Canadian lender EQB jumps after Q2 profit beat

EQB

30/05/2024 16:35

** Shares of Canadian lender EQB  EQB.TO  rise as much as
8.9%, last up 8.5% at C$85.5
    ** Late on Wednesday, EQB posted Q2 adjusted profit of C$111
mln($81.19 mln), or C$2.81/shr, beating analysts' expectation of
C$2.68/shr - LSEG
    ** Net interest margin -  a key gauge of profitability -
expanded by 16 basis points to 2.11% in the quarter
    ** Meanwhile, Q2 provision of credit losses of C$22.2 mln
were slightly above estimates of C$20.4 mln, driven by its
equipment financing business
    ** National Bank of Canada analysts said that investors will
be concerned with the uptick in impaired equipment finance loans
    ** As of last close, EQB shares were down 9.6% YTD
    
($1 = 1.3672 Canadian dollars)

 (Reporting by Arasu Kannagi Basil in Bengaluru)
 ((ArasuKannagi.Basil@thomsonreuters.com;))