Edmonton—ATB Financial’s third-quarter (Q3) results for the period ending December 31, 2021 demonstrated steady momentum despite the continuing challenges of COVID-19.
The Numbers
For Q3, ATB Financial reported net income of $149 million (a 5% increase compared to the same period last year), a total of $6 billion in Albertans’ new and renewed loans (up 30% from last year), and a 3% increase in net retail and small business clients. Underlying ATB Financial’s performance was a 2% increase in total revenue over last quarter, the writeoff of a non-strategic technology asset of $37 million, and a $74 million recovery of the provision for loan losses. See ATB Financial’s full third-quarter results here.
What Does It All Mean?
Simply put, ATB Financial’s Q3 results indicate that despite the challenges faced over the last two years, Alberta communities and businesses are adapting and finding opportunities in this new economy.
“We are seeing the fresh shoots of recovery sprouting across the Alberta economy,” says Curtis Stange, President & CEO, ATB Financial. “While we are not out of COVID yet, ATB’s strong financial results provide an important bellwether for the financial health of Albertans and Alberta businesses.”
Through the Government of Canada’s Highly Affected Sectors Credit Availability Program (HASCAP), ATB Financial has supported nearly 800 businesses with $200 million of assistance, including $115 million for small businesses to help maintain their operations amidst COVID-19.
In Q3, ATB Investment Management Inc., part of ATB Wealth, won three awards for excellence in fund management. ATB Wealth also saw a 3.5% increase in its Assets Under Administration (AUA), setting a record high, year-to-date total of $27 billion.
Also in Q3, ATB Financial won the 2021 Corporate Leader Award from the Responsible AI Institute, a non-profit dedicated to promoting responsible and ethical adoption of artificial intelligence (AI).
“Our clients rely on us to keep their data safe, accurate and accessible,” says Stange. “They trust us with some of their most valuable information and depend on us to maximize its value while providing expert advice—this is a responsibility we take very seriously.”
Leveraging technology and innovation capabilities, ATB Financial identified the needs of its clients based on their transaction habits and through timely, personalized advice, recommended the best products to suit their needs. ATB Financial is now enabling AI-assisted conversations with over 20,000 clients per month, in addition to the ongoing team member assisted client service it has always offered.
Other Q3 Highlights
Technology & Innovation:
- Invited 245,000 clients to pilot the new ATB personal banking platform, which offers faster, simpler ways of managing everyday banking.
- ATB Ventures introduced Humans of 2030+, a unique tool to help organizations anticipate client needs and support them in building trusted products.
- ATB Ventures advanced its digital identity product suite with the launch of Proof.
- As ATB partnered with best-in-class digital solutions providers, it took a close look at reclassifying certain software investments in Q3 leading to the write off of a portion of those legacy systems, a non-strategic technology asset, to focus development efforts on its main digital properties.
Business Growth:
- Hosted ATB’s 10th Annual Institutional Investors Conference for North America’s top corporations and investors which attracted close to 700 virtual attendees.
- In partnership with MNP, ATB Financial released a first-of-its-kind Indigenous Economic Report which is helping advance the conversation of the critical role Indigenous communities play in Alberta.
- Celebrated Small Business Week in Alberta by providing advice to entrepreneurs on how to hire talent and grow their business.
- ATB Capital Markets acted as the placement agent and advisor to Indigena Capital who launched a $250 million Indigenous Equity Partnership Fund.
The Greater Good:
- Sponsored ~35,000 admissions to the National Music Centre from July to December.
- Partnered with The Mental Health Foundation to host the Teddy for a Toonie Campaign which raised more than $185,000 in support of youth mental health.
- Marked the five year anniversary of ATB’s Four Directions by partnering with Boyle Street Community Services to donate lunch and winter wear to community members.
- Supported the province’s first Mobile Vaccination Clinic which has successfully administered more than 4,500 vaccines to date.
About ATB Financial
With $56.6 billion in assets, ATB Financial is an Alberta-built financial institution that is a catalyst for economic growth in our province. We got started in 1938 to help Albertans through tough economic times. Today, ATB Financial’s 5,000 team members love to deliver exceptional experiences to over 800,000 clients through our many branches and agencies, our 24-hour Client Care Centre, four entrepreneur centres, and our digital banking options.
