TD Bank Expects C$285 Million in 1Q Repoorted Equity in Net Income of Schwab Investment

By Robb M. Stewart

Toronto-Dominion Bank said Thursday it expects Charles Schwab Corp.'s quarterly earnings to translate into about 285 million Canadian dollars ($211 million) of reported equity in net income of its investment in the financial-services company for the fiscal first quarter.

The expected after-tax, adjusted equity in net income of the investment in Schwab will be about C$328 million, excluding acquisition-related charges of roughly C$13 million and amortization of acquired intangibles of aboutr C$30 million, TD Bank said.

On Wednesday, Texas-based Charles Schwab reported its fourth-quarter net income rose 25% to $2 billion as higher interest rates boosted net interest income, and net revenue rose 17% to $5.5 billion.

TD Bank is scheduled to release its first-quarter financial results on March 2. According to forecasts compiled by FactSet, analysts are expecting earnings of C$1.93 a share for the quarter, down from C$2.02 in the three months ended Jan. 31, 2022, and revenue of C$12.19 billion, up from C$11.28 billion a year earlier.

Write to Robb M. Stewart at robb.stewart@wsj.com

(END) Dow Jones Newswires

January 19, 2023 07:11 ET (12:11 GMT)

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