The financial information reported herein is based on the condensed interim consolidated (unaudited) information for the three-month period ended April 30, 2024 and has been prepared in accordance with International Financial Reporting standards (IFRS), as issued by the International Accounting Standards Board (IASB). All amounts are denominated in Canadian dollars. The Laurentian Bank of Canada and its entities are collectively referred to as "Laurentian Bank" or the "Bank" and provide deposit, investment, loan, securities, trust and other products or services. MONTREAL, May 31, 2024 /CNW/ - Laurentian Bank of Canada reported a net loss of $117.5 million and a diluted loss per share of $2.71 for the second quarter of 2024, compared with net income of $49.3 million and diluted earnings per share of $1.11 for the second quarter of 2023. Return on common shareholders' equity was a negative 18.6% for the second quarter of 2024, compared with 7.7% for the second quarter of 2023. Of note, reported results for the second quarter of 2024 included impairment and restructuring charges of $196.8 million ($155.6 million after income taxes), or $3.56 per share, related to the restructuring of the Bank's operations and to the impairment of the Personal and Commercial (P&C) Banking segment. Refer to the Non-GAAP Financial and Other Measures section and to the Business Highlights section for further details. Adjusted net income(1) was $40.5 million and adjusted diluted earnings per share(2) were $0.90 for the second quarter of 2024, compared with $51.7 million and $1.16 for the second quarter of 2023. Adjusted return on common shareholders' equity(2) was 6.1% for the second quarter of 2024, compared with 8.1% a year ago. For the six months ended April 30, 2024, net loss was $80.3 million and diluted loss per share were $1.97, compared with net income of $101.2 million and diluted earnings per share of $2.20 for the six months ended April 30, 2023. Return on common shareholders' equity was a negative 6.7% for the six months ended April 30, 2024, compared with 7.6% for the six months ended April 30, 2023. Of note, reported results for the six months ended April 30, 2024 included impairment and restructuring charges of $202.8 million ($160.1 million after income taxes), or $3.66 per share, related to the restructuring of the Bank's operations and to the impairment of the P&C Banking segment. Adjusted net income(1) was $84.7 million and adjusted diluted earnings per share(2) were $1.80 for the six months ended April 30, 2024, compared with $106.0 million and $2.31 for the six months ended April 30, 2023. Adjusted return on common shareholders' equity(2) was 6.1% for the six months ended April 30, 2024, compared with 8.0% a year ago. "The Bank maintained a strong and prudent liquidity position and remains well capitalized in light of continuing macroeconomic headwinds," said Éric Provost, President & CEO. "This quarter, we further simplified our operations that demonstrates our conviction and ability to execute on our strategic plan, as we concentrate on our core strengths. We will also unveil our revamped strategic plan on May 31, 2024, which will position us for future growth as an even stronger Bank." For the three months ended For the six months ended In millions of dollars, except per share and percentage amounts (Unaudited) April 30, 2024 April 30,2023 Variance April 30, 2024 April 30,2023 Variance Reported basis Net income (loss) $    (117.5) $        49.3 (338) % $      (80.3) $      101.2 (179) % Diluted earnings per share $      (2.71) $        1.11 (344) % $      (1.97) $        2.20 (190) % Return on common shareholders' equity(2)(3) (18.6) % 7.7 % (6.7) % 7.6 % Efficiency ratio(4) 152.9 % 71.0 % 114.3 % 70.8 % Common Equity Tier 1 (CET1) capital ratio(5) 10.4 % 9.3 % 10.4 % 9.3 % Adjusted basis Adjusted net income(1) $        40.5 $        51.7 (22) % $        84.7 $      106.0 (20) % Adjusted diluted earnings per share(2) $        0.90 $        1.16 (22) % $        1.80 $        2.31 (22) % Adjusted return on common shareholders' equity(2)(3) 6.1 % 8.1 % 6.1 % 8.0 % Adjusted efficiency ratio(2) 73.8 % 69.7 % 73.4 % 69.5 % (1) This is a non-GAAP financial measure. For more information, refer to the Non-GAAP Financial and Other Measures below and beginning on page 5 of the Second Quarter 2024 Report to Shareholders, including the MD&A for the period ended April 30, 2024, which pages are incorporated by reference herein. (2) This is a non-GAAP ratio. For more information, refer to the Non-GAAP Financial and Other Measures section below and beginning on page 5 of the Second Quarter 2024 Report to Shareholders, including the Management's Discussion and Analysis (MD&A) for the period ended April 30, 2024, which pages are incorporated by reference herein. The MD&A is available on SEDAR+ at www.sedarplus.ca. (3) Effective November 1, 2023, the Bank retrospectively adopted IFRS 17, Insurance contracts, which required restatement of the Bank's 2023 comparative information and financial measures. Refer to Note 2 in the Condensed Interim Consolidated Financial Statements for further information. (4) This is a supplementary financial measure. For more information, refer to the Non-GAAP Financial below and beginning on page 5 of the Second Quarter 2024 Report to Shareholders, including the MD&A for the period ended April 30, 2024, which pages are incorporated by reference herein. (5) In accordance with the Office of the Superintendent of Financial Institutions' (OSFI) "Capital Adequacy Requirements" guideline. Non-GAAP Financial and Other Measures In addition to financial measures based on generally accepted accounting principles (GAAP), management uses non-GAAP financial measures to assess the Bank's underlying ongoing business performance. Non-GAAP financial measures presented throughout this document are referred to as "adjusted" measures and exclude amounts designated as adjusting items. Adjusting items include the amortization of acquisition-related intangible assets, and certain items of significance that arise from time to time which management believes are not reflective of underlying business performance. Non-GAAP financial measures are not standardized financial measures under the financial reporting framework used to prepare the financial statements of the Bank and might not be comparable to similar financial measures disclosed by other issuers. The Bank believes non-GAAP financial measures are useful to readers in obtaining a better understanding of how management assesses the Bank's performance and in analyzing trends.  The following tables show a reconciliation of the non-GAAP financial measures to their most directly comparable financial measure that is disclosed in the primary financial statements of the Bank. RECONCILIATION OF NON-GAAP FINANCIAL MEASURES — CONSOLIDATED STATEMENT OF INCOME For the three months ended For the six months ended In thousands of dollars (Unaudited) April 302024 January 312024 April 302023 April 302024 April 302023 Non-interest expenses $      386,341 $      197,834 $      182,472 $      584,175 $      366,147 Less: Adjusting items, before income taxes