Financial services powerhouse Scotia Group Jamaica reported net income of J$14.8 billion for the nine-month period ending July 31, representing an increase of J$764 million or 5.5 per cent over the same period in the previous year.

Scotia’s loan portfolio increased by J$48.9 billion or 16.8 per cent compared to July 2024, with loans net of allowances for credit losses increasing to J$340.6 billion

The Scotia Plan loan portfolio grew by 17 per cent over the previous year, while the mortgage portfolio grew by 22 per cent over the same period last year.

Consumer loans increased by 17 per cent, commercial loans by 12 per cent and credit cards by seven per cent.

Deposits increased to J$516.3 billion. The J$44.1 billion or 9.3 per cent growth in core deposits was seen in elevated inflows from Scotia’s retail and commercial clients.

Scotia’s asset base grew by J$60.6 billion or 8.8 per cent to J$752.8 billion as at July 2025. 

Scotia Investments, headed by Sabrina Cooper, performed well, registering a 26 per cent increase in net income before taxes. Asset management portfolios increased by J$24.3 billion or 11.7 per cent. Scotia is looking to grow its off-balance sheet business and is ramping up its unit trusts and mutual funds business arm.

Debra Lopez leads Scotia Jamaica Life Insurance Company, which reported a significant increase in net insurance revenue of 56 per cent and an increase in gross written premiums of eight per cent. Scotia General Insurance Agency saw gross written premiums increase by 65 per cent and policy sales increase by 57 per cent year over year.

The Bank of Nova Scotia, the largest subsidiary in the group, recorded a six per cent increase in net income before taxes and excluding inter-company dividends. This performance was driven by core growth in loans, deposits and total transactions.

Speaking at a press briefing earlier today, the president and CEO of Scotia Group Jamaica, Audrey Tugwell-Henry, said: “We are particularly pleased with our loan growth because it reflects strong credit quality. When we look at our non-accrual loans to total loans, that is actually declining, albeit that we are experiencing significant growth in the portfolio. Our risk is very well managed and is one of the strong points of Scotia Group, and is the foundation on which we  operate-strong risk management and sound governance.”

Return on equity was 13 per cent for the period under review, with the productivity ratio continuing to be best in class at 51.7 per cent. Total operating expenses grew by 16 per cent and were primarily attributable to year-over-year increases in staff benefits and salaries. Inflationary increases also took their toll. There were also higher technical expenses as Scotia Group Jamaica continues to invest in digital initiatives. Cash transportation expenses also increased.

“This performance represents the execution of our four strategic pillars: client primacy, client experience, employee wellbeing, [and] sustainable revenue growth,” explained the group head.

So is this growth primarily due to Scotia Group Jamaica taking market share from its competitors?

Scotia Group Jamaica boss Audrey Tugwell-Henry replied: “We are seeing positive shifts in market share. We are very well-positioned to take on new clients. We are opening significant numbers of new accounts with our retail business every month. So some of the growth you are seeing is client origination, and some is increased business with our existing clients.

“When you talk about a strategy, it may sound very blasé, but the strategy of client primacy is one that allows us to look at our existing clients, see how much business they are doing with us and go after the other areas of business we are not serving them in. We are after a deeper wallet share from our clients.

“Yes, we are taking away market share from competitors, but the underlying strategy is not a market share strategy but rather a client primacy strategy, making sure that our clients are doing their day-to-day business with us, they are borrowing from us if they have borrowing needs, they are saving with us, they are investing with us. 

“We now have over 850,000 clients across the group, which makes for great core growth. Our strategy is one that focuses on sustainable growth. You might see some swings on the balance sheet that had an impact on the pension credit and will affect our comprehensive income numbers, but you will never see that in our P&L because we build up core growth, client relationships, and we continue to add more client businesses and that results in a stronger financial performance for the group.”

The JLP has been returned to the Government, and there is a sense that the status quo is maintained. How does Audrey Tugwell-Henry see the remainder of the year, both for the economy and for Scotia Group Jamaica?

“So for Scotia Group Jamaica, we are very optimistic. We are very well-positioned to continue to grow and meet our clients’ needs. Some of the increases in expenses you are seeing is as a result of investments we have made in technology. We are very optimistic in terms of our outlook for the busines because we have laid a strong foundation to dominate the market. We are the most relevant group in the financial market.

“In terms of the Jamaican economy, I have a fair level of optimism. Once we get past the fiscal hurdle issues, it gives us an opportunity to focus on growth. I see a level of political maturing in our country that also feeds the optimism of Scotia Bank continuing to do business in Jamaica,” she added.

Scotia Group Jamaica will be paying a dividend of 45 cents for Q3, payable in October 2025.