All amounts are in Canadian dollars and are based on our audited Annual and unaudited Interim Consolidated Financial Statements for the year and quarter ended
2020 Net Income | 2020 Diluted EPS1 | 2020 PCL2 | 2020 ROE4 | CET1 Ratio |
The PCL on loans ratio of 63 bps increased by 32 bps from the prior year, largely resulting from higher provisions on performing loans due to the impact of the COVID-19 pandemic. The PCL on impaired loans ratio was 24 bps, down 3 bps from the prior year. Our capital position remained robust, with a Common Equity Tier 1 (CET1) ratio of 12.5%, up 40 bps from the prior year (pre-pandemic levels). We also had a strong average Liquidity Coverage Ratio (LCR) of 145%.
"In what has been an unparalleled year due to the global pandemic, RBC demonstrated the strength and resilience of our franchise. The combination of prudent risk management, a strong balance sheet and diversified business model, and our Purpose-led approach to supporting employees, clients and communities, defined our success in a challenging operating environment," said |
2020 Full Year Business Segment Performance
- 21% lower earnings in Personal & Commercial Banking, mainly due to higher PCL, primarily attributable to the impact of the COVID-19 pandemic on performing loans. The net increase in costs associated with the COVID-19 pandemic, including additional staff-related costs, also contributed to the decrease. Earnings also reflected a decline in net interest income, as strong average volume growth (+6% in loans and +14% in deposits in Canadian Banking) was more than offset by the impact of lower interest rates and competitive pricing pressures. In addition, we continued our investment in digital solutions to improve our clients' experience and deliver personalized advice as the pandemic amplified client preferences for digital offerings.
- 15% lower earnings in Wealth Management, primarily due to a gain in the prior year on the sale of the private debt business of BlueBay (
$134 million after-tax), a decline in net interest income from lower interest rates partially offset by volume growth, and higher staff-related costs. Lower income from sweep deposits also contributed to the decrease. These factors were partially offset by an increase in earnings from higher average fee-based client assets, primarily reflecting net sales and market appreciation, net of the associated variable compensation. - 3% earnings growth in Insurance, largely due to higher favourable investment-related experience, partially offset by unfavourable annual actuarial assumption updates.
- 13% earnings growth in Investor & Treasury Services, as the prior year included severance and related costs (
$83 million after-tax) associated with the repositioning of the business. The repositioning combined with the impact of ongoing efficiency initiatives also resulted in lower staff-related costs in the current year. These factors were partially offset by lower client deposit revenue due to margin compression primarily driven by lower interest rates. - 4% earnings growth in Capital Markets, largely due to higher fixed income trading revenue across all regions as elevated market volatility drove increased client activity, and higher debt origination across most regions as the low interest rate environment drove increased primary issuance. Higher equity trading revenue primarily in the
U.S. also contributed to the increase. These factors were partially offset by higher PCL mainly attributable to the impact of the COVID-19 pandemic on performing assets, higher taxes due to an increase in the proportion of earnings from higher tax rate jurisdictions, and higher compensation on improved results.
_______________________________ |
1 Earnings per share (EPS). |
2 Provision for credit losses (PCL). |
3 Basis points (bps). |
4 Return on equity (ROE). This measure does not have a standardized meaning under GAAP. For further information, refer to the Key Performance and non-GAAP measures section on page 12 of this Earnings Release. |
Q4 2020 Performance
Earnings of
Earnings were up
Q4 2020 | • | Net income of | ↑ | 1% |
• | Diluted EPS of | ↑ | 2% | |
• | ROE of 16.0% | ↓ | 20 bps | |
• | CET1 ratio of 12.5% | ↑ | 40 bps | |
Q4 2020 | • | Net income of | ↑ | 1% |
• | Diluted EPS of | ↑ | 1% | |
• | ROE of 16.0% | ↑ | 30 bps | |
• | CET1 ratio of 12.5% | ↑ | 50 bps | |
Q4 2020 Business Segment Performance
Personal & Commercial Banking
Net income of
Compared to last quarter, net income increased
Wealth Management
Net income of
Compared to last quarter, net income decreased
Insurance
Net income of
Compared to last quarter, net income increased
Investor & Treasury Services
Net income of
Compared to last quarter, net income increased
Capital Markets
Net income of
Compared to last quarter, net income decreased
Corporate Support
Net income was
Capital, Liquidity and Credit Quality
Capital – As at
Liquidity – For the quarter ended
Credit Quality
Q4 2020 vs. Q4 2019
Total PCL was
PCL on other financial assets was
PCL on loans in Personal & Commercial Banking decreased
PCL on loans in Wealth Management increased
PCL on loans in Capital Markets decreased
Q4 2020 vs. Q3 2020
Compared to last quarter, total PCL decreased
PCL on other financial assets of
PCL on loans in Personal & Commercial Banking decreased
PCL on loans in Wealth Management decreased
PCL on loans in Capital Markets decreased
90-day Active Mobile users increased 12% from a year ago to 5.0 million, resulting in a 37% increase in mobile sessions. Digital adoption increased to 54.0%.
Selected financial and other highlights | |||||||||||||
As at or for the three months ended | For the year ended | ||||||||||||
(Millions of Canadian dollars, except per share, number of and percentage amounts) (1) |
| July 31 2020 | October 31 2019 |
| October 31 2019 | ||||||||
Total revenue | $ | 11,092 | $ | 12,920 | $ | 11,370 | $ | 47,181 | $ | 46,002 | |||
Provision for credit losses (PCL) | 427 | 675 | 499 | 4,351 | 1,864 | ||||||||
Insurance policyholder benefits, claims and acquisition expense (PBCAE) | 461 | 1,785 | 654 | 3,683 | 4,085 | ||||||||
Non-interest expense | 6,058 | 6,380 | 6,319 | 24,758 | 24,139 | ||||||||
Income before income taxes | 4,146 | 4,080 | 3,898 | 14,389 | 15,914 | ||||||||
Net income | $ | 3,246 | $ | 3,201 | $ | 3,206 | $ | 11,437 | $ | 12,871 | |||
Segments - net income | |||||||||||||
Personal & Commercial Banking | $ | 1,502 | $ | 1,367 | $ | 1,618 | $ | 5,087 | $ | 6,402 | |||
Wealth Management | 546 | 562 | 729 | 2,155 | 2,550 | ||||||||
Insurance | 254 | 216 | 282 | 831 | 806 | ||||||||
Investor & Treasury Services | 91 | 76 | 45 | 536 | 475 | ||||||||
Capital Markets | 840 | 949 | 584 | 2,776 | 2,666 | ||||||||
Corporate Support | 13 | 31 | (52) | 52 | (28) | ||||||||
Net income | $ | 3,246 | $ | 3,201 | $ | 3,206 | $ | 11,437 | $ | 12,871 | |||
Selected information | |||||||||||||
Earnings per share (EPS) | - basic | $ | 2.23 | $ | 2.20 | $ | 2.19 | $ | 7.84 | $ | 8.78 | ||
- diluted | 2.23 | 2.20 | 2.18 | 7.82 | 8.75 | ||||||||
Return on common equity (ROE) (2), (3) | 16.0% | 15.7% | 16.2% | 14.2% | 16.8% | ||||||||
Average common equity (2) | $ | 78,800 | $ | 79,350 | $ | 76,600 | $ | 78,800 | $ | 75,000 | |||
Net interest margin (NIM) - on average earning assets, net | 1.52% | 1.49% | 1.60% | 1.55% | 1.61% | ||||||||
PCL on loans as a % of average net loans and acceptances | 0.23% | 0.40% | 0.32% | 0.63% | 0.31% | ||||||||
PCL on performing loans as a % of average net loans and acceptances | 0.08% | 0.17% | 0.05% | 0.39% | 0.04% | ||||||||
PCL on impaired loans as a % of average net loans and acceptances | 0.15% | 0.23% | 0.27% | 0.24% | 0.27% | ||||||||
Gross impaired loans (GIL) as a % of loans and acceptances | 0.47% | 0.57% | 0.46% | 0.47% | 0.46% | ||||||||
Liquidity coverage ratio (LCR) (4) | 145% | 154% | 127% | 145% | 127% | ||||||||
Capital ratios and Leverage ratio | |||||||||||||
Common Equity Tier 1 (CET1) ratio | 12.5% | 12.0% | 12.1% | 12.5% | 12.1% | ||||||||
Tier 1 capital ratio | 13.5% | 13.3% | 13.2% | 13.5% | 13.2% | ||||||||
Total capital ratio | 15.5% | 15.3% | 15.2% | 15.5% | 15.2% | ||||||||
Leverage ratio | 4.8% | 4.8% | 4.3% | 4.8% | 4.3% | ||||||||
Selected balance sheet and other information (5) | |||||||||||||
Total assets | $ | 1,624,548 | $ | 1,683,134 | $ | 1,428,935 | $ | 1,624,548 | $ | 1,428,935 | |||
Securities, net of applicable allowance | 275,814 | 290,513 | 249,004 | 275,814 | 249,004 | ||||||||
Loans, net of allowance for loan losses | 660,992 | 655,941 | 618,856 | 660,992 | 618,856 | ||||||||
Derivative related assets | 113,488 | 157,378 | 101,560 | 113,488 | 101,560 | ||||||||
Deposits | 1,011,885 | 1,017,158 | 886,005 | 1,011,885 | 886,005 | ||||||||
Common equity | 80,719 | 78,821 | 77,816 | 80,719 | 77,816 | ||||||||
Total risk-weighted assets | 546,242 | 551,421 | 512,856 | 546,242 | 512,856 | ||||||||
Assets under management (AUM) | 843,600 | 841,200 | 762,300 | 843,600 | 762,300 | ||||||||
Assets under administration (AUA) (6) | 5,891,200 | 5,872,900 | 5,678,000 | 5,891,200 | 5,678,000 | ||||||||
Common share information | |||||||||||||
Shares outstanding (000s) | - average basic | 1,422,578 | 1,422,705 | 1,432,685 | 1,423,915 | 1,434,779 | |||||||
- average diluted | 1,426,466 | 1,427,777 | 1,438,257 | 1,428,770 | 1,440,682 | ||||||||
- end of period | 1,422,473 | 1,422,200 | 1,430,096 | 1,422,473 | 1,430,096 | ||||||||
Dividends declared per common share | $ | 1.08 | $ | 1.08 | $ | 1.05 | $ | 4.29 | $ | 4.07 | |||
Dividend yield (7) | 4.4% | 4.8% | 4.0% | 4.7% | 4.1% | ||||||||
Dividend payout ratio | 48% | 49% | 48% | 55% | 46% | ||||||||
Common share price (RY on TSX) (8) | $ | 93.16 | $ | 92.40 | $ | 106.24 | $ | 93.16 | $ | 106.24 | |||
Market capitalization (TSX) (8) | 132,518 | 131,411 | 151,933 | 132,518 | 151,933 | ||||||||
Business information (number of) | |||||||||||||
Employees (full-time equivalent) (FTE) | 83,842 | 83,734 | 82,801 | 83,842 | 82,801 | ||||||||
Bank branches | 1,329 | 1,330 | 1,327 | 1,329 | 1,327 | ||||||||
Automated teller machines (ATMs) | 4,557 | 4,561 | 4,600 | 4,557 | 4,600 | ||||||||
Period average US$ equivalent of | $ | 0.756 | $ | 0.737 | $ | 0.755 | $ | 0.744 | $ | 0.752 | |||
Period-end US$ equivalent of | $ | 0.751 | $ | 0.747 | $ | 0.759 | $ | 0.751 | $ | 0.759 |
(1) | Effective |
(2) | Average amounts are calculated using methods intended to approximate the average of the daily balances for the period. This includes average common equity used in the calculation of ROE. For further details, refer to the Key performance and non-GAAP measures section of this Earnings Release. |
(3) | These measures may not have a standardized meaning under generally accepted accounting principles (GAAP) and may not be comparable to similar measures disclosed by other financial institutions. For further details, refer to the Key performance and non-GAAP measures section of this Earnings Release. |
(4) | LCR is the average for the three months ended for each respective period and is calculated in accordance with the Office of the Superintendent |
(5) | Represents period-end spot balances. |
(6) | AUA includes |
(7) | Defined as dividends per common share divided by the average of the high and low share price in the relevant period. |
(8) | Based on TSX closing market price at period-end. |
(9) | Average amounts are calculated using month-end spot rates for the period. |
Personal & Commercial Banking | |||||||
As at or for the three months ended | |||||||
October 31 | July 31 | October 31 | |||||
(Millions of Canadian dollars, except percentage amounts and as otherwise noted) | 2020 | 2020 | 2019 | ||||
Net interest income | $ | 3,114 | $ | 3,079 | $ | 3,238 | |
Non-interest income | 1,259 | 1,269 | 1,330 | ||||
Total revenue | 4,373 | 4,348 | 4,568 | ||||
PCL on performing assets | 135 | 247 | 50 | ||||
PCL on impaired assets | 181 | 280 | 337 | ||||
PCL | 316 | 527 | 387 | ||||
Non-interest expense | 2,030 | 1,985 | 2,007 | ||||
Income before income taxes | 2,027 | 1,836 | 2,174 | ||||
Net income | $ | 1,502 | $ | 1,367 | $ | 1,618 | |
Revenue by business | |||||||
Canadian Banking | $ | 4,165 | $ | 4,135 | $ | 4,321 | |
208 | 213 | 247 | |||||
Selected balances and other information | |||||||
ROE | 26.0% | 23.4% | 27.0% | ||||
NIM | 2.59% | 2.60% | 2.82% | ||||
Efficiency ratio (1) | 46.4% | 45.7% | 43.9% | ||||
Operating leverage | (5.4)% | (5.7)% | 3.7 % | ||||
Average total assets | $ | 503,200 | $ | 494,800 | $ | 477,900 | |
Average total earning assets, net | 478,500 | 470,300 | 456,100 | ||||
Average loans and acceptances, net | 482,000 | 473,400 | 458,900 | ||||
Average deposits | 481,300 | 465,100 | 405,200 | ||||
AUA (2), (3) | 292,800 | 293,100 | 283,800 | ||||
Average AUA | 297,600 | 286,000 | 281,800 | ||||
AUM (3) | 5,300 | 5,200 | 5,000 | ||||
PCL on impaired loans as a % of average net loans and acceptances | 0.15% | 0.24% | 0.29% | ||||
Other selected information - Canadian Banking | |||||||
Net income | $ | 1,474 | $ | 1,330 | $ | 1,555 | |
NIM | 2.56% | 2.58% | 2.76% | ||||
Efficiency ratio | 44.9% | 43.9% | 42.0% | ||||
Operating leverage | (6.8)% | (5.5)% | 4.3 % |
(1) | Calculated as non-interest expense divided by total revenue. |
(2) | AUA includes securitized residential mortgages and credit card loans as at |
(3) | Represents period-end spot balances. |
Q4 2020 vs. Q4 2019
Net income decreased
Total revenue decreased
Net interest margin was down 23 bps compared to the same quarter last year, mainly due to lower interest rates.
PCL decreased
Non-interest expense increased
Q4 2020 vs. Q3 2020
Net income increased
Wealth Management | ||||||||
As at or for the three months ended | ||||||||
October 31 | July 31 | October 31 | ||||||
(Millions of Canadian dollars, except number of and percentage amounts and as otherwise noted) | 2020 | 2020 | 2019 | |||||
Net interest income | $ | 686 | $ | 699 | $ | 745 | ||
Non-interest income | 2,382 | 2,465 | 2,442 | |||||
Total revenue | 3,068 | 3,164 | 3,187 | |||||
PCL on performing assets | 51 | 31 | (1) | |||||
PCL on impaired assets | - | 43 | 35 | |||||
PCL | 51 | 74 | 34 | |||||
Non-interest expense | 2,312 | 2,361 | 2,262 | |||||
Income before income taxes | 705 | 729 | 891 | |||||
Net income | $ | 546 | $ | 562 | $ | 729 | ||
Revenue by business | ||||||||
Canadian Wealth Management | $ | 835 | $ | 806 | $ | 823 | ||
1,539 | 1,659 | 1,556 | ||||||
| 1,165 | 1,222 | 1,175 | |||||
Global Asset Management | 608 | 606 | 713 | |||||
International Wealth Management | 86 | 93 | 95 | |||||
Selected balances and other information | ||||||||
ROE | 13.0% | 13.3% | 19.5% | |||||
NIM | 2.50% | 2.58% | 3.30% | |||||
Pre-tax margin (1) | 23.0% | 23.0% | 28.0% | |||||
Selected average balance sheet information | ||||||||
Average total assets | $ | 126,300 | $ | 124,900 | $ | 103,900 | ||
Average total earning assets, net | 109,300 | 107,800 | 89,500 | |||||
Average loans and acceptances, net | 81,000 | 81,300 | 66,700 | |||||
Average deposits | 132,100 | 131,100 | 100,700 | |||||
Other information | ||||||||
AUA - total (2) | 1,100,000 | 1,097,100 | 1,062,200 | |||||
- | 583,800 | 584,500 | 543,300 | |||||
- | 438,200 | 436,400 | 412,600 | |||||
AUM (2) | 836,400 | 834,100 | 755,700 | |||||
Average AUA | 1,107,700 | 1,082,000 | 1,055,700 | |||||
Average AUM | 839,600 | 815,000 | 753,300 | |||||
PCL on impaired loans as a % of average net loans and acceptances | 0.00% | 0.21% | 0.21% | |||||
Number of advisors (3) | 5,428 | 5,376 | 5,296 | |||||
For the three months ended | ||||||||
Estimated impact of | Q4 2020 vs | Q4 2020 vs | ||||||
(Millions of Canadian dollars, except percentage amounts) | Q4 2019 | Q3 2020 | ||||||
Increase (decrease): | ||||||||
Total revenue | $ | 7 | $ | (41) | ||||
Non-interest expense | 6 | (33) | ||||||
Net income | - | (5) | ||||||
Percentage change in average US$ equivalent of | 0% | 3% | ||||||
Percentage change in average British pound equivalent of | (4)% | (1)% | ||||||
Percentage change in average Euro equivalent of | (6)% | (1)% |
(1) | Pre-tax margin is defined as Income before income taxes divided by Total revenue. |
(2) | Represents period-end spot balances. |
(3) | Represents client-facing advisors across all our wealth management businesses. |
Q4 2020 vs. Q4 2019
Net income decreased
Total revenue decreased
PCL increased
Non-interest expense increased
Q4 2020 vs. Q3 2020
Net income decreased
Insurance | ||||||||
As at or for the three months ended | ||||||||
October 31 | July 31 | October 31 | ||||||
(Millions of Canadian dollars, except percentage amounts) | 2020 | 2020 | 2019 | |||||
Non-interest income | ||||||||
Net earned premiums | $ | 986 | $ | 974 | $ | 944 | ||
Investment income, gains/(losses) on assets supporting insurance policyholder liabilities (1) | (71) | 1,196 | 168 | |||||
Fee income | 43 | 42 | 41 | |||||
Total revenue | 958 | 2,212 | 1,153 | |||||
PCL | (1) | - | - | |||||
Insurance policyholder benefits and claims (1) | 391 | 1,715 | 572 | |||||
Insurance policyholder acquisition expense | 70 | 70 | 82 | |||||
Non-interest expense | 151 | 140 | 153 | |||||
Income before income taxes | 347 | 287 | 346 | |||||
Net income | $ | 254 | $ | 216 | $ | 282 | ||
Revenue by business | ||||||||
$ | 299 | $ | 1,636 | $ | 609 | |||
659 | 576 | 544 | ||||||
Selected balances and other information | ||||||||
ROE | 42.5% | 35.9% | 50.3% | |||||
Premiums and deposits (2) | $ | 1,129 | $ | 1,131 | $ | 1,105 | ||
Fair value changes on investments backing policyholder liabilities (1) | (235) | 997 | (28) |
(1) | Includes unrealized gains and losses on investments backing policyholder liabilities attributable to fluctuation of assets designated as fair value through profit or loss (FVTPL). The investments which support actuarial liabilities are predominantly fixed income assets designated as FVTPL. Consequently, changes in the fair values of these assets are recorded in Insurance premiums, investment and fee income in the Consolidated Statements of Income and are largely offset by changes in the fair value of the actuarial liabilities, the impact of which is reflected in Insurance policyholder benefits, claims and acquisition expense. |
(2) | Premiums and deposits include premiums on risk-based insurance and annuity products, and individual and group segregated fund deposits, consistent with insurance industry practices. |
Q4 2020 vs. Q4 2019
Net income decreased
Total revenue decreased
PBCAE decreased
Non-interest expense decreased
Q4 2020 vs. Q3 2020
Net income increased
Investor & Treasury Services | ||||||||
As at or for the three months ended | ||||||||
October 31 | July 31 | October 31 | ||||||
(Millions of Canadian dollars, except percentage amounts) | 2020 | 2020 | 2019 | |||||
Net interest income | $ | 108 | $ | 89 | $ | 37 | ||
Non-interest income | 413 | 395 | 529 | |||||
Total revenue | 521 | 484 | 566 | |||||
PCL on performing assets | (4) | (4) | (1) | |||||
PCL on impaired assets | - | - | - | |||||
PCL | (4) | (4) | (1) | |||||
Non-interest expense | 407 | 388 | 508 | |||||
Income before income taxes | 118 | 100 | 59 | |||||
Net income | $ | 91 | $ | 76 | $ | 45 | ||
Selected balances and other information | ||||||||
ROE | 10.1% | 8.4% | 4.8% | |||||
Average deposits | $ | 187,000 | $ | 195,700 | $ | 175,200 | ||
Average client deposits | 63,300 | 65,800 | 57,600 | |||||
Average wholesale funding deposits | 123,700 | 129,900 | 117,600 | |||||
AUA (1) | 4,483,500 | 4,468,100 | 4,318,100 | |||||
Average AUA | 4,588,400 | 4,375,800 | 4,296,300 | |||||
For the three months ended | ||||||||
Estimated impact of | Q4 2020 vs | Q4 2020 vs | ||||||
(Millions of Canadian dollars, except percentage amounts) | Q4 2019 | Q3 2020 | ||||||
Increase (decrease): | ||||||||
Total revenue | $ | 13 | $ | 2 | ||||
Non-interest expense | 15 | 2 | ||||||
Net income | (1) | - | ||||||
Percentage change in average US$ equivalent of | 0% | 3% | ||||||
Percentage change in average British pound equivalent of | (4)% | (1)% | ||||||
Percentage change in average Euro equivalent of | (6)% | (1)% |
(1) Represents period-end spot balances. |
Q4 2020 vs. Q4 2019
Net income increased $46 million from a year ago, as the prior year included severance and related costs associated with the repositioning of the business. These factors were partially offset by lower revenue from funding and liquidity, client deposits and our asset services business.
Total revenue decreased
Non-interest expense decreased
Q4 2020 vs. Q3 2020
Net income increased
Capital Markets | |||||||
As at or for the three months ended | |||||||
October 31 | July 31 | October 31 | |||||
(Millions of Canadian dollars, except percentage amounts) | 2020 | 2020 | 2019 | ||||
Net interest income (1) | $ | 1,183 | $ | 1,335 | $ | 1,063 | |
Non-interest income (1) | 1,092 | 1,413 | 924 | ||||
Total revenue (1) | 2,275 | 2,748 | 1,987 | ||||
PCL on performing assets | (3) | 12 | 18 | ||||
PCL on impaired assets | 68 | 66 | 60 | ||||
PCL | 65 | 78 | 78 | ||||
Non-interest expense | 1,165 | 1,471 | 1,308 | ||||
Income before income taxes | 1,045 | 1,199 | 601 | ||||
Net income | $ | 840 | $ | 949 | $ | 584 | |
Revenue by business | |||||||
Corporate and Investment Banking | $ | 1,088 | $ | 1,080 | $ | 934 | |
Global Markets | 1,333 | 1,774 | 1,095 | ||||
Other | (146) | (106) | (42) | ||||
Selected balances and other information | |||||||
ROE | 14.4% | 15.7% | 10.0% | ||||
Average total assets | $ | 709,000 | $ | 777,400 | $ | 696,100 | |
Average trading securities | 106,700 | 102,700 | 103,800 | ||||
Average loans and acceptances, net | 101,500 | 116,400 | 98,100 | ||||
Average deposits | 74,400 | 77,200 | 76,800 | ||||
PCL on impaired loans as a % of average net loans and acceptances | 0.27% | 0.25% | 0.24% |
(1) | The taxable equivalent basis (teb) adjustment for the three months ended |
Q4 2020 vs. Q4 2019
Net income increased
Total revenue increased
PCL decreased
Non-interest expense decreased
Q4 2020 vs. Q3 2020
Net income decreased
Corporate Support | |||||||
As at or for the three months ended | |||||||
October 31 | July 31 | October 31 | |||||
(Millions of Canadian dollars) | 2020 | 2020 | 2019 | ||||
Net interest income (loss) (1) | $ | (81) | $ | (63) | $ | 28 | |
Non-interest income (loss) (1) | (22) | 27 | (119) | ||||
Total revenue (1) | (103) | (36) | (91) | ||||
PCL | - | - | 1 | ||||
Non-interest expense | (7) | 35 | 81 | ||||
Income (loss) before income taxes (1) | (96) | (71) | (173) | ||||
Income taxes (recoveries) (1) | (109) | (102) | (121) | ||||
Net income (loss) | $ | 13 | $ | 31 | $ | (52) |
(1) Teb adjusted. |
Due to the nature of activities and consolidation adjustments reported in this segment, we believe that a comparative period analysis is not relevant. The following identifies material items affecting the reported results in each period.
Total revenue and income taxes (recoveries) in each period in Corporate Support include the deduction of the teb adjustments related to the gross-up of income from Canadian taxable corporate dividends and the
The teb amount for the three months ended
The following identifies the material items, other than the teb impacts noted previously, affecting the reported results in each period.
Q4 2020
Net income was
Q3 2020
Net income was
Q4 2019
Net loss was
Key performance and non-GAAP measures
We measure and evaluate the performance of our consolidated operations and each business segment using a number of financial metrics, such as net income and ROE. ROE does not have a standardized meaning under GAAP. We use ROE, at both the consolidated and business segment levels, as a measure of return on total capital invested in our business.
Calculation of ROE | ||||||||||||||||
For the three months ended | For the year ended | |||||||||||||||
(Millions of Canadian dollars, except percentage amounts) | Personal & Commercial Banking | Wealth Management | Insurance | Investor & Treasury Services | Capital Markets | Corporate Support | ||||||||||
Total | Total | |||||||||||||||
Net income available to common | ||||||||||||||||
shareholders | $ | 1,482 | $ | 531 | $ | 252 | $ | 89 | $ | 819 | $ | - | $ | 3,173 | $ | 11,164 |
Total average common equity (1), (2) | $ | 22,700 | $ | 16,200 | $ | 2,350 | $ | 3,450 | $ | 22,700 | $ | 11,400 | $ | 78,800 | $ | 78,800 |
ROE (3) | 26.0% | 13.0% | 42.5% | 10.1% | 14.4% | n.m. | 16.0% | 14.2% |
(1) | Total average common equity represents rounded figures. |
(2) | The amounts for the segments are referred to as attributed capital. |
(3) | ROE is based on actual balances of average common equity before rounding. |
n.m. | not meaningful |
Additional information about these and other key performance and non-GAAP measures can be found under the Key performance and non-GAAP measures section of our 2020 Annual Report.
Consolidated Balance Sheets | |||||||
As at | |||||||
October 31 | July 31 | October 31 | |||||
(Millions of Canadian dollars) | 2020 (1) | 2020 (2) | 2019 (1) | ||||
Assets | |||||||
Cash and due from banks | $ | 118,888 | $ | 119,181 | $ | 26,310 | |
Interest-bearing deposits with banks | 39,013 | 40,640 | 38,345 | ||||
Securities | |||||||
Trading | 136,071 | 145,533 | 146,534 | ||||
Investment, net of applicable allowance | 139,743 | 144,980 | 102,470 | ||||
275,814 | 290,513 | 249,004 | |||||
Assets purchased under reverse repurchase agreements and securities borrowed | 313,015 | 308,215 | 306,961 | ||||
Loans | |||||||
Retail | 457,976 | 443,845 | 426,086 | ||||
Wholesale | 208,655 | 217,605 | 195,870 | ||||
666,631 | 661,450 | 621,956 | |||||
Allowance for loan losses | (5,639) | (5,509) | (3,100) | ||||
660,992 | 655,941 | 618,856 | |||||
Segregated fund net assets | 1,922 | 1,908 | 1,663 | ||||
Other | |||||||
Customers' liability under acceptances | 18,507 | 18,239 | 18,062 | ||||
Derivatives | 113,488 | 157,378 | 101,560 | ||||
Premises and equipment | 7,934 | 8,175 | 3,191 | ||||
Goodwill | 11,302 | 11,356 | 11,236 | ||||
Other intangibles | 4,752 | 4,640 | 4,674 | ||||
Other assets | 58,921 | 66,948 | 49,073 | ||||
214,904 | 266,736 | 187,796 | |||||
Total assets | $ | 1,624,548 | $ | 1,683,134 | $ | 1,428,935 | |
Liabilities and equity | |||||||
Deposits | |||||||
Personal | $ | 343,052 | $ | 337,196 | $ | 294,732 | |
Business and government | 624,311 | 640,284 | 565,482 | ||||
Bank | 44,522 | 39,678 | 25,791 | ||||
1,011,885 | 1,017,158 | 886,005 | |||||
Segregated fund net liabilities | 1,922 | 1,908 | 1,663 | ||||
Other | |||||||
Acceptances | 18,618 | 18,348 | 18,091 | ||||
Obligations related to securities sold short | 29,285 | 36,841 | 35,069 | ||||
Obligations related to assets sold under repurchase agreements and securities loaned | 274,231 | 273,768 | 226,586 | ||||
Derivatives | 109,927 | 155,479 | 98,543 | ||||
Insurance claims and policy benefit liabilities | 12,215 | 12,421 | 11,401 | ||||
Other liabilities | 69,831 | 70,938 | 58,137 | ||||
514,107 | 567,795 | 447,827 | |||||
Subordinated debentures | 9,867 | 9,899 | 9,815 | ||||
Total liabilities | 1,537,781 | 1,596,760 | 1,345,310 | ||||
Equity attributable to shareholders | |||||||
Preferred shares and other equity instruments | 5,945 | 7,447 | 5,707 | ||||
Common shares | 17,499 | 17,481 | 17,587 | ||||
Retained earnings | 59,806 | 57,805 | 55,981 | ||||
Other components of equity | 3,414 | 3,535 | 4,248 | ||||
86,664 | 86,268 | 83,523 | |||||
Non-controlling interests | 103 | 106 | 102 | ||||
Total equity | 86,767 | 86,374 | 83,625 | ||||
Total liabilities and equity | $ | 1,624,548 | $ | 1,683,134 | $ | 1,428,935 |
(1) | Derived from audited financial statements. |
(2) | Derived from unaudited financial statements. |
Consolidated Statements of Income | |||||||||||||
For the three months ended | For the year ended | ||||||||||||
October 31 | July 31 | October 31 | October 31 | October 31 | |||||||||
(Millions of Canadian dollars, except per share amounts) | 2020 (1) | 2020 (1) | 2019 (1) | 2020 (2) | 2019 (2) | ||||||||
Interest and dividend income | |||||||||||||
Loans | $ | 5,522 | $ | 5,603 | $ | 6,186 | $ | 23,420 | $ | 24,863 | |||
Securities | 1,335 | 1,681 | 1,659 | 6,488 | 6,827 | ||||||||
Assets purchased under reverse repurchase agreements and securities borrowed | 550 | 617 | 2,268 | 4,668 | 8,960 | ||||||||
Deposits and other | 56 | 55 | 329 | 307 | 683 | ||||||||
7,463 | 7,956 | 10,442 | 34,883 | 41,333 | |||||||||
Interest expense | |||||||||||||
Deposits and other | 1,588 | 1,838 | 3,175 | 8,783 | 12,988 | ||||||||
Other liabilities | 811 | 917 | 2,066 | 4,985 | 8,231 | ||||||||
Subordinated debentures | 54 | 62 | 90 | 280 | 365 | ||||||||
2,453 | 2,817 | 5,331 | 14,048 | 21,584 | |||||||||
Net interest income | 5,010 | 5,139 | 5,111 | 20,835 | 19,749 | ||||||||
Non-interest income | |||||||||||||
Insurance premiums, investment and fee income | 958 | 2,212 | 1,153 | 5,361 | 5,710 | ||||||||
Trading revenue | 224 | 623 | 116 | 1,239 | 995 | ||||||||
Investment management and custodial fees | 1,577 | 1,489 | 1,477 | 6,101 | 5,748 | ||||||||
Mutual fund revenue | 961 | 915 | 932 | 3,712 | 3,628 | ||||||||
Securities brokerage commissions | 320 | 341 | 323 | 1,439 | 1,305 | ||||||||
Service charges | 456 | 430 | 493 | 1,842 | 1,907 | ||||||||
Underwriting and other advisory fees | 578 | 570 | 428 | 2,319 | 1,815 | ||||||||
Foreign exchange revenue, other than trading | 233 | 246 | 242 | 1,012 | 986 | ||||||||
Card service revenue | 211 | 259 | 252 | 969 | 1,072 | ||||||||
Credit fees | 361 | 296 | 344 | 1,321 | 1,269 | ||||||||
Net gains on investment securities | 23 | 11 | 16 | 90 | 125 | ||||||||
Share of profit in joint ventures and associates | 20 | 20 | 26 | 77 | 76 | ||||||||
Other | 160 | 369 | 457 | 864 | 1,617 | ||||||||
6,082 | 7,781 | 6,259 | 26,346 | 26,253 | |||||||||
Total revenue | 11,092 | 12,920 | 11,370 | 47,181 | 46,002 | ||||||||
Provision for credit losses | 427 | 675 | 499 | 4,351 | 1,864 | ||||||||
Insurance policyholder benefits, claims and acquisition expense | 461 | 1,785 | 654 | 3,683 | 4,085 | ||||||||
Non-interest expense | |||||||||||||
Human resources | 3,587 | 4,032 | 3,720 | 15,252 | 14,600 | ||||||||
Equipment | 508 | 469 | 452 | 1,907 | 1,777 | ||||||||
Occupancy | 431 | 415 | 424 | 1,660 | 1,635 | ||||||||
Communications | 254 | 233 | 296 | 989 | 1,090 | ||||||||
Professional fees | 385 | 337 | 382 | 1,330 | 1,305 | ||||||||
Amortization of other intangibles | 330 | 325 | 309 | 1,273 | 1,197 | ||||||||
Other | 563 | 569 | 736 | 2,347 | 2,535 | ||||||||
6,058 | 6,380 | 6,319 | 24,758 | 24,139 | |||||||||
Income before income taxes | 4,146 | 4,080 | 3,898 | 14,389 | 15,914 | ||||||||
Income taxes | 900 | 879 | 692 | 2,952 | 3,043 | ||||||||
Net income | $ | 3,246 | $ | 3,201 | $ | 3,206 | $ | 11,437 | $ | 12,871 | |||
Net income attributable to: | |||||||||||||
Shareholders | $ | 3,247 | $ | 3,197 | $ | 3,201 | $ | 11,432 | $ | 12,860 | |||
Non-controlling interests | (1) | 4 | 5 | 5 | 11 | ||||||||
$ | 3,246 | $ | 3,201 | $ | 3,206 | $ | 11,437 | $ | 12,871 | ||||
Basic earnings per share (in dollars) | $ | 2.23 | $ | 2.20 | $ | 2.19 | $ | 7.84 | $ | 8.78 | |||
Diluted earnings per share (in dollars) | 2.23 | 2.20 | 2.18 | 7.82 | 8.75 | ||||||||
Dividends per common share (in dollars) | 1.08 | 1.08 | 1.05 | 4.29 | 4.07 |
(1) | Derived from unaudited financial statements. |
(2) | Derived from audited financial statements. |
Consolidated Statements of Comprehensive Income | ||||||||||||||
For the three months ended | For the year ended | |||||||||||||
October 31 | July 31 | October 31 | October 31 | October 31 | ||||||||||
(Millions of Canadian dollars) | 2020 (1) | 2020 (1) | 2019 (1) | 2020 (2) | 2019 (2) | |||||||||
Net income | $ | 3,246 | $ | 3,201 | $ | 3,206 | $ | 11,437 | $ | 12,871 | ||||
Other comprehensive income (loss), net of taxes | ||||||||||||||
Items that will be reclassified subsequently to income: | ||||||||||||||
Net change in unrealized gains (losses) on debt securities and loans at fair value | ||||||||||||||
through other comprehensive income | ||||||||||||||
Net unrealized gains (losses) on debt securities and loans at fair value through other | ||||||||||||||
comprehensive income | 33 | 749 | (26) | (24) | 192 | |||||||||
Provision for credit losses recognized in income | (9) | (1) | (2) | 13 | (14) | |||||||||
Reclassification of net losses (gains) on debt securities and loans at fair value through other | ||||||||||||||
comprehensive income to income | (40) | (48) | (58) | (161) | (133) | |||||||||
(16) | 700 | (86) | (172) | 45 | ||||||||||
Foreign currency translation adjustments | ||||||||||||||
Unrealized foreign currency translation gains (losses) | (426) | (2,112) | 180 | 810 | 65 | |||||||||
Net foreign currency translation gains (losses) from hedging activities | 191 | 716 | (121) | (397) | 5 | |||||||||
Reclassification of losses (gains) on foreign currency translation to income | - | (21) | - | (21) | 2 | |||||||||
Reclassification of losses (gains) on net investment hedging activities to income | - | 21 | (1) | 21 | 1 | |||||||||
(235) | (1,396) | 58 | 413 | 73 | ||||||||||
Net change in cash flow hedges | ||||||||||||||
Net gains (losses) on derivatives designated as cash flow hedges | 44 | 88 | 57 | (1,145) | (559) | |||||||||
Reclassification of losses (gains) on derivatives designated as cash flow hedges to income | 85 | (113) | (47) | 72 | (135) | |||||||||
129 | (25) | 10 | (1,073) | (694) | ||||||||||
Items that will not be reclassified subsequently to income: | ||||||||||||||
Remeasurements of employee benefit plans | 498 | (554) | 125 | (68) | (942) | |||||||||
Net fair value change due to credit risk on financial liabilities designated as at fair value | ||||||||||||||
through profit or loss | (152) | (664) | (41) | (263) | 51 | |||||||||
Net gains (losses) on equity securities designated at fair value through other comprehensive | ||||||||||||||
income | 4 | 3 | (2) | 28 | 25 | |||||||||
350 | (1,215) | 82 | (303) | (866) | ||||||||||
Total other comprehensive income (loss), net of taxes | 228 | (1,936) | 64 | (1,135) | (1,442) | |||||||||
Total comprehensive income (loss) | $ | 3,474 | $ | 1,265 | $ | 3,270 | $ | 10,302 | $ | 11,429 | ||||
Total comprehensive income attributable to: | ||||||||||||||
Shareholders | $ | 3,476 | $ | 1,264 | $ | 3,266 | $ | 10,295 | $ | 11,419 | ||||
Non-controlling interests | (2) | 1 | 4 | 7 | 10 | |||||||||
$ | 3,474 | $ | 1,265 | $ | 3,270 | $ | 10,302 | $ | 11,429 |
(1) | Derived from unaudited financial statements. |
(2) | Derived from audited financial statements. |
Consolidated Statements of Changes in Equity | |||||||||||||||||||||||||||
For the three months ended | |||||||||||||||||||||||||||
| Other components of equity | ||||||||||||||||||||||||||
Preferred |
| FVOCI securities and loans | Foreign | Cash flow | Total other | Equity | Non- | ||||||||||||||||||||
Common | Retained | Total equity | |||||||||||||||||||||||||
(Millions of Canadian dollars) | |||||||||||||||||||||||||||
Balance at beginning of period | $ | 7,448 | $ | 17,610 | $ | (1) | $ | (129) | $ | 57,805 | $ | (123) | $ | 4,866 | $ | (1,208) | $ | 3,535 | $ | 86,268 | $ | 106 | $ | 86,374 | |||
Changes in equity | |||||||||||||||||||||||||||
Issues of share capital and other equity instruments | - | 18 | - | - | (1) | - | - | - | - | 17 | - | 17 | |||||||||||||||
Common shares purchased for cancellation | - | - | - | - | - | - | - | - | - | - | - | - | |||||||||||||||
Redemption of preferred shares and other equity | |||||||||||||||||||||||||||
instruments | (1,500) | - | - | - | - | - | - | - | - | (1,500) | - | (1,500) | |||||||||||||||
Sales of treasury shares and other equity instruments | - | - | 22 | 658 | - | - | - | - | - | 680 | - | 680 | |||||||||||||||
Purchases of treasury shares and other equity | |||||||||||||||||||||||||||
instruments | - | - | (24) | (658) | - | - | - | - | - | (682) | - | (682) | |||||||||||||||
Share-based compensation awards | - | - | - | - | (2) | - | - | - | - | (2) | - | (2) | |||||||||||||||
Dividends on common shares | - | - | - | - | (1,539) | - | - | - | - | (1,539) | - | (1,539) | |||||||||||||||
Dividends on preferred shares and distributions on | |||||||||||||||||||||||||||
other equity instruments | - | - | - | - | (74) | - | - | - | - | (74) | (2) | (76) | |||||||||||||||
Other | - | - | - | - | 20 | - | - | - | - | 20 | 1 | 21 | |||||||||||||||
Net income | - | - | - | - | 3,247 | - | - | - | - | 3,247 | (1) | 3,246 | |||||||||||||||
Total other comprehensive income (loss), net of taxes | - | - | - | - | 350 | (16) | (234) | 129 | (121) | 229 | (1) | 228 | |||||||||||||||
Balance at end of period | $ | 5,948 | $ | 17,628 | $ | (3) | $ | (129) | $ | 59,806 | $ | (139) | $ | 4,632 | $ | (1,079) | $ | 3,414 | $ | 86,664 | $ | 103 | $ | 86,767 | |||
For the three months ended | |||||||||||||||||||||||||||
| Other components of equity | ||||||||||||||||||||||||||
Preferred |
| FVOCI securities and loans | Foreign | Cash flow | Total other | Equity | Non- | ||||||||||||||||||||
Common | Retained | Total equity | |||||||||||||||||||||||||
(Millions of Canadian dollars) | |||||||||||||||||||||||||||
Balance at beginning of period | $ | 5,706 | $ | 17,652 | $ | (1) | $ | (59) | $ | 54,692 | $ | 119 | $ | 4,162 | $ | (16) | $ | 4,265 | $ | 82,255 | $ | 99 | $ | 82,354 | |||
Changes in equity | |||||||||||||||||||||||||||
Issues of share capital and other equity instruments | - | 49 | - | - | - | - | - | - | - | 49 | - | 49 | |||||||||||||||
Common shares purchased for cancellation | - | (56) | - | - | (418) | - | - | - | - | (474) | - | (474) | |||||||||||||||
Redemption of preferred shares and other equity | |||||||||||||||||||||||||||
instruments | - | - | - | - | - | - | - | - | - | - | - | - | |||||||||||||||
Sales of treasury shares and other equity instruments | - | - | 37 | 1,500 | - | - | - | - | - | 1,537 | - | 1,537 | |||||||||||||||
Purchases of treasury shares and other equity | |||||||||||||||||||||||||||
instruments | - | - | (35) | (1,499) | - | - | - | - | - | (1,534) | - | (1,534) | |||||||||||||||
Share-based compensation awards | - | - | - | - | (8) | - | - | - | - | (8) | - | (8) | |||||||||||||||
Dividends on common shares | - | - | - | - | (1,503) | - | - | - | - | (1,503) | - | (1,503) | |||||||||||||||
Dividends on preferred shares and distributions on | |||||||||||||||||||||||||||
other equity instruments | - | - | - | - | (64) | - | - | - | - | (64) | (1) | (65) | |||||||||||||||
Other | - | - | - | - | (1) | - | - | - | - | (1) | - | (1) | |||||||||||||||
Net income | - | - | - | - | 3,201 | - | - | - | - | 3,201 | 5 | 3,206 | |||||||||||||||
Total other comprehensive income (loss), net of taxes | - | - | - | - | 82 | (86) | 59 | 10 | (17) | 65 | (1) | 64 | |||||||||||||||
Balance at end of period | $ | 5,706 | $ | 17,645 | $ | 1 | $ | (58) | $ | 55,981 | $ | 33 | $ | 4,221 | $ | (6) | $ | 4,248 | $ | 83,523 | $ | 102 | $ | 83,625 |
(1) Derived from unaudited financial statements. |
For the year ended | |||||||||||||||||||||||||||
| Other components of equity | ||||||||||||||||||||||||||
Preferred |
| FVOCI securities and loans | Foreign | Cash flow | Total other | Equity | Non- | ||||||||||||||||||||
Common | Retained | Total equity | |||||||||||||||||||||||||
(Millions of Canadian dollars) | |||||||||||||||||||||||||||
Balance at beginning of period | $ | 5,706 | $ | 17,645 | $ | 1 | $ | (58) | $ | 55,981 | $ | 33 | $ | 4,221 | $ | (6) | $ | 4,248 | $ | 83,523 | $ | 102 | $ | 83,625 | |||
Transition adjustment | - | - | - | - | (107) | - | - | - | - | (107) | - | (107) | |||||||||||||||
Adjusted balance at beginning of period | $ | 5,706 | $ | 17,645 | $ | 1 | $ | (58) | $ | 55,874 | $ | 33 | $ | 4,221 | $ | (6) | $ | 4,248 | $ | 83,416 | $ | 102 | $ | 83,518 | |||
Changes in equity | |||||||||||||||||||||||||||
Issues of share capital and other equity instruments | 1,750 | 80 | - | - | (5) | - | - | - | - | 1,825 | - | 1,825 | |||||||||||||||
Common shares purchased for cancellation | - | (97) | - | - | (717) | - | - | - | - | (814) | - | (814) | |||||||||||||||
Redemption of preferred shares and other equity | |||||||||||||||||||||||||||
instruments | (1,508) | - | - | - | - | - | - | - | - | (1,508) | - | (1,508) | |||||||||||||||
Sales of treasury shares and other equity instruments | - | - | 110 | 4,668 | - | - | - | - | - | 4,778 | - | 4,778 | |||||||||||||||
Purchases of treasury shares and other equity | |||||||||||||||||||||||||||
instruments | - | - | (114) | (4,739) | - | - | - | - | - | (4,853) | - | (4,853) | |||||||||||||||
Share-based compensation awards | - | - | - | - | (3) | - | - | - | - | (3) | - | (3) | |||||||||||||||
Dividends on common shares | - | - | - | - | (6,111) | - | - | - | - | (6,111) | - | (6,111) | |||||||||||||||
Dividends on preferred shares and distributions on | |||||||||||||||||||||||||||
other equity instruments | - | - | - | - | (268) | - | - | - | - | (268) | (6) | (274) | |||||||||||||||
Other | - | - | - | - | (93) | - | - | - | - | (93) | - | (93) | |||||||||||||||
Net income | - | - | - | - | 11,432 | - | - | - | - | 11,432 | 5 | 11,437 | |||||||||||||||
Total other comprehensive income (loss), net of taxes | - | - | - | - | (303) | (172) | 411 | (1,073) | (834) | (1,137) | 2 | (1,135) | |||||||||||||||
Balance at end of period | $ | 5,948 | $ | 17,628 | $ | (3) | $ | (129) | $ | 59,806 | $ | (139) | $ | 4,632 | $ | (1,079) | $ | 3,414 | $ | 86,664 | $ | 103 | $ | 86,767 | |||
For the year ended | |||||||||||||||||||||||||||
| Other components of equity | ||||||||||||||||||||||||||
Preferred |
| FVOCI securities and loans | Foreign | Cash flow | Total other | Equity | Non- | ||||||||||||||||||||
Common | Retained | Total equity | |||||||||||||||||||||||||
(Millions of Canadian dollars) | |||||||||||||||||||||||||||
Balance at beginning of period | $ | 6,306 | $ | 17,635 | $ | 3 | $ | (18) | $ | 51,018 | $ | (12) | $ | 4,147 | $ | 688 | $ | 4,823 | $ | 79,767 | $ | 94 | $ | 79,861 | |||
Changes in equity | |||||||||||||||||||||||||||
Issues of share capital and other equity instruments | 350 | 136 | - | - | - | - | - | - | - | 486 | - | 486 | |||||||||||||||
Common shares purchased for cancellation | - | (126) | - | - | (904) | - | - | - | - | (1,030) | - | (1,030) | |||||||||||||||
Redemption of preferred shares and other equity | |||||||||||||||||||||||||||
instruments | (950) | - | - | - | - | - | - | - | - | (950) | - | (950) | |||||||||||||||
Sales of treasury shares and other equity instruments | - | - | 182 | 5,340 | - | - | - | - | - | 5,522 | - | 5,522 | |||||||||||||||
Purchases of treasury shares and other equity | |||||||||||||||||||||||||||
instruments | - | - | (184) | (5,380) | - | - | - | - | - | (5,564) | - | (5,564) | |||||||||||||||
Share-based compensation awards | - | - | - | - | (23) | - | - | - | - | (23) | - | (23) | |||||||||||||||
Dividends on common shares | - | - | - | - | (5,840) | - | - | - | - | (5,840) | - | (5,840) | |||||||||||||||
Dividends on preferred shares and distributions on | |||||||||||||||||||||||||||
other equity instruments | - | - | - | - | (269) | - | - | - | - | (269) | (2) | (271) | |||||||||||||||
Other | - | - | - | - | 5 | - | - | - | - | 5 | - | 5 | |||||||||||||||
Net income | - | - | - | - | 12,860 | - | - | - | - | 12,860 | 11 | 12,871 | |||||||||||||||
Total other comprehensive income (loss), net of taxes | - | - | - | - | (866) | 45 | 74 | (694) | (575) | (1,441) | (1) | (1,442) | |||||||||||||||
Balance at end of period | $ | 5,706 | $ | 17,645 | $ | 1 | $ | (58) | $ | 55,981 | $ | 33 | $ | 4,221 | $ | (6) | $ | 4,248 | $ | 83,523 | $ | 102 | $ | 83,625 |
(1) Derived from audited financial statements. |
CAUTION REGARDING FORWARD-LOOKING STATEMENTS
From time to time, we make written or oral forward-looking statements within the meaning of certain securities laws, including the "safe harbour" provisions of the United States Private Securities Litigation Reform Act of 1995 and any applicable Canadian securities legislation. We may make forward-looking statements in this Earnings Release, in other filings with Canadian regulators or the
By their very nature, forward-looking statements require us to make assumptions and are subject to inherent risks and uncertainties, which give rise to the possibility that our predictions, forecasts, projections, expectations or conclusions will not prove to be accurate, that our assumptions may not be correct and that our financial performance objectives, vision and strategic goals will not be achieved. We caution readers not to place undue reliance on these statements as a number of risk factors could cause our actual results to differ materially from the expectations expressed in such forward-looking statements. These factors – many of which are beyond our control and the effects of which can be difficult to predict – include: credit, market, liquidity and funding, insurance, operational, regulatory compliance (which could lead to us being subject to various legal and regulatory proceedings, the potential outcome of which could include regulatory restrictions, penalties and fines), strategic, reputation, legal and regulatory environment, competitive and systemic risks and other risks discussed in the risk sections and Significant developments: COVID-19 section of our annual report for the fiscal year ended
We caution that the foregoing list of risk factors is not exhaustive and other factors could also adversely affect our results. When relying on our forward-looking statements to make decisions with respect to us, investors and others should carefully consider the foregoing factors and other uncertainties and potential events. Material economic assumptions underlying the forward-looking statements contained in this Earnings Release are set out in the Economic, market and regulatory review and outlook section and for each business segment under the Strategic priorities and Outlook headings in our 2020 Annual Report. Except as required by law, we do not undertake to update any forward-looking statement, whether written or oral, that may be made from time to time by us or on our behalf.
Additional information about these and other factors can be found in the risk sections and Significant developments: COVID-19 section of our 2020 Annual Report.
Information contained in or otherwise accessible through the websites mentioned does not form part of this Earnings Release. All references in this Earnings Release to websites are inactive textual references and are for your information only.
ACCESS TO QUARTERLY RESULTS MATERIALS
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