Scotiabank Raises Dividend as Income Rises

By Cara Lombardo Features Dow Jones Newswires

Bank of Nova Scotia's income grew in its latest quarter as it grew business both in Canada and internationally.

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Toronto-based Scotiabank, one of Canada's largest banks, said Tuesday it earned 2.1 billion Canadian dollars ($1.69 billion) in the quarter ended July 31, up from C$1.96 billion a year earlier.

Earnings per share climbed to C$1.66 from C$1.54 while revenue rose 4% to C$6.89 billion. Analysts polled by Thomson Reuters had expected earnings per share of C$1.64 on revenue of C$6.98 billion.

Scotiabank Chief Executive Brian Porter said both Canadian and international personal and commercial banking earnings jumped more than 10% from last year as loans and deposits grew.

As a result, the bank increased its quarterly dividend by 7% percent to C$0.79.

In its third-quarter, the bank's fee-based income rose 1% while net interest income rose 6%. Continued investments in digital banking and customer experience improvements caused the company's non-interest expenses to rise 5%.

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The loan-loss provision didn't materially change, as higher retail provisions were offset by improved provisions elsewhere.

(END) Dow Jones Newswires

August 29, 2017 07:06 ET (11:06 GMT)