$BNS Stock Up 1.72% in Pre-Market Trading on Q2 Estimates Beats The Bank of Nova Scotia ( TSX:BNS ) reported second-quarter earnings that narrowly beat analyst estimates, but profits fell year-over-year due to uncertainty around interest rate cuts and inflation in the U.S. and abroad. Total revenue increased year-over-year to 8.35 billion Canadian dollars ($6.13 billion), up from last year's mark of C$7.91 billion and narrowly above analysts' expectations. However, profit fell to C$2.09 billion, or C$1.57 per share, from the C$2.15 billion and C$1.68 per share Scotiabank reported last year. Analysts expected net income of C$2.05 billion, or C$1.55 per share.
Scotiabank saw net income increase in its wealth management division and international operations, while profit dropped about 4% year-over-year in the bank's Canadian operations due to higher provision for credit losses (PCL) and expenses. The bank also declared a quarterly dividend of C$1.06 per share, set to be paid out July 29 to shareholders of record on July 3. This will be the fourth consecutive quarter in which Scotiabank pays out a C$1.06-per-share dividend.
Scotiabank and other Canadian banks report earnings to close out the month, with Toronto-Dominion Bank reporting earnings that also beat estimates last week. Scotiabank shares on the New York Stock Exchange (NYSE) were up 0.9% to $48.23 about 90 minutes before the opening bell but are down slightly since the start of 2024.
Technical Outlook
TSX:BNS stock is up 1.72% in Tuesday's Pre-market trading. Despite profit drop of 4% YOY, the stock managed to capitalized its profit as the ticker is performing well today.
