Here are five things you need to know this morning:
Scotiabank misses: Bank of Nova Scotia missed estimates as expenses came in higher than expected while the company grappled with higher taxes and lower profits in the capital markets arm. That’s the main takeaway from the bank’s quarterly results released before the bell this morning, numbers which kick off earnings season for Canada’s big banks. Earnings on an adjusted basis came in at $1.57 share. That’s below the $1.60 the street was looking for. A big part of the soft numbers was a one-time impairment charge of $379 million related to an investment in China’s Bank of Xian Co. Net income in the capital markets unit fell 2.7 per cent to $403 million as fee income declined. We’ll watch to see how the shares react.
Enbridge raises dividend: Pipeline operator Enbridge Inc. says it expects its EBITDA to come in at up to $20 billion next year, a nine per cent increase from 2024 and slightly better than what analysts were forecasting. The company, one of the most widely held shares on the TSX, raised its dividend by three per cent. The company says the outlook for oil and gas that moves along its network of pipelines remains strong.
Trump vows to block U.S. Steel takeover by Nippon: U.S. President-elect Donald Trump says he will block the proposed takeover of U.S. Steel by Japan-based Nippon Steel when he becomes president. Speaking on the social media network his company owns, Truth Social, Trump said he is “totally against” the proposed deal and will block it. He said a combination of tax incentives and tariffs will ensure that U.S. Steel will remain a strong, U.S. owned company. Investors don’t seem convinced or pleased as shares in both companies are down premarket.
Honeywell settles lawsuit with Bombardier: Honeywell International Inc. and aircraft maker Bombardier Inc. have settled a long-standing legal dispute over the price of jet engines. Honeywell says the deal will hurt its finances this year but pay off in the long run. The two companies had been squabbling over the price that Bombardier paid for HTF7000 turbofan engines as far back as the 1990s. Bombardier said it paid too much and had been seeking hundreds of millions of dollars in restitution.
Black Friday sales hit record, Shopify says: Canadian e-commerce giant Shopify says a record $11.5 billion was sold on its merchant network around the world between Friday and Monday. That figure is up 24 per cent from last year’s tally as more than 76 million people around the world bought something in an online store powered by Shopify. The figures jibe with numbers from other sources that show consumer spending remains strong despite weakness in the economy headed into the holiday season.