In This Article:
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Total Revenue (2024): $1.02 billion, down 1% year-over-year.
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Net Loss (Reported): $5.5 million.
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Diluted EPS (Reported): -$0.47.
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Net Income (Adjusted): $168.7 million.
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Adjusted EPS: $3.57 per share.
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Q4 Total Revenue: $236.8 million, down 4% year-over-year and 8% sequentially.
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Q4 Diluted EPS: $0.89, down 11% year-over-year, up 1% quarter-over-quarter.
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Q4 Net Income: $40.9 million, down 8% year-over-year and 5% quarter-over-quarter.
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Efficiency Ratio: Increased by 300 basis points year-over-year and 170 basis points sequentially.
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Return on Equity (ROE) for Q4: 6.2%.
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Net Interest Income (Q4): Down $9 million or 5% year-over-year.
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Net Interest Margin: 1.77%, up 1 basis point year-over-year, down 2 basis points sequentially.
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Other Income (Q4): $62.9 million, down 3% year-over-year and 17% sequentially.
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Adjusted Net Interest Expenses (Q4): $177.7 million, stable year-over-year, down 6% sequentially.
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CET1 Ratio: 10.9%.
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Commercial Loan Portfolio: Down $1.2 billion or 7% year-over-year, up $100 million or 1% sequentially.
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Residential Mortgage Loans: Down 1% year-over-year, up 1% sequentially.
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Allowances for Credit Losses: $204 million, down $20.4 million sequentially.
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Provision for Credit Losses (PCL): $10.4 million, down $6.3 million year-over-year, down $5.8 million sequentially.
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Gross Impaired Loans: Increased by $150.8 million year-over-year, stable sequentially.
Release Date: December 06, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Laurentian Bank of Canada (LRCDF) introduced a strategic plan focusing on areas where they have scale, leading to successful divestitures in their securities retail activities.
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The bank has enhanced processes to maximize efficiency and ensure sustained value delivery to customers.
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Laurentian Bank of Canada (LRCDF) has a strong balance sheet with solid liquidity and capital levels, positioning it well for future asset growth.
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The bank's inventory financing business expanded by onboarding over 350 new dealers, a 6% increase year-over-year.
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The merger of equipment finance and inventory finance businesses under Northpoint Commercial Finance positions it as a leading specialty financing platform in North America.
Negative Points
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Total revenue for the year was down 1% compared to last year, with a reported net loss of $5.5 million.
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Loan growth has slowed due to an uncertain economic environment, particularly affecting commercial real estate projects.
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The bank's efficiency ratio increased by 300 basis points year-over-year, reflecting ongoing investments and lower loan volumes.
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Net interest income decreased by 5% year-over-year due to lower commercial loan volumes.
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The provision for credit losses was $10.4 million, with gross impaired loans increasing by $150.8 million year-over-year.