Tuesday, August 27, 2013
Dividend Increase : Bank of Nova Scotia
This week all the 5 major banks report earnings. Today Bank of Nova Scotia earnings cam in at 1.77 billion profit. This net income is lower than the same period of last year, but there was a large profit in 2012 from the sale in Toronto of the their headquarters. If you take away this gain from the sale of their headquarters, the profit in the same quarter last year is approximately 1.44 billion.
The Bank of Nova Scotia (BNS) has announced a quarterly dividend increase of 0.02 a share. This equates to a raise of 3.33 percent and is their second dividend increase this year. The total dividend increase in 2013 is 8.77%. It is difficult to get raises like that year over year from an employer.
I currently own less than 9 shares, buy these shares are enrolled in a DRIP program directly through the transfer agents. The allows my shares to compound at a greater rate. So over time, dividend income will grow at quicker pace
It will be small now, but will grow faster and faster as the years go by.
DISCLOSURE: Long BNS