TORONTO, Dec. 3, 2024 /CNW/ -Scotiabank reported net income of $7,892 million for the fiscal year 2024, compared with net income of $7,450 million in 2023. Diluted earnings per share (EPS) were $5.87, compared to $5.72 in the previous year. Return on equity was 10.2%, compared to 10.3% in the previous year.
$Bank of Nova Scotia (BNS.CA)$ Reported net income for the fourth quarter ended October 31, 2024 was $1,689 million compared to $1,354 million in the same period last year. Diluted EPS were $1.22, compared to $0.99 in the same period a year ago. Return on equity was 8.3% compared to 7.0% a year ago.
This quarter's net income included adjusting items of $430 million after-tax. These included impairment charges of $379 million related to the Bank's investment in associate with Bank of X'ian Co Ltd. in China, as well as certain software intangible assets, and severance provisions of $38 million related to the Bank's continued efforts to focus on operational excellence.
Adjusted net income(2) was $8,627 million for the fiscal year 2024, up from $8,363 million in the previous year and adjusted diluted EPS were $6.47 versus $6.48 in the previous year. Adjusted return on equity was 11.3% compared to 11.6% in the previous year.
Adjusted net income(2) for the fourth quarter ended October 31, 2024 was $2,119 million and adjusted diluted EPS were $1.57, compared to $1.23 last year. Adjusted return on equity was 10.6% compared to 8.7% a year ago.
"2024 was a foundational year for Scotiabank as we launched and made early progress against our new strategy. The Bank delivered solid revenue growth and positive full year operating leverage, while redeploying capital to our priority markets across the North American corridor," said Scott Thomson, President and Chief Executive Officer of Scotiabank.
Canadian Banking delivered adjusted earnings(2) of $4,277 million in 2024, up 7% from the prior year. Revenue was supported by double-digit growth in net interest income from volume growth and margin expansion. Expenses were well-managed, resulting in positive operating leverage for the year.
International Banking generated adjusted earnings(2) of $2,862 million in 2024, up 11% year-over-year. Solid revenue growth, driven by margin expansion, continued expense discipline and the favourable impact of foreign exchange, were partly offset by higher provision for credit losses. Strong positive operating leverage of 5% reflected the significant impact of productivity initiatives in the region.
Global Wealth Management generated adjusted earnings(2) of $1,612 million in 2024, up 10% year-over-year. The business delivered strong revenue growth driven by fee revenue from assets under management of $373 billion, up 18% year-over-year, and higher net interest income across our Canadian and International Wealth businesses.
Global Banking and Markets reported earnings of $1,688 million in 2024. Higher fee revenue and lower provision for credit losses were more than offset by lower net interest income driven by lower loan balances and higher expenses to support business growth.
The Bank reported a Common Equity Tier 1 (CET1) capital ratio(4) of 13.1%, up from 13.0% last year and continued to maintain strong liquidity metrics.
"While I am encouraged by our strategic progress to date, there is significant work ahead as we focus on client primacy initiatives to drive enhanced profitability across our businesses. I am confident that we are on track to achieve the targets we laid out at our Investor Day for 2025," continued Mr. Thomson. "I would like to thank our global team of Scotiabankers for their efforts and contributions as we continue to execute on our enterprise strategy in the coming year."
