Profit at Bank of Nova Scotia jumped 41 percent in the second quarter, as the bank lowered its loan loss provisions to $262 million from $338 million. Canada’s No. 3 bank brought in a record $1.54 billion in profit—marking the seventh consecutive quarter of rising profits.
Scotiabank CFO Luc Vanneste says international operations will bolster the company in the future.
“We will see the returns from international [operations] are going to be greater on a go-forward basis than they are in the more mature markets, where there is continued pressure,” he says.
Vanneste also said the lower loan loss provisions were a result of an improving economy.
“We’re seeing more growth on the commercial side, so that means that economies are getting better,” he says. “The retail customer is able to deal with their debt better than it would have in the crunch of the crisis, and so we have less provisions for credit loss as a result.”