Question · Q4 2025
Ebrahim Poonawalla inquired about the drivers of Scotiabank's double-digit EPS growth outlook for the Canadian banking segment, focusing on PCL normalization, pre-tax pre-provision (PTPP) growth, and the bank's ROE trajectory and capital deployment strategy, including potential M&A.
Answer
CFO Raj Viswanathan and Group Head of Canadian Banking Aris Bogdaneris detailed Canadian banking's expected mid-single-digit PTPP growth from margin expansion, disciplined expenses, and strong fee income, with PCLs normalizing to the high 30s. President and CEO Scott Thomson expressed confidence in surpassing the 14%+ ROE target ahead of schedule, prioritizing organic capital deployment, share repurchases, and selective U.S. tuck-in acquisitions.
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