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TD TD Bank Group Reports Third Quarter 2021 Results Earnings News Release . Three and nine months ended July 31 , 2021 This quarterly Earnings News Release should be read in conjunction with the Bank's unaudited third quarter 2021 Report to Shareholders for the three and nine months ended July 31 , 2021 , prepared in accordance with International Financial Reporting Standards ( IFRS ) as issued by the International Accounting Standards Board ( IASB ) , which is available on our website at http://www.td.com/investor/ . This analysis is dated August 25 , 2021. Unless otherwise indicated , all amounts are expressed in Canadian dollars , and have been primarily derived from the Bank's Annual or Interim Consolidated Financial Statements prepared in accordance with IFRS . Certain comparative amounts have been revised to conform to the presentation adopted in the current period . Additional information relating to the Bank is available on the Bank's website at http://www.td.com , as well as on SEDAR at http://www.sedar.com and on the U.S. Securities and Exchange Commission's ( SEC ) website at http://www.sec.gov ( EDGAR filers section ) . Reported results conform to generally accepted accounting principles ( GAAP ) , in accordance with IFRS . Adjusted measures are non - GAAP measures . Refer to the " How the Bank Reports " section of the Management's Discussion and Analysis ( MD & A ) for an explanation of reported and adjusted results . THIRD QUARTER FINANCIAL HIGHLIGHTS , compared with the third quarter last year : • Reported diluted earnings per share were $ 1.92 , compared with $ 1.21 . Adjusted diluted earnings per share were $ 1.96 , compared with $ 1.25 . • Reported net income was $ 3,545 million , compared with $ 2,248 million . • Adjusted net income was $ 3,628 million , compared with $ 2,327 million . YEAR - TO - DATE FINANCIAL HIGHLIGHTS , nine months ended July 31 , 2021 , compared with the corresponding period last year : • Reported diluted earnings per share were $ 5.68 , compared with $ 3.62 . ● Adjusted diluted earnings per share were $ 5.83 , compared with $ 3.76 . • Reported net income was $ 10,517 million , compared with $ 6,752 million . • Adjusted net income was $ 10,783 million , compared with $ 6,998 million . THIRD QUARTER ADJUSTMENTS ( ITEMS OF NOTE ) The third quarter reported earnings figures included the following items of note : • Amortization of acquired intangibles of $ 68 million ( $ 61 million after - tax or 3 cents per share ) , compared with $ 63 million ( $ 54 million after - tax or 3 cents per share ) in the third quarter last year . • Acquisition and integration charges related to the Schwab transaction of $ 24 million ( $ 22 million after - tax or 1 cent per share ) . TORONTO , August 26 , 2021 – TD Bank Group ( " TD " or the " Bank " ) today announced its financial results for the third quarter ended July 31 , 2021. Reported earnings were $ 3.5 billion , up 58 % compared with the third quarter last year , and adjusted earnings were $ 3.6 billion , up 56 % . " TD's strong performance in the third quarter was supported by solid revenue growth in our Canadian and U.S. Retail businesses as economic activity and employment levels continued to improve on both sides of the border , " said Bharat Masrani , Group President and CEO , TD Bank Group . " TD's strategy - anchored in our proven business model - enabled us once again to deliver for our shareholders , meet the needs of our customers and clients and contribute to the economic recovery , while continuing to invest in our people , technology , and capabilities . " " While businesses and consumers are resuming some of their normal activities and more people are getting vaccinated , recent developments and new variants remind us that the global pandemic is not yet over , " added Masrani . " TD will continue to adapt in this fluid environment , adjust in real - time , and prioritize the well being of our people and all those we serve . " Canadian Retail Canadian Retail reported net income was $ 2,125 million , an increase of 68 % compared with the third quarter last year . Revenue increased 9 % , supported by continued momentum in mortgage originations and deposits , strong commercial loan growth and mutual fund sales , as well as record card sales . Reported expenses increased 8 % , reflecting business growth spend including volume - driven and employee - related expenses and investments in technology and marketing . Provisions for credit losses ( PCL ) decreased by $ 851 million from the prior year , reflecting lower impaired PCL and a recovery in performing PCL . Canadian Retail continued to innovate to serve customers where and when they want . This includes a new strategic alliance with Canada Post that will see the Personal Bank provide Canadians - particularly those in rural , remote and Indigenous communities - with expanded access to financial services , and the launch of new TD Insurance tools such as mobile severe weather and safety alerts and a new digital virtual assistant . In the Commercial Bank , the acquisition of Wells Fargo's Canadian Direct Equipment Finance business closed , delivering scaled expertise in equipment leasing and finance . U.S. Retail U.S. Retail net income was $ 1,295 million ( US $ 1,052 million ) , an increase of 92 % ( 115 % in U.S. dollars ) compared with the third quarter last year . The Bank's investment in The Charles Schwab Corporation ( Schwab ) contributed $ 197 million ( US $ 161 million ) in earnings , compared with the contribution of $ 317 million ( US $ 230 million ) from TD Ameritrade a year ago . The U.S. Retail Bank , which excludes the Bank's investment in Schwab , reported record net income of $ 1,098 million ( US $ 891 million ) , an increase of 208 % ( 243 % in U.S. dollars ) from the third quarter last year . In U.S. dollars , revenue increased 5 % reflecting higher non - interest income , partially offset by lower deposit margins . PCL decreased by US $ 729 million ( $ 993 million ) reflecting lower impaired and performing PCL . Expenses increased 2 % in U.S. dollars , reflecting higher investment in the business and employee - related expenses , partially offset by productivity savings . In Canadian dollars , revenue and expenses declined 6 % and 8 % , respectively , primarily as a result of appreciation in the Canadian dollar since the third quarter last year . TD BANK GROUP THIRD QUARTER 2021 EARNINGS NEWS RELEASE Page 1