Toronto-dominion Bank · TSX:TD

Toronto-dominion Bank — The Toronto-Dominion Bank — Q4 2025 Earnings Presentation

51 slides from Toronto-dominion Bank's earnings presentation, Dec 4, 2025

  1. Slide 1: Quarterly Results Presentation

    Quarterly Results Presentation TD Bank Group – Q4 2025 – December 4, 2025 Title Slide SECTION ONE

  2. 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

  3. Slide 3: Deeper, Faster, Disciplined

    Deeper, Faster, Disciplined Deeper Relationships Simpler & Faster Disciplined Execution In F'25, achieved record personal credit In F'25, implemented ~75 AI use cases In F'25, fraud losses were down 26% card penetration rate in Canada & record that generated $170MM in value. For YoY driven by ongoin

  4. Slide 4: Q4 2025 Performance

    Q4 2025 Performance Net Income EPS2 PTPP1 Growth (YoY) Total Assets Reported: $3.3B Reported: $1.82 Reported: (10.4%) $2.1T Adjusted1: $3.9B Adjusted1: $2.18 Adjusted1: 24.6% Efficiency Ratio2 ROE2 ROTCE2 CET 13 Reported: 56.8% Reported: 10.7% Reported: 12.9% 14.7% Adjusted, Net of ISE1: 59.2% Adjus

  5. Slide 5: Strong Momentum Across our Businesses

    Strong Momentum Across our Businesses Canadian Personal & Commercial Banking U.S. Retail  Record revenue, deposit and loan volumes  AML remediation remains the #1 priority  Record year in digital sales for day-to-day banking products  Loans down 9% YoY, or up 2% YoY excluding loan portfolios ide

  6. Slide 6: Q4 2025 Sustainability Highlights

    Q4 2025 Sustainability Highlights Recognized as a Announced multi-year Celebrated 35th Launched 20th Annual certified Great Place to agreement with anniversary of TD TD Housing for Work in both Canada Chestnut Carbon to Friends of the Everyone campaign to and the U.S.1 purchase forest carbon Environ

  7. Slide 7: U.S. BSA / AML Remediation

    U.S. BSA / AML Remediation1 Completed majority of Management Remediation Actions in 2025 Significant work and important milestones, including demonstrated sustainability, remaining in 2026 and 2027 2024 2025 2026 2027 2028 Internal Audit Validation and Monitor and Regulatory Engagement Following Mon

  8. Slide 8: U.S. Balance Sheet Restructuring

    U.S. Balance Sheet Restructuring1 Progress Update As of October 31, 2025, total assets of ~US$382B vs. US$434B asset limitation2  Achieved ~10% asset reduction target announced on October 10, 2024  As we continue to focus on simplifying our business, we will be reducing identified additional loans

  9. Slide 9: Q4 2025 Highlights

    Q4 2025 Highlights P&L ($MM) Q4/25 QoQ YoY Reported Strong quarter Revenue 15,494 1% 0% Insurance Service Expenses (ISE) 1,602 2% (32%) EPS of $1.82 (Adj1 $2.18, up 27% YoY) Revenue, net of ISE1,2 13,892 1% 6% PTPP $6.7B (Adj1 $5.4B, up 25% YoY, excl. U.S. Strategic Card Portfolio PCL 982 +$11 -$127

  10. Slide 10: Restructuring Program

    Restructuring Program Deliver structural cost reduction across the Bank  $190MM pre-tax / $140MM after-tax restructuring charges in Q4'25 Program size  Expect ~$125MM pre-tax restructuring charges in Q1'26, when the program will conclude with total restructuring charges of ~$825MM pre-tax1  F'25

  11. Slide 11: Canadian Personal & Commercial Banking

    Canadian Personal & Commercial Banking P&L ($MM) Q4/25 QoQ YoY Record revenue, deposit, and loan volumes Revenue 5,305 1% 5% PCL 537 +$74 +$107 Net income up 2% YoY; PTPP up 6% YoY Impaired 447 +$71 -$9 Revenue up 5% YoY Performing 90 +$3 +$116 Expenses 2,178 5% 4%  Volume growth PTPP1 3,127 (2%) 6

  12. Slide 12: U.S. Retail

    U.S. Retail P&L (US$MM) (except where noted) Q4/25 QoQ YoY Reported Sustained business momentum Revenue 2,491 (2%) 6% PCL 220 -$11 -$65 Net income up 29% YoY (Adj1 up 27% YoY) Impaired 238 -$2 -$68 PTPP up 6% YoY (Adj1 up 12% YoY) Performing (18) -$9 +$3 Revenue up 6% YoY (Adj1 up 7%) Expenses 1,801

  13. Slide 13: Wealth Management & Insurance

    Wealth Management & Insurance Record Wealth earnings and assets P&L ($MM) Q4/25 QoQ YoY Net income up $350MM YoY; PTPP up $481MM YoY  Insurance impacted by severe weather events in prior year Revenue 3,788 3% (4%) Insurance Service Expenses (ISE) 1,602 2% (32%) Revenue down 4% YoY (Revenue, net of

  14. Slide 14: Wholesale Banking

    Wholesale Banking Record revenue and net income P&L ($MM) Q4/25 QoQ YoY Reported Revenue 2,200 7% 24% Net income up $259MM YoY (Adj1 up $230MM YoY) Global Markets 1,348 5% 35% PTPP up 47% (Adj1 up 32%) Investment Banking 906 12% 21% PCL 24 -$47 -$110 Revenue up 24% YoY Impaired 28 -$35 -$106 Perform

  15. Slide 15: Corporate Segment

    Corporate Segment P&L ($MM) Q4/25 Q3/25 Q4/24 Reported net loss of $497MM (Adj1 net loss of $195MM) Reported  Reported net loss includes items of note Net Income (Loss) (497) (478) 526 Adjustments for items of note  YoY higher net corporate expenses, offset by higher revenue from treasury Amortiza

  16. Slide 16: Capital

    Capital1 Disciplined capital and liquidity management QoQ CET 1 ratio CET 1 ratio 14.7%, down 15 bps QoQ 59 bps  Strong internal capital generation, partially offset by RWA growth (excl. FX) (28) bps (6) bps 5 bps 6 bps (18) bps  Share buyback decreased CET 1 by 33 bps +31 bps (33) bps (0) bps Adj

  17. Slide 17: Fiscal 2025 Highlights

    Fiscal 2025 Highlights P&L ($MM) 2025 2024 YoY Reported Successful transition year Revenue 67,777 57,223 18% Insurance Service Expenses (ISE) 6,089 6,647 (8%) EPS of $11.56 (Adj1 $8.37, up 7% YoY) Revenue, net of ISE1 61,688 50,576 22% PTPP $34.2B (Adj1 $21.1B, up 12% YoY, excl. U.S. Strategic Card

  18. Slide 18: Gross Impaired Loan Formations

    Gross Impaired Loan Formations By Business Segment GIL Formations1: $MM and Ratios2 Highlights 28 25  Gross impaired loan formations 21 26 23 bps decreased 3 basis points quarter-over- quarter, largely reflected in: $2,657 – The Wholesale Banking and $2,432 $292 / $2,433 U.S. commercial lending por

  19. Slide 19: Gross Impaired Loans (GIL)

    Gross Impaired Loans (GIL) By Business Segment GIL: $MM and Ratios1 Highlights  Gross impaired loans stable quarter-over-quarter 56 51 56 56 bps 52 $5,453 $5,420 $5,334 $5 / 6 bps $4 / 5 bps $3 / 3 bps $4,949 $4,866 $5 / 6 bps $5 / 7 bps $421 / $572 / 41 bps $600 / $343 / $327 / 69 bps 61 bps 35 bp

  20. Slide 20: Provision for Credit Losses (PCL)

    Provision for Credit Losses (PCL) By Business Segment Highlights PCL: $MM and Ratios1,2,3 Wealth Management & Insurance  PCL stable quarter-over-quarter Wholesale Banking $1,341 Canadian Personal & Commercial Banking $1,212 $123 U.S. Retail (net) $1,109 $72 Corporate $982 $134 $971 $24 $622 $71 $52

  21. Slide 21: Provision for Credit Losses (PCL)

    Provision for Credit Losses (PCL) Impaired and Performing Highlights PCL1 ($MM) Q4/24 Q3/25 Q4/25  Impaired PCL increased quarter-over-quarter, driven by: Total Bank 1,109 971 982 Impaired 1,153 904 943 – The consumer lending portfolios, including the impact of seasonal trends in the U.S. Performin

  22. Slide 22: Allowance for Credit Losses (ACL)

    Allowance for Credit Losses (ACL) ACL1: $B and Coverage Ratios2 Highlights 101 103 101 bps 99  ACL increased $40 million quarter-over-quarter, 95 United States reflecting: $9.7 $9.7 Canada $9.6 $9.6 $9.1 – The adoption impact of a model update in the Canadian credit card portfolio 57% 56% 55% 55% 5

  23. Slide 23: Appendix

    Appendix 22 — TD QUARTERLY RESULTS PRESENTATION

  24. Slide 24: Q4 2025: Items of Note

    Q4 2025: Items of Note ($MM) EPS ($) Segment SFI Reference1 Pre-Tax After Tax Reported net income and EPS (diluted) 3,280 1.82 Items of note Amortization of acquired intangibles2 34 26 0.01 Corporate Page 4, L13, L26 & L39 Restructuring charges 190 140 0.08 Corporate Page 4, L16, L28 & L42 Acquisiti

  25. Slide 25: Fiscal 2025: Items of Note

    Fiscal 2025: Items of Note ($MM) EPS ($) Segment SFI Reference1 Pre-Tax After Tax Reported net income and EPS (diluted) 20,538 11.56 Items of note Amortization of acquired intangibles2 171 138 0.08 Corporate Page 4, L13, L26 & L39 Restructuring charges 686 510 0.30 Corporate Page 4, L16, L28 & L42 A

  26. Slide 26: U.S. Strategic Card Portfolio: Accounting

    U.S. Strategic Card Portfolio: Accounting Illustrative Example Values below are shown for illustrative purposes only. The percent share is representative of the agreements with the retailer card partners, but the exact split differs by partner. Illustrative Example ($MM) Credit Card Portfolio 1,000

  27. Slide 27: Q4 2025: PTPP & Operating Leverage

    Q4 2025: PTPP & Operating Leverage1 Modified for partners' share of SCP PCL, FX and Insurance Service Expense TOTAL BANK Q4 2025 Q3 2025 Q4 2024 SFI Reference Revenue Expenses Revenue Expenses Revenue Expenses Reported Results ($MM) 15,494 8,808 15,297 8,522 15,514 8,050 Page 2, L3 & L6 1 PTPP 6,686

  28. Slide 28: Fiscal 2025: PTPP & Operating Leverage

    Fiscal 2025: PTPP & Operating Leverage1 Modified for partners' share of SCP PCL, FX and Insurance Service Expense 2025 2024 2023 TOTAL BANK SFI Reference Revenue Expenses Revenue Expenses Revenue Expenses Reported Results ($MM) 67,777 33,539 57,223 35,493 50,690 29,855 Page 2, L3 & L6 1 PTPP 34,238

  29. Slide 29: 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 Q4'25 Q3'25 ($ in CAD Q4'25 Q3'25 MM) MM) +100bps -100bps +100bps -100bps

  30. Slide 30: Digital leadership enables deeper engagement and growth

    Digital leadership enables deeper engagement and growth Canada1,2 U.S.1,2 Home & Auto Insurance Clients Digitally Engaged Mobile Users (millions)3 Mobile Users (millions)3 (% of total customers)6 +1.8% +5.7% +850 bps 5.1 5.2 77.9 8.6 69.4 8.1 11 6+ 90+ Q4/24 Q4/25 Medium-term Q4/24 Q4/25 Medium-term

  31. Slide 31: Canadian Personal & Commercial Banking

    Canadian Personal & Commercial Banking Margins, Volumes and Efficiency Net Interest Margin (NIM)1 Average Loans ($B)2 578 583 585 594 607 123 126 128 129 131 2.81% 2.82% 2.83% 2.82% 2.80% 454 458 458 464 475 Q4/24 Q1/25 Q2/25 Q3/25 Q4/25 Q4/24 Q1/25 Q2/25 Q3/25 Q4/25 Personal Commerical Efficiency R

  32. Slide 32: U.S. Retail

    U.S. Retail Margins, Volumes and Efficiency Net Interest Margin (NIM)1 Average Loans (US$B)2 3.20% 193 193 187 180 177 3.12% 3.25% 3.05% 3.19% 96 95 93 3.01% 91 87 3.02% 3.04% 158 159 159 160 161 2.86% 3.00% 2.77% 97 98 93 89 90 Q3/24 Q4/24 Q1/25 Q2/25 Q3/25 Q4/25 Q4/24 Q1/25 Q2-25 Q3-25 Q4/25 1 Rep

  33. Slide 33: Wealth Management & Insurance

    Wealth Management & Insurance Volumes and Efficiency Insurance Premiums ($MM) Average Loans ($B) 1,831 2,011 1,927 6.9 7.4 7.2 7.0 7.4 1,514 1,602 Q4/24 Q1/25 Q2/25 Q3/25 Q4/25 Q4/24 Q1/25 Q2/25 Q3/25 Q4/25 Efficiency Ratio Average Deposits ($B) Q4/24 Q1/25 Q2/25 Q3/25 Q4/25 WM&I 28.1% 32.6% 32.3% 3

  34. Slide 34: Wealth Management & Insurance

    Wealth Management & Insurance Wealth Revenue & NIAT ($MM) Wealth Assets ($B) 2,000 1,868 600 759 1,738 709 1,737 687 1,669 316 1,594 651 654 1,600 287 299 557 601 291 572 236 556 261 530 542 240 210 198 214 1,200 521 500 512 800 448 480 400 1,160 1,211 1,228 1,291 1,164 0 400 Q4/24 Q1/25 Q2/25 Q3/25

  35. Slide 35: Wholesale Banking

    Wholesale Banking Q4/25 Revenue Q4/25 Loans1 -2% 4% 41% $2.2B 43% $90.0B 53% 61% Global Markets Corporate and Other2 Investment Canada United States International Banking 34 — TD QUARTERLY RESULTS PRESENTATION

  36. Slide 36: Gross Lending Portfolio

    Gross Lending Portfolio Period-End Balances ($B unless otherwise noted) Q3/25 Q4/25 Canadian Personal and Commercial Portfolio 604.1 614.5 Personal 470.6 479.5 Residential Mortgages 266.5 264.5 Home Equity Lines of Credit (HELOC) 138.0 147.9 Indirect Auto 31.4 32.1 Credit Cards 21.6 21.9 Other Perso

  37. Slide 37: Commercial Real Estate (CRE)

    Commercial Real Estate (CRE) Highlights Commercial Real Estate Portfolio Overview: $99B  Commercial Real Estate represented $99B or 10% of Total Bank gross loans1 Office – Portfolio is well diversified across geographies and 10% Retail 17% sub-segments Other – 57% of CRE portfolio in Canada and 43%

  38. Slide 38: Canadian Real Estate Secured Lending Portfolio

    Canadian Real Estate Secured Lending Portfolio Highlights Maturity Schedule ($B)1  Total Canadian real estate secured lending portfolio $105.1 at $415B $100.0 Variable Rate $89.1 Fixed Rate $26.5 $41.3 $20.3 – 91% of RESL portfolio is amortizing4 $55.7 $23.3 $31.4 − 75% of HELOC portfolio is amorti

  39. Slide 39: Canadian Personal Banking

    Canadian Personal Banking Highlights Canadian Personal Banking (Q4/25)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 264.5 410 0.16 Home Equity Lines o

  40. Slide 40: Canadian Commercial and Wholesale Banking

    Canadian Commercial and Wholesale Banking Highlights Canadian Commercial and Wholesale Banking (Q4/25)  Gross impaired loans decreased quarter-over-quarter in both Gross Loans GIL/Loans GIL ($MM) the Commercial and Wholesale lending portfolios as ($B) (%) resolutions outpaced formations Commercial

  41. Slide 41: U.S. Personal Banking

    U.S. Personal Banking Highlights U.S. Personal Banking (Q4/25)  Continued good asset quality in U.S. Personal Banking Gross Loans GIL GIL/Loans In USD unless otherwise specified ($B) ($MM) (%) Residential Mortgages 34.0 404 1.19 Home Equity Lines of Credit (HELOC)1 8.9 216 2.42 Indirect Auto 31.5 2

  42. Slide 42: U.S. Commercial Banking

    U.S. Commercial Banking Highlights U.S. Commercial Banking (Q4/25)  Gross impaired loans were stable quarter-over-quarter Gross Loans GIL GIL/Loans In USD unless otherwise specified ($B) ($MM) (%) Commercial Real Estate (CRE) 28.6 536 1.87 Non-residential Real Estate 18.4 409 2.22 Residential Real

  43. Slide 43: Provision for Credit Losses – Impaired

    Provision for Credit Losses – Impaired1 By Geographic Location Canada U.S. Total Bank Impaired PCL Rate - Personal 1.60% 1.26% 1.21% 1.31% 0.59% 1.22% 0.49% 0.49% 0.50% 0.30% 0.30% 0.45% 0.28% 0.29% 0.26% Q4/24 Q1/25 Q2/25 Q3/25 Q4/25 Q4/24 Q1/25 Q2'25 Q3/25 Q4/25 Q4/24 Q1/25 Q2/25 Q3/25 Q4/25 Canad

  44. Slide 44: Endnotes on Slides 2 to 5

    Endnotes on Slides 2 to 5 Slide 2 1. The Bank's expectations regarding value generated from AI use cases are subject to inherent uncertainties and are based on the Bank's assumptions regarding certain factors, including general economic and market conditions and the prioritization and timing of busi

  45. Slide 45: Endnotes on Slides 6 to 10

    Endnotes on Slides 6 to 10 Slide 6 1. As previously disclosed in the Bank’s 2024 MD&A, on October 10, 2024, the Bank announced that, following active cooperation and engagement with authorities and regulators, it reached a resolution (the "Global Resolution") of previously disclosed investigations r

  46. Slide 46: Endnotes on Slides 11 to 15

    Endnotes on Slides 11 to 15 Slide 11 1. Please refer to Slide 2, Endnote 2. 2. Please refer to Slide 4, Endnote 2. 3. Please refer to Slide 2, Endnote 4. 4. Net interest margin is calculated by dividing U.S. Retail segment’s net interest income by average interest-earning assets excluding the impact

  47. Slide 47: Endnotes on Slides 16 to 23

    Endnotes on Slides 16 to 23 Slide 16 1. Please refer to Slide 2, Endnote 2. 2. Please refer to Slide 2, Endnote 3. 3. In estimating its expense growth expectations, the Bank has assumed that the following three factors on the Bank’s fiscal 2026 adjusted expenses will be the same as the Bank’s fiscal

  48. Slide 48: Endnotes on Slides 24 to 31

    Endnotes on Slides 24 to 31 Slide 24 1. Please refer to Slide 23, Endnote 1. 2. Please refer to Slide 14, Endnote 2. 3. Please refer to Slide 14, Endnote 4. 4. Please refer to Slide 2, Endnote 2. Slide 26 1. Please refer to Slide 2, Endnote 2. 2. Adjusts for the impact of foreign exchange on the U.S

  49. Slide 49: Endnotes on Slides 32 to 39

    Endnotes on Slides 32 to 39 Slide 32 1. Please refer to Slide 2, Endnote 2. Slide 33 1. Please refer to Slide 12, Endnote 1. Slide 34 1. Average gross lending portfolio includes gross loans relating to Wholesale Banking, excluding letters of credit, cash collateral, credit default swaps, and allowan

  50. Slide 50: Endnotes on Slides 40 to 42

    Endnotes on Slides 40 to 42 Slide 40 1. Please refer to Slide 35, Endnote 1. 2. Loan To Value is calculated with the Loan Performance Home Price Index, based on outstanding mortgage balance and/or the HELOC authorized credit limit. Slide 41 1. Please refer to Slide 39, Endnote 2. 2. Please refer to

  51. Slide 51: Investor Relations Contacts

    Investor Relations Contacts Phone: (416) 308-9030 or 1 (866) 486-4826 Email: tdir@td.com Website: https://www.td.com/investor-relations 50 — TD QUARTERLY RESULTS PRESENTATION

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