Lower profit for Trinidad’s Scotiabank

Scotiabank of Trinidad and Tobago reported profit after taxation of TT$148 million with earnings per share of 83.8 cents for the quarter to January 2018, with a fall of TT$23 million or 13 percent compared to the 2017 period.
This reduction in profitability was driven by higher levels of loan loss provisioning combined with the increased corporation tax rate of 35 percent both of which are by products of n economy in recession for some time.
The bank enjoyed return on equity of 15.05 percent and return on assets of 2.44 percent. Revenue, comprising of Net Interest and Other Income of TT$445 million for the period to January, was flat compared to the same period last year. Net Interest Income of TT$321 million, was TT$14 million or 5 percent higher than for the same period in 2017, driven mainly by growth in retail loans and investment securities portfolios the bank stated.
Other Income for the same period was TT$124 million, TT$14 million lower than the prior year mainly due to lower revenues from the insurance subsidiary.
 Non-Interest Expenses for the quarter ended January 2018 was flat at TT$174 million but loan loss provision was TT$17 million higher than in 2017 at TT$45 million.
Loans to Customers, the Bank’s largest asset category, closed the period at TT$14.2 billion, an increase of TT$248 million or 2 percent compared to 2017.
A dividend of 50 cents per ordinary share, the same level as in 2017, will be paid on 13 April 2018 to shareholders on record as at 14 March 2018. The stock traded on the Trinidad and Tobago Stock Exchange at TT$61.90.

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