TD wants to get ‘back to winning’

Core Insights - TD Bank is undergoing a significant restructuring to achieve annualized savings of C$2 billion to C$2.5 billion (approximately $1.4 billion to $1.8 billion) as part of a strategic review initiated by new CEO Raymond Chun [3][4] - The bank plans to enhance cost efficiency by shifting transactions to digital channels, optimizing branch operations, and leveraging AI and automation [4][5] - TD aims to improve its adjusted return on equity to 16% by fiscal 2029, with a target of 7% to 10% growth in adjusted earnings per share [6] Cost Management Strategy - The bank is focusing on reducing expenses through automation, cutting third-party spending, and emphasizing digital transactions to achieve the targeted cost savings [5][6] - A workforce reduction of 2% has been implemented as part of the broader restructuring efforts [3] Revenue Growth and Accountability - TD is looking to deepen relationships with existing clients to boost revenue growth and has reinstated medium-term growth targets that were previously shelved [5] - CEO Chun emphasized accountability at all levels within the organization to ensure the success of the restructuring initiatives [5] Future Financial Goals - The bank's efficiency ratio is targeted to decrease from 58% to the mid-50s by fiscal 2029 [6] - The U.S. operations have faced challenges in recent years, but the bank is committed to overcoming these obstacles and returning to a winning position [6]