TORONTO — TD Bank Group reported its third-quarter profit fell 30 per cent compared with a year ago, but it still topped analysts’ expectations.
The bank said Thursday it earned $2.25 billion or $1.21 per diluted share for the quarter ended July 31, down from a profit of $3.25 billion or $1.74 per diluted share a year ago.
Revenue totalled $10.67 billion, up from $10.5 billion.
Provisions for credit losses were $2.19 billion, up from $655 million a year ago, but down from $3.22 billion in the second quarter.
On an adjusted basis, TD says it earned $1.25 per diluted share for the quarter, down from $1.79 per diluted share a year ago.
Analysts on average had expected an adjusted profit of $1.18 per share, according to financial markets data firm Refinitiv.
TD chief executive Bharat Masrani said earnings improved from the second quarter when the bank reported a profit of $1.5 billion helped by volume growth, moderating credit provisions and strong wealth and wholesale revenues.
“The improved performance in our Canadian and U.S. retail segments, and the record contribution from our wholesale banking segment, demonstrate the resilience of our diversified business model and the power of our customer-centric strategy,” Masrani said in a statement.
TD’s Canadian retail business earned $1.26 billion for the quarter, down from $1.89 billion in the same quarter last year, due to higher provisions for credit losses, lower revenue and higher insurance claims.
In the U.S., TD’s retail business earned $673 million, down from nearly $1.29 billion a year ago.
TD’s wholesale banking division, which includes its capital markets and corporate and investment banking business, earned $442 million, up from $244 million in the same quarter last year.
This report by The Canadian Press was first published Aug. 27, 2020.
Companies in this story: (TSX:TD)
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