenues, underwriting and advisory fees, the positive impact of foreign currency translation, partly offset by lower trading revenues mainly in the Equities business. 

Provision for credit losses

Q4 2022 vs Q4 2021

The provision for credit losses was $11 million, compared to a net reversal of $50 million. The provision for credit losses ratio was three basis points, an increase of 21 basis points.

Provision for credit losses on performing loans was a net reversal of $11 million compared to a net reversal of $52 million. The reversal this period was due primarily to improved portfolio credit quality partly offset by portfolio growth and less favourable macroeconomic forecast.

Provision for credit losses on impaired loans was $22 million compared to $2 million, an increase of $20 million due primarily to higher provisions driven by higher formations in this period. The provision for credit losses ratio on impaired loans was six basis points, an increase of five basis points.

Q4 2022 vs Q3 2022

The provision for credit losses was $11 million, compared to a net reversal of $15 million last quarter. The provision for credit losses ratio was three basis points, an increase of eight basis points.

Provision for credit losses on performing loans was a net reversal of $11 million compared to $3 million last quarter. The reversal this period was due primarily to continued strong portfolio credit quality partly offset by portfolio growth and less favourable macroeconomic forecast.

Provision for credit losses on impaired loans was $22 million, an increase of $40 million due primarily to higher provisions driven by higher formations. The provision for credit losses ratio on impaired loans was six basis points, an increase of 12 basis points.

Non-interest expenses

Q4 2022 vs Q4 2021

Non-interest expenses of $696 million, were up $105 million or 18%, due mainly to increases in personnel costs, and technology costs to support business development, and the negative impact of foreign currency translation.

Q4 2022 vs Q3 2022

Non-interest expenses increased $41 million or 6% due mainly to higher personnel costs and the negative impact of foreign currency translation.

Provision for income taxes

Q4 2022 vs Q4 2021

The effective tax rate for the quarter was 25.2% compared to 21.0% in the prior year. The changes were due mainly to prior year recoveries and the change in earnings mix across jurisdictions.

Q4 2022 vs Q3 2022

The effective tax rate for the quarter was 25.2% compared to 26.1%.

Average assets

Q4 2022 vs Q4 2021

Average assets were $461 billion, an increase of $52 billion or 13% due mainly to increases in loans and securities purchased under resale agreements, and the impact of foreign currency translation, partly offset by lower trading securities. Loan balances increased 31% or $29 billion, reflecting growth in most regions, with the largest contribution from the U.S. 

Q4 2022 vs Q3 2022

Average assets increased $18 billion or 4% due mainly to increases in loans, securities purchased under resale agreements and the impact of foreign currency translation. Loan balances increased 10% or $11 billion, primarily in the U.S. and Canada.

Average liabilities

Q4 2022 vs Q4 2021

Average liabilities were $430 billion, an increase of $48 billion or 13% due mainly to increases in deposits of $20 billion, securities sold under repurchase agreements, derivative-related liabilities, and the impact of foreign currency translation.

Q4 2022 vs Q3 2022

Average liabilities increased $11 billion or 3% due mainly to increases in deposits and the impact of foreign currency translation.

Other



For the three months ended



For the year ended


(Unaudited)($ millions)


October 31 



July 31 



October 31 



October 31 



October 31 


(Taxable equivalent basis)(1)


2022



2022



2021



2022



2021


Reported Results
















Net interest income

$

(245)


$

(49)


$

20


$

(180)


$

242


Non-interest income


(410)



(154)



(5)



(714)



91


Total revenue


(655)



(203)



15



(894)



333


Provision for credit losses


(1)



4



(1)



3



(1)


Non-interest expenses


274



60



346



569



700


Income tax expense


(325)



(215)



(155)



(734)



(362)


Net income (loss)

$

(603)


$

(52)


$

(175)


$

(732)


$

(4)


Net income (loss) attributable to non-controlling 

















interests in subsidiaries


-



-



(11)



-



(10)


Net income (loss) attributable to equity

















holders of the Bank

$

(603)


$

(52)


$

(164)


$

(732)


$

6


Other measures
















Average assets ($ billions)

$

175


$

173


$

144


$

167


$

152


Average liabilities ($ billions)

$

278


$

263


$

206


$

263


$

193


(1)

Results are presented on a taxable equivalent basis. Refer to Business Line Overview section of the Bank's 2022 Annual Report to Shareholders.


 



For the three months ended



For the year ended


(Unaudited)($ millions)


October 31 



July 31 



October 31 



October 31 



October 31 


(Taxable equivalent basis)


2022



2022



2021



2022



2021


Adjusted Results(1)
















Net interest income

$

(245)


$

(49)


$

20


$

(180)


$

242


Non-interest income(2)


(49)



(154)



(5)



(353)



91


Total revenue


(294)



(203)



15



(533)



333


Provision for credit losses


(1)



4



(1)



3



(1)


Non-interest expenses(3)


56



60



158



351



512


Income tax expense


(250)



(215)



(106)



(659)



(313)


Net income (loss)

$

(99)


$

(52)


$

(36)


$

(228)


$

135


Net income (loss) attributable to non-controlling 

















interests in subsidiaries


1



-



(1)



1



-


Net income (loss) attributable to equity

















holders of the Bank

$

(100)


$

(52)


$

(35)


$

(229)


$

135


(1)

Refer to Non-GAAP Measures starting on page 22 for the reconciliation of reported and adjusted results.


(2)

Includes adjustment for net loss on divestitures and wind-down of operations of $361 in Q4 2022 (October 31, 2021 – nil).


(3)

Includes adjustment for restructuring and other provisions of $85 and support costs for Scene+ loyalty program of $133 in Q4 2022. Restructuring and other provisions of $188 in Q4 2021.





The Other segment includes Group Treasury, smaller operating segments and corporate items which are not allocated to a business line.

Net income

Q4 2022 vs Q4 2021

Net income attributable to equity holders was a net loss of $603 million, which includes adjusting items of $503 million compared to a net loss of $164 million. This quarter's results include adjusting items of $503 million (refer to Non-GAAP Measures starting on page 22 for details). Adjusted net income attributable to equity holders was a net loss of $100 million compared to a net loss of $35 million. The decrease of $65 million was due mainly to a higher funding costs resulting from higher interest rates and asset/liability management activities, partly offset by lower income taxes and lower non-interest expenses.

Q4 2022 vs Q3 2022

Net income attributable to equity holders decreased $551 million from the prior quarter. On an adjusted basis, net income attributable to equity holders decreased $48 million due mainly to higher funding costs resulting from higher interest rates and asset/liability management activities, partly offset by higher investment gains and lower income taxes.

Consolidated Statement of Financial Position



As at

(Unaudited) ($ millions)



October 31


July 31


October 31



2022


2022


2021

Assets








Cash and deposits with financial institutions


$

65,895

$

67,715

$

86,323

Precious metals



543


837


755

Trading assets








Securities



103,547


108,538


137,148

Loans



7,811


8,295


8,113

Other



1,796


1,772


1,051





113,154


118,605


146,312

Securities purchased under resale agreements and securities borrowed



175,313


155,217


127,739

Derivative financial instruments



55,699


47,139


42,302

Investment securities



110,008


108,222


75,199

Loans








Residential mortgages



349,279


343,965


319,678

Personal loans



99,431


96,561


91,540

Credit cards



14,518


13,871


12,450

Business and government



287,107


264,128


218,944





750,335


718,525


642,612

Allowance for credit losses



5,348


5,147


5,626





744,987


713,378


636,986

Other








Customers' liability under acceptances, net of allowance



19,494


19,817


20,404

Property and equipment



5,700


5,529


5,621

Investments in associates



2,633


2,733


2,604

Goodwill and other intangible assets



16,833


16,580


16,604

Deferred tax assets



1,903


905


2,051

Other assets



37,256


35,425


21,944





83,819


80,989


69,228

Total assets


$

1,349,418

$

1,292,102

$

1,184,844

Liabilities








Deposits








Personal


$

265,892

$

259,503

$

243,551

Business and government



597,617


566,966


511,348

Financial institutions



52,672


53,113


42,360





916,181


879,582


797,259

Financial instruments designated at fair value through profit or loss



22,421


22,876


22,493

Other








Acceptances



19,525


19,844


20,441

Obligations related to securities sold short



40,449


44,220


40,954

Derivative financial instruments



65,900


56,880


42,203

Obligations related to securities sold under repurchase agreements and securities lent



139,025


128,145


123,469

Subordinated debentures



8,469


8,413


6,334

Other liabilities



62,699


58,557


58,799





336,067


316,059


292,200

Total liabilities



1,274,669


1,218,517


1,111,952

Equity








Common equity








Common shares



18,707


18,728


18,507

Retained earnings



53,761


53,151


51,354

Accumulated other comprehensive income (loss)



(7,166)


(6,684)


(5,333)

Other reserves



(152)


(152)


222

Total common equity



65,150


65,043


64,750

Preferred shares and other equity instruments



8,075


7,052


6,052

Total equity attributable to equity holders of the Bank



73,225


72,095


70,802

Non-controlling interests in subsidiaries



1,524


1,490


2,090

Total equity



74,749


73,585


72,892

Total liabilities and equity


$

1,349,418

$

1,292,102

$

1,184,844



Consolidated Statement of Income



For the three months ended

For the year ended

(Unaudited) ($ millions)


October 31


July 31


October 31


October 31


October 31


2022


2022


2021


2022


2021

Revenue











Interest income(1)

Loans

$

9,271

$

7,707

$

5,751

$

29,390

$

23,159

Securities


1,217


802


343


2,877


1,467

Securities purchased under resale agreements 

and securities borrowed


209


132


45


459


178

Deposits with financial institutions


421


244


47


832


182




11,118


8,885


6,186


33,558


24,986

Interest expense











Deposits


5,722


3,475


1,513


12,794


6,465

Subordinated debentures


93


77


46


270


180

Other


681


657


410


2,379


1,380




6,496


4,209


1,969


15,443


8,025

Net interest income


4,622


4,676


4,217


18,115


16,961

Non-interest income











Card revenues


195


187


187


779


749

Banking services fees


456


447


414


1,770


1,598

Credit fees


451


398


368


1,647


1,485

Mutual funds


528


538


605


2,269


2,394

Brokerage fees


264


276


265


1,125


1,039

Investment management and trust


242


247


251


999


994

Underwriting and advisory fees


136


98


144


543


724

Non-trading foreign exchange


228


209


179


878


787

Trading revenues


418


311


409


1,791


2,033

Net gain on sale of investment securities


71


-


83


74


419

Net income from investments in associated corporations


49


44


96


268


339

Insurance underwriting income, net of claims


114


113


102


433


398

Other fees and commissions


206


143


153


650


677

Other


(354)


112


214


75


655




3,004


3,123


3,470


13,301


14,291

Total revenue


7,626


7,799


7,687


31,416


31,252

Provision for credit losses


529


412


168


1,382


1,808




7,097


7,387


7,519


30,034


29,444

Non-interest expenses











Salaries and employee benefits


2,187


2,194


2,054


8,836


8,541

Premises and technology


636


612


598


2,424


2,351

Depreciation and amortization


394


381


383


1,531


1,511

Communications


90


88


93


361


369

Advertising and business development


140


123


126


480


404

Professional


239


200


242


826


789

Business and capital taxes


134


135


120


541


511

Other


709


458


655


2,103


2,142




4,529


4,191


4,271


17,102


16,618

Income before taxes


2,568


3,196


3,248


12,932


12,826

Income tax expense


475


602


689


2,758


2,871

Net income

$

2,093

$

2,594

$

2,559

$

10,174

$

9,955

Net income attributable to non-controlling interests

in subsidiaries


38


54


70


258


331

Net income attributable to equity holders of the Bank

$

2,055

$

2,540

$

2,489

$

9,916

$

9,624

Preferred shareholders and other equity instrument holders


106


36


78


260


233

Common shareholders

$

1,949

$

2,504

$

2,411

$

9,656

$

9,391

Earnings per common share (in dollars)











Basic

$

1.64

$

2.10

$

1.98

$

8.05

$

7.74

Diluted


1.63


2.09


1.97


8.02


7.70

Dividends paid per common share (in dollars)


1.03


1.03


0.90


4.06


3.60

(1)

Includes interest income on financial assets measured at amortized cost and FVOCI, calculated using the effective interest method, of $10,703 for the three months ended October 31, 2022 (July 31, 2022 - $8,624; October 31, 2021 - $6,080) and for the year ended October 31, 2022 - $32,573 (October 31, 2021 - $24,547).













Consolidated Statement of Comprehensive Income



For the three months ended


For the year ended

(Unaudited) ($ millions)


October 31


July 31


October 31


October 31


October 31


2022


2022


2021


2022


2021

Net income

$

2,093

$

2,594

$

2,559

$

10,174

$

9,955

Other comprehensive income (loss)











Items that will be reclassified subsequently to net income











Net change in unrealized foreign currency translation gains (losses):











Net unrealized foreign currency translation gains (losses)


3,106


(977)


(1,059)


3,703


(4,515)

Net gains (losses) on hedges of net investments in foreign operations


(1,140)


234


232


(1,655)


1,307

Income tax expense (benefit):











Net unrealized foreign currency translation gains (losses)


27


(7)


(9)


28


(31)

Net gains (losses) on hedges of net investments in foreign operations


(299)


62


61


(434)


343



2,238


(798)


(879)


2,454


(3,520)

Net change in fair value due to change in debt instruments measured at fair











value through other comprehensive income:











Net gains (losses) in fair value


(2,460)


242


(647)


(4,333)


(1,341)

Reclassification of net (gains) losses to net income


1,767


(321)


294


2,717


522

Income tax expense (benefit):











Net gains (losses) in fair value


(619)


56


(189)


(1,108)


(346)

Reclassification of net (gains) losses to net income


458


(109)


75


704


127



(532)


(26)


(239)


(1,212)


(600)

Net change in gains (losses) on derivative instruments designated as cash flow











      hedges:











Net gains (losses) on derivative instruments designated as cash flow hedges


(1,669)


(1,700)


(1,754)


(10,037)


(1,267)

Reclassification of net (gains) losses to net income


(937)


1,620


830


3,880


176

Income tax expense (benefit):











Net gains (losses) on derivative instruments designated as cash flow hedges


(444)


(482)


(518)


(2,709)


(471)

Reclassification of net (gains) losses to net income


(233)


452


272


1,089


186



(1,929)


(50)


(678)


(4,537)


(806)

Other comprehensive income (loss) from investments in associates


(382)


17


6


(344)


37

Items that will not be reclassified subsequently to net income











Net change in remeasurement of employee benefit plan asset and liability:











Actuarial gains (losses) on employee benefit plans


(17)


(231)


398


955


1,815

Income tax expense (benefit)


(1)


(70)


106


277


480



(16)


(161)


292


678


1,335

Net change in fair value due to change in equity instruments designated at fair











value through other comprehensive income:











Net gains (losses) in fair value


(160)


(175)


96


(106)


532

Income tax expense (benefit)


(46)


(45)


25


(32)


124



(114)


(130)


71


(74)


408

Net change in fair value due to change in own credit risk on financial liabilities











designated under the fair value option:











Change in fair value due to change in own credit risk on financial liabilities











designated under the fair value option


373


567


(24)


1,958


(270)

Income tax expense (benefit)


98


149


(7)


514


(71)



275


418


(17)


1,444


(199)

Other comprehensive income (loss) from investments in associates


-


-


-


2


5

Other comprehensive income (loss)


(460)


(730)


(1,444)


(1,589)


(3,340)

Comprehensive income (loss) 

$

1,633

$

1,864

$

1,115

$

8,585

$

6,615

Comprehensive income (loss) attributable to non-controlling interests


60


(32)


(27)


233


125

Comprehensive income (loss) attributable to equity holders of the Bank

$

1,573

$

1,896

$

1,142

$

8,352

$

6,490

Preferred shareholders and other equity instrument holders


106


36


78


260


233

Common shareholders

$

1,467

$

1,860

$

1,064

$

8,092

$

6,257












Consolidated Statement of Changes in Equity










Accumulated other comprehensive income (loss)

















































































Preferred

Total 

Non-













Foreign



Debt



Equity

Cash








Total

shares and

attributable

controlling







Common


Retained



currency



instruments


instruments

flow





Other



common

other equity

to equity

interests in




(unaudited) ($ millions)


shares


earnings

(1)


translation



FVOCI



FVOCI

hedges


Other

(2)


reserves



equity

instruments

holders

subsidiaries



Total

Balance as at October 31, 2021

$

18,507


$

51,354


$

(4,709)


$

(270)


$

291


$

(214)


$

(431)


$

222


$

64,750


$

6,052


$

70,802


$

2,090


$

72,892

Net income


-



9,656



-



-



-



-



-



-



9,656



260



9,916



258



10,174

Other comprehensive income (loss)


-



-



2,411



(1,212)



(35)



(4,523)



1,795



-



(1,564)



-



(1,564)



(25)



(1,589)

Total comprehensive income

$

-


$

9,656


$

2,411


$

(1,212)


$

(35)


$

(4,523)


$

1,795


$

-


$

8,092


$

260


$

8,352


$

233


$

8,585

Shares/instruments issued


706



-



-



-



-



-



-



(18)



688



2,523



3,211



-



3,211

Shares repurchased/redeemed


(506)



(2,367)



-



-



-



-



-



-



(2,873)



(500)



(3,373)



-



(3,373)

Dividends and distributions paid to equity holders


-



(4,858)



-



-



-



-



-



-



(4,858)



(260)



(5,118)



(115)



(5,233)

Share-based payments(3)


-



-



-



-



-



-



-



10



10



-



10



-



10

Other


-



(24)



(180)



-



(40)



(49)



-



(366)

(4)


(659)



-



(659)



(684)

(4)


(1,343)

Balance as at October 31, 2022

$

18,707


$

53,761


$

(2,478)


$

(1,482)


$

216


$

(4,786)


$

1,364


$

(152)


$

65,150


$

8,075


$

73,225


$

1,524


$

74,749









































Balance as at October 31, 2020

$

18,239


$

46,345


$

(1,328)


$

330


$

(163)


$

639


$

(1,603)


$

360


$

62,819


$

5,308


$

68,127


$

2,376


$

70,503

Net income


-



9,391



-



-



-



-



-



-



9,391



233



9,624



331



9,955

Other comprehensive income (loss)


-



-



(3,322)



(600)



460



(844)



1,172



-



(3,134)



-



(3,134)



(206)



(3,340)

Total comprehensive income

$

-


$

9,391


$

(3,322)


$

(600)


$

460


$

(844)


$

1,172


$

-


$

6,257


$

233


$

6,490


$

125


$

6,615

Shares/instruments issued


268



-



-



-



-



-



-



(25)



243



2,003



2,246



-



2,246

Shares repurchased/redeemed


-



-



-



-



-



-



-



-



-



(1,259)



(1,259)



-



(1,259)

Dividends and distributions paid to equity holders


-



(4,371)



-



-



-



-



-



-



(4,371)



(233)



(4,604)



(123)



(4,727)

Share-based payments(3)


-



-



-



-



-



-



-



7



7



-



7



-



7

Other


-



(11)



(59)



-



(6)



(9)



-



(120)

(4)


(205)



-



(205)



(288)

(4)


(493)

Balance as at October 31, 2021

$

18,507


$

51,354


$

(4,709)


$

(270)


$

291


$

(214)


$

(431)


$

222


$

64,750


$

6,052


$

70,802


$

2,090


$

72,892

(1)

Includes undistributed retained earnings of $67 (2021 - $60) related to a foreign associated corporation, which is subject to local regulatory restriction.

(2)

Includes Share from associates, Employee benefits and Own credit risk.

(3)

Represents amounts on account of share-based payments (refer to Note 26 in the 2022 Annual Report to Shareholders).

(4)

Includes changes to non-controlling interests arising from business combinations and related transactions.



Consolidated Statement of Cash Flows

(Unaudited) ($ millions)

For the three months ended

For the year ended

Sources (uses) of cash flows


October 31  


October 31 


October 31  


October 31 


2022


2021


2022


2021

Cash flows from operating activities









Net income

$

2,093

$

2,559

$

10,174

$

9,955

Adjustment for:









Net interest income


(4,622)


(4,217)


(18,115)


(16,961)

Depreciation and amortization


394


383


1,531


1,511

Provision for credit losses


529


168


1,382


1,808

Equity-settled share-based payment expense


1


1


10


7

Net gain on sale of investment securities


(71)


(83)


(74)


(419)

Net (gain)/loss on divestitures


233


(6)


233


9

Net income from investments in associated corporations


(49)


(96)


(268)


(339)

Income tax expense


475


689


2,758


2,871

Changes in operating assets and liabilities:









Trading assets


8,494


(6,608)


37,501


(33,995)

Securities purchased under resale agreements and securities borrowed


(13,864)


(80)


(41,438)


(14,202)

Loans


(19,803)


(15,900)


(97,161)


(55,748)

Deposits


13,825


10,470


95,905


78,569

Obligations related to securities sold short


(4,700)


(2,016)


(1,292)


10,078

Obligations related to securities sold under repurchase agreements and securities lent


5,780


12,278


10,838


(7,709)

Net derivative financial instruments


(1,567)


1,380


115


2,123

Other, net


5,876


3,093


(1,404)


(5,300)

Dividends received


299


284


1,156


969

Interest received


10,437


6,128


31,931


25,425

Interest paid


(5,385)


(1,929)


(13,336)


(8,766)

Income tax paid


(742)


(501)


(3,503)


(2,693)

Net cash from/(used in) operating activities


(2,367)


5,997


16,943


(12,807)

Cash flows from investing activities









Interest-bearing deposits with financial institutions


5,962


(10,223)


25,783


(15,006)

Purchase of investment securities


(16,593)


(21,269)


(97,736)


(72,259)

Proceeds from sale and maturity of investment securities


16,488


26,552


63,130


103,765

Acquisition/divestiture of subsidiaries, associated corporations or business units,









   net of cash acquired


165


(50)


(549)


(717)

Property and equipment, net of disposals


(177)


(191)


(571)


(462)

Other, net


(801)


(285)


(1,350)


(624)

Net cash from/(used in) investing activities


5,044


(5,466)


(11,293)


14,697

Cash flows from financing activities









Proceeds from issue of subordinated debentures


-


-


3,356


-

Redemption/repurchase of subordinated debentures


(24)


-


(1,276)


(750)

Proceeds from preferred shares and other equity instruments issued


1,023


753


2,523


2,003

Redemption of preferred shares


-


-


(500)


(1,259)

Proceeds from common shares issued


5


14


137


268

Common shares purchased for cancellation


(128)


-


(2,873)


-

Cash dividends and distributions paid


(1,333)


(1,173)


(5,118)


(4,604)

Distributions to non-controlling interests


(26)


(25)


(115)


(123)

Payment of lease liabilities


(69)


(102)


(322)


(344)

Other, net


(778)


1,238


(391)


2,032

Net cash from/(used in) financing activities


(1,330)


705


(4,579)


(2,777)

Effect of exchange rate changes on cash and cash equivalents


305


(96)


301


(543)

Net change in cash and cash equivalents


1,652


1,140


1,372


(1,430)

Cash and cash equivalents at beginning of period(1)


9,413


8,553


9,693


11,123

Cash and cash equivalents at end of period(1)

$

11,065

$

9,693

$

11,065

$

9,693

(1)  Represents cash and non-interest bearing deposits with financial institutions (refer to Note 6 in the 2022 Annual Report to Shareholders).


Non-GAAP Measures

The Bank uses a number of financial measures and ratios to assess its performance, as well as the performance of its operating segments. Some of these financial measures and ratios are presented on a non-GAAP basis and are not calculated in accordance with Generally Accepted Accounting Principles (GAAP), which are based on International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board (IASB), are not defined by GAAP and do not have standardized meanings and therefore might not be comparable to similar financial measures and ratios disclosed by other issuers. The Bank believes that non-GAAP measures and ratios are useful as they provide readers with a better understanding of how management assesses performance. These non-GAAP measures and ratios are used throughout this report and defined below.

Adjusted results and adjusted diluted earnings per share

The following table presents a reconciliation of GAAP reported financial results to non-GAAP adjusted financial results. Management considers both reported and adjusted results and measures useful in assessing underlying ongoing business performance.  Adjusted results and measures remove certain specified items from revenue, non-interest expenses, income taxes and non-controlling interest. Presenting results on both a reported basis and adjusted basis allows readers to assess the impact of certain items on results for the periods presented, and to better assess results and trends excluding those items that may not be reflective of ongoing business performance.  Net income and diluted earnings per share have been adjusted for the following:

1.  Amortization of acquisition-related intangible assets:

Costs of $18 million ($24 million pre-tax) for the quarter ended October 31, 2022 and $71 million ($97 million pre-tax) for the year ended October 31, 2022, relate to the amortization of intangible assets recognized upon the acquisition of businesses, excluding software, and are recorded in the Canadian Banking, International Banking and Global Wealth Management operating segments.

2.  Restructuring and other provisions:

In Q4 2022, the Bank recorded a restructuring charge of $66 million ($85 million pre-tax) primarily related to the strategic decision to realign the Global Banking and Market businesses in Asia Pacific to focus on select banking and capital markets activities in the region. The charge also included reductions in Canadian and international technology employees, driven by ongoing technology modernization and digital transformation.

In the prior year, the Bank recorded a restructuring charge of $93 million ($126 million pre-tax), substantially related to International Banking for the cost of reducing branches and full-time employees, driven by the accelerated customer adoption of digital channels and process automation. The Bank also recorded settlement and litigation provisions in the amount of $46 million ($62 million pre-tax) in connection with the Bank's former metals business.

These charges were recorded in the Other operating segment.

3.  Support costs for the Scene+ loyalty program:

The Bank recorded costs of $98 million ($133 million pre-tax) to support the expansion of the Scene+ loyalty program to include Empire Company Limited as a partner. These committed costs relate to operational support, transition marketing and technology initiatives and were recognized as an expense in Q4 2022 in the Other operating segment.

4.  Net loss on divestitures and wind-down of operations:

In Q4 2022, the Bank sold its investments in associates in Venezuela and Thailand. Additionally, the Bank wound down its operations in India and Malaysia in relation to its realignment of the business in the Asia Pacific region.  Collectively, the sale and wind-down of these entities resulted in a net loss of $340 million ($361 million pre-tax), of which $294 million ($315 million pre-tax) related to the reclassification of cumulative foreign currency translation losses net of hedges, from accumulated other comprehensive income to non-interest income in the Consolidated Statement of Income. This net loss was recorded in the Other operating segment. For further details on these transactions, please refer to Note 36 of the consolidated financial statements in the 2022 Annual Report to Shareholders.

Reconciliation of reported and adjusted results and diluted earnings per share



For the three months ended

For the year ended


October 31

July 31

October 31

October 31

October 31

($ millions)

2022

2022

2021

2022

2021

Reported Results











Net interest income

$

4,622

$

4,676

$

4,217

$

18,115

$

16,961

Non-interest income


3,004


3,123


3,470


13,301


14,291

Total Revenue


7,626


7,799


7,687


31,416


31,252

Provision for credit losses


529


412


168


1,382


1,808

Non-interest expenses


4,529


4,191


4,271


17,102


16,618

Income before taxes


2,568


3,196


3,248


12,932


12,826

Income tax expense


475


602


689


2,758


2,871

Net income

$

2,093

$

2,594

$

2,559

$

10,174

$

9,955

Net income attributable to non-controlling interests in subsidiaries (NCI)


38


54


70


258


331

Net income attributable to equity holders

$

2,055

$

2,540

$

2,489

$

9,916

$

9,624

Net income attributable to preferred shareholders and other equity instrument holders


106


36


78


260


233

Net income attributable to common shareholders

$

1,949

$

2,504

$

2,411

$

9,656

$

9,391

Diluted earnings per share (in dollars)

$

1.63

$

2.09

$

1.97

$

8.02

$

7.70

Adjustments











Adjusting items impacting non-interest income and total revenue (Pre-tax)











Net loss on divestitures and wind-down of operations

$

361

$

-

$

-

$

361

$

-

Adjusting items impacting non-interest expense (Pre-tax)











Amortization of acquisition-related intangible assets


24


24


25


97


103

Restructuring and other provisions


85


-


188


85


188

Support costs for the Scene+ loyalty program


133


-


-


133


-

Total non-interest expense adjusting items (Pre-tax)

$

242

$

24

$

213

$

315

$

291

Total impact of adjusting items on net income before taxes

$

603

$

24

$

213


676


291

Impact of adjusting items on income tax expense











Net loss on divestitures and wind-down of operations


(21)


-


-


(21)


-

Amortization of acquisition-related intangible assets


(6)


(7)


(7)


(26)


(28)

Restructuring and other provisions


(19)


-


(49)


(19)


(49)

Support costs for the Scene+ loyalty program


(35)


-


-


(35)


-

Total impact of adjusting items on income tax expense


(81)


(7)


(56)


(101)


(77)

Total impact of adjusting items on net income


522


17


157


575


214

Impact of adjusting items on NCI related to restructuring and other provisions


(1)


-


(10)


(1)


(10)

Total impact of adjusting items on net income attributable to equity
holders and common shareholders

$

521

$

17

$

147

$

574

$

204

Adjusted Results











Net interest income

$

4,622

$

4,676

$

4,217

$

18,115

$

16,961

Non-interest income


3,365


3,123


3,470


13,662


14,291

     Total revenue


7,987


7,799


7,687


31,777


31,252

Provision for credit losses


529


412


168


1,382


1,808

Non-interest expenses


4,287


4,167


4,058


16,787


16,327

Income before taxes


3,171


3,220


3,461


13,608


13,117

Income tax expense


556


609


745


2,859


2,948

Net income

$

2,615

$

2,611

$

2,716

$

10,749

$

10,169

Net income attributable to NCI


39


54


80


259


341

Net income attributable to equity holders

$

2,576

$

2,557

$

2,636

$

10,490

$

9,828

Net income attributable to preferred shareholders and other equity instrument holders


106


36


78


260


233

Net income attributable to common shareholders

$

2,470

$

2,521

$

2,558

$

10,230

$

9,595

Diluted earnings per share (in dollars)

$

2.06

$

2.10

$

2.10

$

8.50

$

7.87

Impact of adjustments on diluted earnings per share (in dollars)

$

0.43

$

0.01

$

0.13

$

0.48

$

0.17

 

Reconciliation of reported and adjusted results by business line(1)















($ millions)

Canadian Banking

International Banking

Global Wealth Management

Global Banking and Markets

Other

Total



For the three months ended October 31, 2022

Reported net income (loss)

$

1,170

$

679

$

363

$

484

$

(603)

$

2,093

Net income attributable to non-controlling interests in














subsidiaries (NCI)


-


36


2


-


-


38

Reported net income attributable to equity holders


1,170


643


361


484


(603)


2,055

Reported net income attributable to preferred shareholders and other equity instrument holders


1


1


-


-


104


106

Reported net income attributable to common shareholders

$

1,169

$

642

$

361

$

484

$

(707)

$

1,949

Adjustments













Adjusting items impacting non-interest income and total revenue (Pre-tax)














Net loss on divestitures and wind-down of operations


-


-


-


-


361


361

Adjusting items impacting non-interest expenses (Pre-tax)














Amortization of acquisition-related intangible assets


6


9


9


-


-


24


Restructuring and other provisions


-


-


-


-


85


85


Support costs for the Scene+ loyalty program


-


-


-


-


133


133

Total non-interest expenses adjustments (Pre-tax)


6


9


9


-


218


242

Total impact of adjusting items on net income before taxes


6


9


9


-


579


603

Total impact of adjusting items on income tax expense


(2)


(2)


(2)


-


(75)


(81)

Total impact of adjusting items on net income


4


7


7


-


504


522

Impact of adjusting items on NCI related to restructuring and other provisions


-


-


-


-


(1)


(1)

Total impact of adjusting items on net income attributable to
equity holders and common shareholders


4


7


7


-


503


521

Adjusted net income

$

1,174

$

686

$

370

$

484

$

(99)

$

2,615

Adjusted net income attributable to equity holders

$

1,174

$

650

$

368

$

484

$

(100)

$

2,576

Adjusted net income attributable to common shareholders

$

1,173

$

649

$

368

$

484

$

(204)

$

2,470

















For the three months ended July 31, 2022

Reported net income

$

1,213

$

677

$

378

$

378

$

(52)

$

2,594

Net income attributable to non-controlling interests in














subsidiaries (NCI)


-


52


2


-


-


54

Reported net income attributable to equity holders


1,213


625


376


378


(52)


2,540

Reported net income attributable to preferred shareholders and other equity instrument holders


1


-


1


1


33


36

Reported net income attributable to common shareholders

$

1,212

$

625

$

375

$

377

$

(85)

$

2,504

Adjustments













Adjusting items impacting non-interest expenses (Pre-tax)














Amortization of acquisition-related intangible assets


5


10


9


-


-


24

Total non-interest expenses adjustments (Pre-tax)


5


10


9


-


-


24

Total impact of adjusting items on net income before taxes


5


10


9


-


-


24

Total impact of adjusting items on income tax expense


(1)


(4)


(2)


-


-


(7)

Total impact of adjusting items on net income


4


6


7


-


-


17

Total impact of adjusting items on net income attributable to
equity holders and common shareholders


4


6


7


-


-


17

Adjusted net income

$

1,217

$

683

$

385

$

378

$

(52)

$

2,611

Adjusted net income attributable to equity holders

$

1,217

$

631

$

383

$

378

$

(52)

$

2,557

Adjusted net income attributable to common shareholders

$

1,216

$

631

$

382

$

377

$

(85)

$

2,521

















For the three months ended October 31, 2021

Reported net income

$

1,238

$

607

$

387

$

502

$

(175)

$

2,559

Net income attributable to non-controlling interests in














subsidiaries (NCI)


-


79


2


-


(11)


70

Reported net income attributable to equity holders


1,238


528


385


502


(164)


2,489

Reported net income attributable to preferred shareholders and other equity instrument holders


4


3


1


2


68


78

Reported net income attributable to common shareholders

$

1,234

$

525

$

384

$

500

$

(232)

$

2,411

Adjustments













Adjusting items impacting non-interest expenses (Pre-tax)














Amortization of acquisition-related intangible assets


6


10


9


-


-


25


Restructuring and other provisions


-


-


-


-


188


188

Total non-interest expenses adjustments (Pre-tax)


6


10


9


-


188


213

Total impact of adjusting items on net income before taxes


6


10


9


-


188


213

Total impact of adjusting items on income tax expense


(2)


(3)


(2)


-


(49)


(56)

Total impact of adjusting items on net income


4


7


7


-


139


157

Impact of adjusting items on NCI related to restructuring and other provisions


-


-


-


-


(10)


(10)

Total impact of adjusting items on net income attributable to
equity holders and common shareholders


4


7


7


-


129


147

Adjusted net income

$

1,242

$

614

$

394

$

502

$

(36)

$

2,716

Adjusted net income attributable to equity holders

$

1,242

$

535

$

392

$

502

$

(35)

$

2,636

Adjusted net income attributable to common shareholders

$

1,238

$

532

$

391

$

500

$

(103)

$

2,558

(1)

Refer to Business Line Overview in the 2022 Annual Report to Shareholders.

















Reconciliation of reported and adjusted results by business line(1)















($ millions)

Canadian Banking

International Banking

Global Wealth Management

Global Banking and Markets

Other

Total



For the year ended October 31, 2022

Reported net income

$

4,763

$

2,667

$

1,565

$

1,911

$

(732)

$

10,174

Net income attributable to non-controlling interests in














subsidiaries (NCI)


-


249


9


-


-


258

Reported net income attributable to equity holders


4,763


2,418


1,556


1,911


(732)


9,916

Reported net income attributable to preferred shareholders and other equity instrument holders


6


6


3


4


241


260

Reported net income attributable to common shareholders

$

4,757

$

2,412

$

1,553

$

1,907

$

(973)

$

9,656

Adjustments













Adjusting items impacting non-interest income and total revenue (Pre-tax)














Net loss on divestitures and wind-down of operations


-


-


-


-


361


361

Adjusting items impacting non-interest expenses (Pre-tax)














Amortization of acquisition-related intangible assets


22


39


36


-


-


97


Restructuring and other provisions


-


-


-


-


85


85


Support costs for the Scene+ loyalty program


-


-


-


-


133


133

Total non-interest expenses adjustments (Pre-tax)


22


39


36


-


218


315

Total impact of adjusting items on net income before taxes


22


39


36


-


579


676

Total impact of adjusting items on income tax expense


(6)


(11)


(9)


-


(75)


(101)

Total impact of adjusting items on net income


16


28


27


-


504


575

Impact of adjusting items on NCI related to restructuring and other provisions


-


-


-


-


(1)


(1)

Total impact of adjusting items on net income attributable to
equity holders and common shareholders


16


28


27


-


503


574

Adjusted net income

$

4,779

$

2,695

$

1,592

$

1,911

$

(228)

$

10,749

Adjusted net income attributable to equity holders

$

4,779

$

2,446

$

1,583

$

1,911

$

(229)

$

10,490

Adjusted net income attributable to common shareholders

$

4,773

$

2,440

$

1,580

$

1,907

$

(470)

$

10,230

















For the year ended October 31, 2021

Reported net income

$

4,155

$

2,155

$

1,574

$

2,075

$

(4)

$

9,955

Net income attributable to non-controlling interests in














subsidiaries (NCI)


-


332


9


-


(10)


331

Reported net income attributable to equity holders


4,155


1,823


1,565


2,075


6


9,624

Reported net income attributable to preferred shareholders and other equity instrument holders


20


21


11


15


166


233

Reported net income attributable to common shareholders

$

4,135

$

1,802

$

1,554

$

2,060

$

(160)


9,391

Adjustments













Adjusting items impacting non-interest expenses (Pre-tax)














Amortization of acquisition-related intangible assets


22


45


36


-


-


103


Restructuring and other provisions


-


-


-


-


188


188

Total non-interest expenses adjustments (Pre-tax)


22


45


36


-


188


291

Total impact of adjusting items on net income before taxes


22


45


36


-


188


291

Total impact of adjusting items on income tax expense


(6)


(13)


(9)


-


(49)


(77)

Total impact of adjusting items on net income


16


32


27


-


139


214

Impact of adjusting items on NCI related to restructuring and other provisions


-


-


-


-


(10)


(10)

Total impact of adjusting items on net income attributable to
equity holders and common shareholders 


16


32


27


-


129


204

Adjusted net income

$

4,171

$

2,187

$

1,601

$

2,075

$

135

$

10,169

Adjusted net income attributable to equity holders

$

4,171

$

1,855

$

1,592

$

2,075

$

135

$

9,828

Adjusted net income attributable to common shareholders

$

4,151

$

1,834

$

1,581

$

2,060

$

(31)

$

9,595

(1)

Refer to Business Line Overview in the 2022 Annual Report to Shareholders.







Reconciliation of International Banking's reported and adjusted results and constant dollar results

International Banking business segment results are analyzed on a constant dollar basis which is a non-GAAP measure. Under the constant dollar basis, prior period amounts are recalculated using current period average foreign currency rates. The following table presents the reconciliation between reported, adjusted and constant dollar results for International Banking for prior periods. The Bank believes that constant dollar is useful for readers to understand business performance without the impact of foreign currency translation and is used by management to assess the performance of the business segment. The tables below are computed on a basis that is different than the table "Impact of foreign currency translation" on page 4.



For the three months ended

For the year ended

($ millions)

July 31, 2022


October 31, 2021

October 31, 2021

(Taxable equivalent basis)

Reported

results

Foreign exchange

Constant dollar results


Reported

results

Foreign exchange

Constant dollar results


Reported

results

Foreign exchange

Constant dollar results

Net interest income

$

1,759

$

(27)

$

1,786


$

1,589

$

(33)

$

1,622


$

6,625

$

147

$

6,478

Non-interest income


660


20


640



728


28


700



2,993


119


2,874

Total revenue


2,419


(7)


2,426



2,317


(5)


2,322



9,618


266


9,352

Provision for credit losses


325


(3)


328



314


(9)


323



1,574


40


1,534

Non-interest expenses


1,295


(16)


1,311



1,259


(19)


1,278



5,254


105


5,149

Income tax expense


122


8


114



137


7


130



635


30


605

Net income

$

677

$

4

$

673


$

607

$

16

$

591


$

2,155

$

91

$

2,064

Net income attributable to





















      non-controlling interest





















      in subsidiaries

$

52

$

-

$

52


$

79

$

3

$

76


$

332

$

24

$

308

Net income attributable to





















      equity holders of the Bank

$

625

$

4

$

621


$

528

$

13

$

515


$

1,823

$

67

$

1,756

Other measures





















Average assets ($ billions)

$

209

$

(4)

$

213


$

192

$

(3)

$

195


$

194

$

4

$

190

Average liabilities ($ billions)

$

155

$

(3)

$

158


$

146

$

(1)

$

147


$

149

$

5

$

144















































For the three months ended

For the year ended

($ millions)

July 31, 2022


October 31, 2021

October 31, 2021

(Taxable equivalent basis)

Adjusted results

Foreign exchange

Constant dollar adjusted results


Adjusted results

Foreign exchange

Constant dollar adjusted results


Adjusted results

Foreign exchange

Constant dollar adjusted results

Net interest income

$

1,759

$

(27)

$

1,786


$

1,589

$

(33)

$

1,622


$

6,625

$

147

$

6,478

Non-interest income


660


20


640



728


28


700



2,993


119


2,874

Total revenue


2,419


(7)


2,426



2,317


(5)


2,322



9,618


266


9,352

Provision for credit losses


325


(3)


328



314


(9)


323



1,574


40


1,534

Non-interest expenses


1,285


(17)


1,302



1,249


(19)


1,268



5,209


102


5,107

Income tax expense


126


9


117



140


6


134



648


32


616

Net income

$

683

$

4

$

679


$

614

$

17

$

597


$

2,187

$

92

$

2,095

Net income attributable to





















non-controlling interest





















in subsidiaries

$

52

$

1

$

51


$

79

$

3

$

76


$

332

$

23

$

309

Net income attributable to





















equity holders of the Bank

$

631

$

3

$

628


$

535

$

14

$

521


$

1,855

$

69

$

1,786

 

Reconciliation of average total assets, core earning assets and core net interest income

Earning assets

Earning assets are defined as income generating assets which include deposits with financial institutions, trading assets, investment securities, investments in associates, securities borrowed or purchased under resale agreements, loans net of allowances, and customers' liability under acceptances.

Non-earning assets

Non-earning assets are defined as cash, precious metals, derivative financial instruments, property and equipment, goodwill and other intangible assets, deferred tax assets and other assets.

Core earning assets

Core earning assets are defined as interest-bearing deposits with financial institutions, investment securities and loans net of allowances. This is a non-GAAP measure. The Bank believes that this measure is useful for readers as it presents the main interest-generating assets of the personal and commercial businesses, and eliminates the impact of trading businesses.

Core net interest income

Core net interest income is defined as net interest income earned from core earning assets. This is a non-GAAP measure.

Net interest margin

Net interest margin is calculated as core net interest income for the business line divided by average core earning assets. Net interest margin is a non-GAAP ratio.

Average earning assets, average core earning assets and net interest margin by business line

Consolidated Bank



For the three months ended


For the year ended



October 31 



July 31 



October 31 



October 31 



October 31 


($ millions)


2022



2022



2021



2022



2021


Average total assets - Reported(1)

$

1,332,897


$

1,295,165


$

1,172,707


$

1,281,708


$

1,157,213


Less: Non-earning assets


126,213



111,324



93,136



107,536



94,908


Average total earning assets(1)

$

1,206,684


$

1,183,841


$

1,079,571


$

1,174,172


$

1,062,305


Less:
















Trading assets


117,807



128,890



143,946



138,390



142,033


Securities purchased under resale agreements

















and securities borrowed


157,438



146,002



119,195



140,557



116,829


Other deductions


69,343



62,710



55,380



62,531



51,750


Average core earning assets(1)

$

862,096


$

846,239


$

761,050


$

832,694


$

751,693


Net Interest Income - Reported

$

4,622


$

4,676


$

4,217


$

18,115


$

16,961


Less: Non-core net interest income


(122)



(53)



50



(185)



190


Core net interest income

$

4,744


$

4,729


$

4,167


$

18,300


$

16,771


Net interest margin


2.18 %



2.22 %



2.17 %



2.20 %



2.23 %


(1)

Average balances represent the average of daily balances for the period.























Canadian Banking



For the three months ended


For the year ended



October 31 



July 31 



October 31 



October 31 



October 31 


($ millions)


2022



2022



2021



2022



2021


Average total assets - Reported(1)

$

445,670


$

437,269


$

398,141


$

429,528


$

380,772


Less: Non-earning assets


4,112



4,089



4,100



4,092



4,102


Average total earning assets(1)

$

441,558


$

433,180


$

394,041


$

425,436


$

376,670


Less:
















Other deductions


26,191



24,646



18,780



23,482



17,382


Average core earning assets(1)

$

415,367


$

408,534


$

375,261


$

401,954


$

359,288


Net Interest Income - Reported

$

2,363


$

2,361


$

2,082


$

9,001


$

8,030


Less: Non-core net interest income


-



-



-



-



-


Core net interest income

$

2,363


$

2,361


$

2,082


$

9,001


$

8,030


Net interest margin


2.26 %



2.29 %



2.20 %



2.24 %



2.23 %


(1)

Average balances represent the average of daily balances for the period.























International Banking 



For the three months ended


For the year ended



October 31 



July 31 



October 31 



October 31 



October 31 


($ millions)


2022



2022



2021



2022



2021


Average total assets - Reported(1)

$

217,061


$

209,076


$

192,219


$

206,550


$

194,124


Less: Non-earning assets


19,358



18,448



15,563



17,808



15,218


Average total earning assets(1)

$

197,703


$

190,628


$

176,656


$

188,742


$

178,906


Less:
















Trading assets


5,369



4,860



5,453



4,978



5,812


Securities purchased under resale agreements

















and securities borrowed


2,433



2,245



-



1,265



-


Other deductions


7,087



6,616

(2)


6,118

(2)


6,781



6,581

(2)

Average core earning assets(1)

$

182,814


$

176,907


$

165,085


$

175,718


$

166,513


Net Interest Income - Reported

$

1,806


$

1,759


$

1,589


$

6,900


$

6,625


Less: Non-core net interest income


(73)



(1)



15



(66)



50


Core net interest income

$

1,879


$

1,760


$

1,574


$

6,966


$

6,575


Net interest margin


4.08 %



3.95 %

(2)


3.78 %

(2)


3.96 %



3.95 %

(2)

(1)

Average balances represent the average of daily balances for the period.


(2)

Prior period has been restated to reflect the deduction of non-interest bearing deposits with financial institutions, to align with the Bank's definition.



















Return on equity

Return on equity is a profitability measure that presents the net income attributable to common shareholders as a percentage of average common shareholders' equity.

The Bank attributes capital to its business lines on a basis that approximates 10.5% of Basel III common equity capital requirements which includes credit, market and operational risks and leverage inherent within each business segment.

Return on equity for the business segments is calculated as a ratio of net income attributable to common shareholders of the business segment and the capital attributed.

Adjusted return on equity is a non-GAAP ratio which represents adjusted net income attributable to common shareholders as a percentage of adjusted average common shareholders' equity.

Return on equity by operating segment





For the three months ended October 31, 2022











Global

Global








Canadian

International

Wealth

Banking



($ millions)




Banking

Banking

Management

and Markets

Other

Total

Reported

























Net income attributable to
























common shareholders



$

1,169



$

642



$

361



$

484



$

(707)



$

1,949

Total average common equity(1)


18,757




19,501




9,701




14,260




2,877




65,096

Return on equity




24.7 %




13.1 %




14.8 %




13.4 %




nm(2)




11.9 %

Adjusted(3)

























Net income attributable to
























common shareholders



$

1,173



$

649



$

368



$

484



$

(204)



$

2,470

Total average common equity(1)


18,757




19,501




9,701




14,260




3,191




65,410

Return on equity




24.8 %




13.2 %




15.0 %




13.4 %




nm(2)




15.0 %

(1)

Average amounts calculated using methods intended to approximate the daily average balances for the period.

(2)

Not meaningful

























(3)

Refer to Tables on pages 23-25.

 



For the three months ended July 31, 2022

For the three months ended October 31, 2021





Global

Global





Global

Global





Canadian

International

Wealth


Banking





Canadian

International

Wealth


Banking





($ millions)

Banking

Banking

Management

and Markets

Other

Total

Banking

Banking

Management

and Markets

Other

Total

Reported

























Net income attributable to


























common shareholders

$

1,212

$

625

$

375

$

377

$

(85)

$

2,504

$

1,234

$

525

$

384

$

500

$

(232)

$

2,411

Total average common equity(1)


18,433


19,085


9,631


13,488


4,301


64,938


16,686


17,304


9,342


12,779


8,624


64,735

Return on equity


26.1 %


13.0 %


15.5 %


11.1 %


nm(2)


15.3 %


29.4 %


12.0 %


16.3 %


15.5 %


nm(2)


14.8 %

Adjusted(3)

























Net income attributable to


























common shareholders

$

1,216

$

631

$

382

$

377

$

(85)

$

2,521

$

1,238

$

532

$

391

$

500

$

(103)

$

2,558

Total average common equity(1)


18,433


19,085


9,631


13,488


4,346


64,983


16,686


17,304


9,342


12,779


8,755


64,866

Return on equity


26.2 %


13.1 %


15.7 %


11.1 %


nm(2)


15.4 %


29.4 %


12.2 %


16.6 %


15.5 %


nm(2)


15.6 %

(1)

Average amounts calculated using methods intended to approximate the daily average balances for the period.

(2)

Not meaningful






















(3)

Refer to Tables on pages 23-25.

 



For the year ended October 31, 2022

For the year ended October 31, 2021





Global

Global






Global

Global





Canadian

International

Wealth


Banking





Canadian

International

Wealth


Banking





($ millions)

Banking

Banking

Management

and Markets

Other

Total</