Toronto-dominion Bank · TSX:TD
Toronto-dominion Bank — TD Bank Group — Q1 2026 Earnings Presentation
55 slides from Toronto-dominion Bank's earnings presentation, 2026
Slide 1: TD Bank Group – Q1 2026
Investor Presentation TD Bank Group – Q1 2026 Title Slide SECTION ONE
Slide 2: Caution Regarding Forward-Looking Statements
Caution Regarding Forward-Looking Statements From time to time, the Bank (as defined in this document) makes written and/or oral forward-looking statements, including in this document, in other filings with Canadian regulators or the United States (U.S.) Securities and Exchange Commission (SEC), and
Slide 3: TD Bank Group
TD Bank Group Overview of TD Bank Group Credit Update Strong Balance Sheet & Capital Position 2 — TD INVESTOR PRESENTATION Q1 2026 NB: Explanatory endnotes are included on Slides 48-53.
Slide 4: TD Snapshot
TD Snapshot Our Businesses Canadian Personal & Commercial Banking Personal banking, credit cards and auto finance Small business, commercial banking, merchant solutions and equipment finance U.S. Banking Canadian Wealth Personal banking, credit cards and auto finance Q1 2026 P&C U.S. Mgmt. &
Slide 5: Top 10 North American Bank
Top 10 North American Bank Canadian North American Q1 2026 (C$ except otherwise noted) TD Bank Group Ranking1 Ranking2 Total assets $2,099B 2nd 6th Total deposits $1,245B 2nd 6th Market capitalization $212.7B 2nd 6th Reported net income (trailing four quarters) $21.8B 1st 4th Adjusted net income3 (t
Slide 6: Scaled, Diversified North American Bank
Scaled, Diversified North American Bank Four key business lines Canadian Personal & Commercial Banking Q1 2026 Reported Earnings Mix1 The Personal Bank is a premier retail banking franchise delivering personalized solutions through a full suite of products and services across deposits, investing,
Slide 7: Deeper, Faster, Disciplined
Deeper, Faster, Disciplined Deeper Relationships Simpler & Faster Disciplined Execution In Canada, record penetration rates for Rolled out Gen AI Virtual Assistant across Driving strong cost management & consumer & small business credit cards 1000+ branches in Canada deeper understanding of unit cos
Slide 8: Canadian P&C Banking – F'26 Strategic Priorities
Canadian P&C Banking – F'26 Strategic Priorities Deeper Relationships Simpler & Faster Disciplined Execution Outgrow Canadian population growth in Modernize and automate processes and Leverage automation, digital tools and AI- net new clients and lead in core banking platforms, and leverage AI to de
Slide 9: U.S. Banking – F'26 Strategic Priorities
U.S. Banking – F'26 Strategic Priorities Deeper Relationships Simpler & Faster Disciplined Execution Reimagine retail, providing capacity to Continue balance sheet restructuring Continue remediating the U.S. BSA/AML deliver advice enabled by digital efforts that simplify the business program and str
Slide 10: Wealth Management & Insurance – F'26 Strategic Priorities
Wealth Management & Insurance – F'26 Strategic Priorities Deeper Relationships Simpler & Faster Disciplined Execution Deepen client relationships with CPB, Simplify client experiences in Wealth by Reduce structural costs in Wealth CBB and TD Insurance, and drive referrals deploying new self-serve, d
Slide 11: Wholesale Banking – F'26 Strategic Priorities
Wholesale Banking – F'26 Strategic Priorities Deeper Relationships Simpler & Faster Disciplined Execution Strengthen client relationships by aligning Continue to simplify organizational Strengthen risk management and resources to priority sectors structure and hire top talent compliance by increasin
Slide 12: Q1 2026 Performance
Q1 2026 Performance Net Income EPS PTPP1 Growth (YoY) Total Assets Reported: $4.0B Reported: $2.34 Reported: 31.0% $2.1T Adjusted1: $4.2B Adjusted1: $2.44 Adjusted1: 18.9% Efficiency Ratio ROE ROTCE2 CET1 Reported: 52.8% Reported: 13.6% Reported: 16.3% 14.5% Adjusted, Net of ISE1: 57.1% Adjusted1: 1
Slide 13: Driving structural cost reduction across TD
Driving structural cost reduction across TD Completed Restructuring Program $200MM pre-tax / $148MM after-tax restructuring charges in Q1'26 Program size Total restructuring program charges of $886MM pre-tax Expect F'26 savings of ~$500MM pre-tax1 Impact on expenses Expect fully realized ann
Slide 14: U.S. BSA / AML Remediation
U.S. BSA / AML Remediation1 Management remediation actions, including demonstrated sustainability, will continue through 2026 and 2027 2024 2025 2026 2027 2028 Internal Audit Validation and Monitor and Regulatory Engagement Following Monitor and Regulatory Review, additional management remediation a
Slide 15: Executing AI-at-scale and innovating for our Clients
Executing AI-at-scale and innovating for our Clients AI TD Invent Aim to deliver $1B in value1 Our strategic, bank-wide umbrella effort to power innovation Medium-term target value1 • U.S. Banking now offers Shop with Points at Amazon in the U.S. for eligible TD credit cardholders to instantly redee
Slide 16: Digital leadership enables deeper engagement and growth
Digital leadership enables deeper engagement and growth Canada1,2 U.S.1,2 Home & Auto Insurance1 Clients Digitally Engaged Mobile Users (millions)3 Mobile Users (millions)3 (% of total customers)5 +5.0% +1.8% +730 bps 8.7 5.1 5.2 79.2 8.2 71.9 11 6+ 90+ Q1/25 Q1/26 Medium-term Q1/25 Q1/26 Medium-ter
Slide 17: Q1 2026 Brand and Sustainability Highlights
Q1 2026 Brand and Sustainability Highlights Announced multi-year Purchased ~US$23MM agreement with Charm to MassDevelopment bond to purchase carbon removal support affordable housing in credits Massachusetts Announced expansion of low-cost and 1 no-cost banking options for Indigenous Peoples from Ca
Slide 18: TD Bank Group
TD Bank Group Overview of TD Bank Group Credit Update Strong Balance Sheet & Capital Position 17 — TD INVESTOR PRESENTATION Q1 2026
Slide 19: Well-reserved for elevated economic and credit uncertainty
Well-reserved for elevated economic and credit uncertainty Allowance Coverage Ratio (bps)1 140 126 120 101 100 97 99 95 89 86 74 2 2 Q1’20 2020 2021 2022 2023 2024 2025 Q1'26 18 — TD INVESTOR PRESENTATION Q1 2026
Slide 20: History of strong credit quality
History of strong credit quality Net impaired loans and PCL ratios (bps) Net impaired loans as a % of net loans and acceptances (bps) Provision for credit losses as a % of net average loans and acceptances (bps) 100 46 48 46 45 47 Q1'26 38 39 41 43 32 34 41 37 40 Q1'26 37 33 36 34 34 41 20 25 24 IFR
Slide 21: Gross Lending Portfolio
Gross Lending Portfolio Period-End Balances ($B unless otherwise noted) Q4/25 Q1/26 Canadian Personal and Commercial Portfolio 614.5 619.3 Personal 479.5 482.1 Residential Mortgages 264.5 258.8 Home Equity Lines of Credit (HELOC) 147.9 156.4 Indirect Auto 32.1 32.0 Credit Cards 21.9 21.9 Other Perso
Slide 22: Allowance for Credit Losses (ACL)
Allowance for Credit Losses (ACL) ACL1: $B and Coverage Ratios2 Highlights 101 103 101 99 99 bps ACL decreased $144 million quarter-over-quarter, United States reflecting: $9.7 $9.7 $9.6 Canada $9.6 $9.6 – A $156 million impact of foreign exchange ‒ Improvement in the macroeconomic forecasts 57% 5
Slide 23: Gross Impaired Loans (GIL)
Gross Impaired Loans (GIL) By Business Segment GIL: $MM and Ratios1 Highlights Gross impaired loans increased 2 basis points 56 56 58 bps quarter-over-quarter, largely recorded in: 51 56 – The U.S. Commercial and Canadian consumer portfolios $5,594 $5,453 $5,420 $5,334 $5 / 6 bps $3 / 3 bps $3 / 3
Slide 24: Provision for Credit Losses (PCL)
Provision for Credit Losses (PCL) By Business Segment Highlights PCL: $MM and Ratios1,2,3 Wealth Management & Insurance PCL increased quarter-over-quarter, Wholesale Banking largely reflected in Wholesale Banking $1,341 Canadian Personal & Commercial Banking Partially offset by lower provisions
Slide 25: Provision for Credit Losses (PCL)
Provision for Credit Losses (PCL) Impaired and Performing Highlights PCL1 ($MM) Q1/25 Q4/25 Q1/26 Impaired PCL increased quarter-over-quarter, driven by: Total Bank 1,212 982 1,039 Impaired 1,216 943 1,164 – The Wholesale Banking and U.S. commercial lending portfolios Performing (4) 39 (125) Canad
Slide 26: Provision for Credit Losses – Impaired
Provision for Credit Losses – Impaired1 By Geographic Location Canada U.S. Total Bank Impaired PCL Rate - Personal 0.30% 0.30% 0.31% 1.60% 0.59% 0.29% 0.49% 0.50% 0.51% 0.26% 1.31% 1.31% 0.45% 1.21% 1.22% Q1/25 Q2/25 Q3/25 Q4/25 Q1/26 Q1/25 Q2'25 Q3/25 Q4/25 Q1/26 Q1/25 Q2/25 Q3/25 Q4/25 Q1/26 Canad
Slide 27: Canadian Personal Banking
Canadian Personal Banking Highlights Canadian Personal Banking (Q1/26)1 Increase in gross impaired loans quarter-over-quarter largely recorded in the RESL portfolio, and primarily Gross Loans ($B) GIL ($MM) GIL/Loans (%) related to seasoning Residential Mortgages 258.8 467 0.18 Home Equity Lines o
Slide 28: Canadian Real Estate Secured Lending Portfolio
Canadian Real Estate Secured Lending Portfolio Highlights Maturity Schedule ($B)1 Total Canadian real estate secured lending portfolio at $102.9 $418B Variable Rate $87.3 Fixed Rate $78.9 $68.3 $40.1 $19.7 – 91% of RESL portfolio is amortizing4 $22.9 $38.2 $41.4 − 76% of HELOC portfolio is amortiz
Slide 29: Canadian Commercial and Wholesale Banking
Canadian Commercial and Wholesale Banking Highlights Canadian Commercial and Wholesale Banking (Q1/26) Gross impaired loans decreased quarter-over-quarter, driven Gross Loans GIL/Loans GIL ($MM) by: ($B) (%) Commercial Banking1 137.2 912 0.66 – The Canadian Commercial Banking portfolio Wholesale B
Slide 30: U.S. Personal Banking
U.S. Personal Banking Highlights U.S. Personal Banking (Q1/26) Continued good asset quality in U.S. Personal Banking Gross Loans GIL GIL/Loans In USD unless otherwise specified ($B) ($MM) (%) Residential Mortgages 34.0 412 1.21 Home Equity Lines of Credit (HELOC)1 9.0 224 2.48 Indirect Auto 31.7 2
Slide 31: U.S. Commercial Banking
U.S. Commercial Banking Highlights U.S. Commercial Banking (Q1/26) Gross impaired loans increased quarter-over-quarter, driven Gross Loans GIL GIL/Loans by a small number of borrowers across various industries In USD unless otherwise specified ($B) ($MM) (%) Commercial Real Estate (CRE) 28.2 493 1
Slide 32: TD Bank Group
TD Bank Group Key Themes Overview of TD Bank Group Credit Update Strong Balance Sheet & Capital Position 31 — TD INVESTOR PRESENTATION Q1 2026
Slide 33: Capital
Capital1 Disciplined capital and liquidity management QoQ CET1 ratio CET1 ratio 14.5%, down 15 bps QoQ 67 bps Strong adjusted2 earnings net of dividends, partially offset by RWA growth (31) bps (excl. model / methodology updates and FX), delivering strong adjusted2 (18) bps (3) bps 4 bps 3 bps 1 b
Slide 34: Capital
Capital1 Non-CET1 Capital Management Risk-Based TLAC Ratio2 Current Risk-based TLAC Ratio: 31.1%3 13.0% TD’s capital instruments are diversified by structure, market, and Published Minimum Risk-based TLAC Ratio: 25.0% currency, contributing to the resilience and stability of its capital 1.9% posit
Slide 35: Disciplined Liquidity Management
Disciplined Liquidity Management Liquidity Ratios5 Large base of personal and business deposits1 that make up 70% of the Bank's total funding 141% 141% 138% 138% 137% TD Canada Trust ranked #1 in Core Deposits2 – more 129% 130% than 80% of clients onboard with a chequing or savings 126% 119% accou
Slide 36: Strong Credit Ratings
Strong Credit Ratings Issuer Ratings1 Moody's S&P DBRS Fitch Senior Debt2 Ratings A2 A- AA (low) AA- Outlook Stable Stable Stable Negative Moody's S&P Fitch A1 A AA- Senior Debt2 / HoldCo3 Rating A2 A- A+ A3 BBB+ A TD Canadian U.S. TD Canadian U.S. TD Canadian U.S. Peers4 Peers5 Peers4 Peers5 Peers4
Slide 37: Low Risk, Deposit Rich Balance Sheet
Low Risk, Deposit Rich Balance Sheet Large base of stable retail and commercial deposits Personal and business deposits are TD's primary sources of funds – Customer service business model delivers stable base of “sticky” and franchise deposits Wholesale funding profile reflects a balanced secure
Slide 38: Wholesale Term Debt Composition
Wholesale Term Debt Composition Funding Strategy Wholesale term funding through diversified sources across domestic and international markets Manage to a stable funding profile that emphasizes funding assets and contingencies to the appropriate term Well-established C$100B Legislative Covered
Slide 39: TD Global Legislative Covered Bond Program
TD Global Legislative Covered Bond Program Key Highlights Covered Bond Collateral Canadian residential real estate property with no more than 4 residential units Uninsured conventional first lien assets with original loan to value ratio that is 80% or less Housing Market Risks Latest property
Slide 40: TD Global Legislative Covered Bond Program
TD Global Legislative Covered Bond Program Remaining Term Highlights 33% Pool comprises 100% uninsured 1st lien Canadian Residential Mortgages originated by TD 19% 16% 12% All loans have original LTVs of 80% or lower. Current weighted average LTV is 56.55%1 11% 3% 5% The weighted average of no
Slide 41: Bail-in Overview
Bail-in Overview Step 1: Step 2: Step 3: Scope of Bail-in Pre-loss balance Losses diminish Convert NVCC then, sheet assets and equity if applicable, bail-in In Scope Liabilities. Senior unsecured long-term debt (original term to maturity of 400 or more days) that debt into equity is tradable and t
Slide 42: Limited Recourse Capital Notes (LRCNs)
Limited Recourse Capital Notes (LRCNs) LRCN Overview LRCN holders’ interests rank equally with other LRCNs and Preferred Shares and are senior to common shares. LRCNs are issued only to institutional investors with no trading restrictions within the U.S. nor, after 4 months, within Canada LRCN's
Slide 43: Non-Viability Contingent Capital (NVCC)
Non-Viability Contingent Capital (NVCC) Credit hierarchy is codified as a principle in regulatory and legislative documents in Canada In March 2023, OSFI issued this statement illustrating regulatory intent of the Point of Non-Viability trigger occurs when OSFI determines the bank is no longer v
Slide 44: Net Interest Income Sensitivity (NIIS)
Net Interest Income Sensitivity (NIIS) Strong deposit base and disciplined ALM management NII impact from 25 bps change in short-term interest rates1 NII impact from 100 bps change in interest rates across the curve1 ($ in CAD Q1'26 Q4'25 ($ in CAD Q1'26 Q4'25 MM) MM) +100bps -100bps +100bps -100bps
Slide 45: Appendix
Appendix Economic Outlook 44 — TD INVESTOR PRESENTATION Q1 2026
Slide 46: Interest Rate Outlook
Interest Rate Outlook1 Interest Rates, Canada and U.S. The Federal Reserve (Fed) reduced the target for the federal funds rate to 3.5%-3.75% in December (%) 2025 and held it steady in January 2026. We expect 6 Forecast the Fed to deliver two more cuts beginning in mid- 2026. 5 The Bank of Canada
Slide 47: TD Economics Update
TD Economics Update1 Global Outlook: Strong start to 2025 followed by slowing growth Global growth is expected to slow in 2026, as decelerating cyclical momentum is being reinforced by higher tariffs. The slowdown in global growth is largely driven by slowing growth in Asia, especially the fast-
Slide 48: Endnotes
Endnotes 47 — TD INVESTOR PRESENTATION Q1 2026
Slide 49: Endnotes on Slides 3 to 6
Endnotes on Slides 3 to 6 Slide 3 1. Deposits based on total of average personal and business deposits during the quarter. U.S. Banking includes Schwab Insured Deposit Accounts (IDAs). 2. Total Loans based on total of average personal and business loans during the quarter. 3. Includes assets under a
Slide 50: Endnotes on Slides 11 to 13
Endnotes on Slides 11 to 13 Slide 11 1. Please refer to Slide 4, Endnote 3. 2. Please refer to Slide 3, Endnote 4. 3. Please refer to Slide 6, Endnote 3. 4. In estimating its expense growth expectations, the Bank has assumed that the following three factors on the Bank’s fiscal 2026 adjusted expense
Slide 51: Endnotes on Slides 14 to 21
Endnotes on Slides 14 to 21 Slide 14 1. The Bank's expectations regarding medium-term targets for incremental revenue and cost savings driven by AI are subject to inherent uncertainties and are based on the Bank's assumptions regarding certain factors, including general economic and market condition
Slide 52: Endnotes on Slides 22 to 30
Endnotes on Slides 22 to 30 Slide 22 1. GIL Ratio: Gross Impaired Loans/Gross Loans & Acceptances (both are spot) by portfolio. Slide 23 1. PCL Ratio: Provision for Credit Losses on a quarterly annualized basis/Average Net Loans & Acceptances. 2. Net Total Bank and U.S. Banking PCL ratios exclude cr
Slide 53: Endnotes on Slides 31 to 37
Endnotes on Slides 31 to 37 Slide 32 1. Capital and liquidity measures are calculated in accordance with OSFI's Capital Adequacy Requirements, Leverage Requirements, and Liquidity Adequacy Requirements guidelines. 2. Please refer to Slide 4, Endnote 3. 3. Numbers may not add due to rounding. Slide 3
Slide 54: Endnotes on Slides 39 to 46
Endnotes on Slides 39 to 46 Slide 39 1. Current Loan to Value is calculated with the Teranet-National Bank House Price Index and weighted by balance. 2. Calculated based on Canadian dollar equivalents with respective exchange rates as at date of issuance. 3. Please refer to Slide 35, Endnote 1. 4. T
Slide 55: Investor Relations Contacts
Investor Relations Contacts Phone: (416) 308-9030 or 1 (866) 486-4826 Email: tdir@td.com Website: www.td.com/investor 54 — TD INVESTOR PRESENTATION Q1 2026