TORONTO \u2014 Scotiabank kicked off fourth-quarter bank earnings by reporting a rise in profits that beat analyst expectations, despite a restructuring charge related to layoffs.<\/p>\n
The bank said it earned $2.21 billion in the quarter ending Oct. 31, up from $1.69 billion the same quarter, helped by strength in its wealth management and capital markets businesses.<\/p>\n
\u201c2025 was a year of execution,\u201d chief executive Scott Thomson told a conference call to discuss the bank\u2019s latest results with financial analysts Tuesday.<\/p>\n
\u201cWe did what we said we were going to do despite the emergence of unexpected trade-related economic challenges. We accomplish this by focusing on what we can control.\u201d<\/p>\n
Among the bank\u2019s actions to adapt to uncertainty was to carry out job cuts that resulted in a $373-million restructuring charge in the quarter.<\/p>\n
The bank wouldn\u2019t say how many jobs were involved when news of the cuts first broke, but filings show Scotiabank has 2,291 fewer employees at the end of the fourth quarter than it did at the end of the first. <\/p>\n
\u201cThe actions simplify and streamline our organizational setup, which will free up capacity to further invest in technology and revenue generating sales staff,\u201d Thomson said. <\/p>\n
Looking ahead, he said the bank is well-positioned to benefit from Canada\u2019s renewed focus on energy and mining development.<\/p>\n
\u201cThe recent memorandum of understanding on energy between the Canadian federal government and the province of Alberta is a very significant development in our view and proof that Canada truly is on a new economic trajectory,\u201d Thomson said.<\/p>\n
The potential growth in major projects come as tariffs and economic uncertainty weigh on some clients.<\/p>\n
Scotiabank\u2019s provision for credit losses amounted to $1.11 billion for the quarter, up from $1.03 billion a year ago.<\/p>\n
\u201cWe continue to operate in what remains a highly uncertain macroeconomic environment,\u201d Phil Thomas said.<\/p>\n
Thomas, who has been chief risk officer since 2021, moves into the group head and chief strategy and operating officer role effective Tuesday as part of a wider leadership shuffle announced in November.<\/p>\n
He said that while clients are showing some signs of stress, issues remain isolated and not systemic. Mortgage delinquencies rose slightly from the previous quarter, driven mostly from weakness in the Greater Toronto Area.<\/p>\n
\u201cIn Canada, the absence of a trade deal with the U.S. and elevated unemployment continue to weigh on sentiment,\u201d Thomas said.<\/p>\n
\u201cHowever, we are cautiously optimistic that the federal budget will contribute to greater economic growth and improved consumer and business sentiment.\u201d<\/p>\n
On an adjusted basis, Scotiabank says it earned $1.93 per diluted share in its latest quarter, up from an adjusted profit of $1.57 per diluted share a year ago.<\/p>\n
Analysts on average had expected an adjusted profit of $1.84, according to estimates compiled by LSEG Data & Analytics.<\/p>\n
National Bank analyst Gabriel Dechaine said in a note that margin expansion and capital markets drove the beat, while provisions came in slightly worse than expected.<\/p>\n
The bank\u2019s global wealth management business earned $447 million in net income attributable to equity holders, up from $380 million in the same quarter last year, while its global banking and markets business earned $519 million for the quarter, up from $347 million a year ago.<\/p>\n
Scotiabank\u2019s Canadian banking operations earned $941 million in its latest quarter, up from $934 million in the same quarter last year.<\/p>\n
Meanwhile, Scotiabank\u2019s international banking arm earned $634 million in net income attributable to equity holders of the bank for the quarter, up from $600 million a year ago. <\/p>\n
Ian Bicks, The Canadian Press<\/p>\n
This report by The Canadian Press was first published Dec. 2, 2025.<\/p>\n","protected":false},"excerpt":{"rendered":"TORONTO \u2014 Scotiabank kicked off fourth-quarter bank earnings by reporting a rise in profits that beat analyst expectations,…\n","protected":false},"author":2,"featured_media":321023,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[712,45,49,48],"class_list":{"0":"post-321022","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-business","8":"tag-apple-news","9":"tag-business","10":"tag-ca","11":"tag-canada"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/321022","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/comments?post=321022"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/321022\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media\/321023"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media?parent=321022"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/categories?post=321022"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/tags?post=321022"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}