Readers are referred to the disclaimer regarding Forward-Looking Statements,
Non-IFRS Financial Measures and Other Financial Measures at the end of this Release.
- Record high first quarter net earnings of
$219.3 million or91 cents per share – up 8.5% from the first quarter of 2021. - Record high first quarter assets under management and advisement of
$268.3 billion , up 8.0% from the first quarter of 2021 and down 3.2% from the prior quarter. - Record high first quarter net inflows of
$2.5 billion , compared to net inflows of$2.3 billion in the first quarter of 2021.
"Our net earnings and earnings per share were the highest first quarter result in IGM's history," said
Net earnings available to common shareholders for the first quarter of 2022 were
Reflects the activities of operating companies that are principally focused on providing financial planning and related services to Canadian households and includes the activities of IG Wealth Management and
Net earnings in the first quarter of 2022 were
Assets under advisement at
IG Wealth Management
Assets under advisement at
Record high quarterly net client inflows were
Record high quarterly gross client inflows were
Reflects the activities of operating companies primarily focused on providing investment management services, and represents the operations of
Net earnings in the first quarter of 2022 were
Total assets under management were
Investment fund net sales of
Mutual fund gross sales of
Retail mutual fund gross sales were
ETF business - ETF assets under management totalled
Represents the key strategic investments made by the Company, including
The Board of Directors has declared a dividend of
___________________________________________________________________________ | |
1 During 2021, institutional clients, which include Mackenzie mutual funds within their investment offerings, made fund allocation changes which resulted in net redemptions of |
Certain statements in this Release, other than statements of historical fact, are forward-looking statements based on certain assumptions and reflect
This information is based upon certain material factors or assumptions that were applied in drawing a conclusion or making a forecast or projection as reflected in the forward-looking statements, including the perception of historical trends, current conditions and expected future developments, as well as other factors that are believed to be appropriate in the circumstances. While the Company considers these assumptions to be reasonable based on information currently available to management, they may prove to be incorrect.
By its nature, this information is subject to inherent risks and uncertainties that may be general or specific and which give rise to the possibility that expectations, forecasts, predictions, projections or conclusions will not prove to be accurate, that assumptions may not be correct and that objectives, strategic goals and priorities will not be achieved.
A variety of material factors, many of which are beyond the Company's and its subsidiaries' control, affect the operations, performance and results of the Company, and its subsidiaries, and their businesses, and could cause actual results to differ materially from current expectations of estimated or anticipated events or results. These factors include, but are not limited to: the impact or unanticipated impact of general economic, political and market factors in
The reader is cautioned that the foregoing list is not exhaustive of the factors that may affect any of the Company's forward-looking statements. The reader is also cautioned to consider these and other factors, uncertainties and potential events carefully and not place undue reliance on forward-looking statements.
Other than as specifically required by applicable Canadian law, the Company undertakes no obligation to update any forward-looking statements to reflect events or circumstances after the date on which such statements are made, or to reflect the occurrence of unanticipated events, whether as a result of new information, future events or results, or otherwise.
Additional information about the risks and uncertainties of the Company's business and material factors or assumptions on which information contained in forward-looking statements is based is provided in its disclosure materials filed with the securities regulatory authorities in
This report contains Non-IFRS financial measures and non-IFRS ratios that do not have standard meanings prescribed by IFRS and may not be directly comparable to similar measures used by other companies. These measures and ratios are used to provide management, investors and investment analysts with additional measures to assess earnings performance.
Non-IFRS financial measures include, but are not limited to, "Adjusted net earnings available to common shareholders", "adjusted net earnings", "adjusted earnings before income taxes", "adjusted earnings before interest and taxes" (Adjusted EBIT), "earnings before interest, taxes, depreciation and amortization before sales commissions" (EBITDA before sales commissions), and "earnings before interest, taxes, depreciation and amortization after sales commissions" (EBITDA after sales commissions).These measures exclude other items which are items of a non-recurring nature, or that could make the period-over-period comparison of results from operations less meaningful. EBITDA before sales commissions excludes all sales commissions. EBITDA after sales commissions includes all sales commissions and highlights aggregate cash flows.
Non-IFRS ratios include the following:
Ratio | Numerator | Denominator |
Adjusted earnings per share (Adjusted EPS) | Adjusted net earnings available to common shareholders | Average number of outstanding common shares on a diluted basis |
Return (Adjusted return) on equity (ROE, Adjusted ROE) | Net earnings (Adjusted net earnings) available to common shareholders | Average shareholders' equity excluding non-controlling interest |
ROE (Adjusted ROE) excluding the impact of fair value through other comprehensive income investments | Net earnings (Adjusted net earnings) available to common shareholders | Average shareholders' equity excluding non-controlling interest and the impact of fair value through other comprehensive income investments net of tax |
Refer to the appropriate reconciliations of non-IFRS financial measures, including as components of non-IFRS ratios, to reported results in accordance with IFRS included in
This report also contains other financial measures which include:
- Assets under Management and Advisement (AUM&A) represents the consolidated AUM and AUA of
IGM Financial . In the Wealth Management segment, AUM is a component part of AUA. All instances where the asset management segment is providing investment management services or distributing its products through the Wealth Management segment are eliminated in our reporting such that there is no double-counting of the same client savings held atIGM Financial's operating companies. - Assets under Advisement (AUA) are the key driver of the Wealth Management segment. AUA are savings and investment products held within client accounts of our Wealth Management segment operating companies.
- Assets under Management (AUM) are the key driver of the Asset Management segment. AUM are a secondary driver of revenues and expenses within the Wealth Management segment in relation to its investment management activities. AUM are client assets where we provide investment management services, and include investment funds where we are the fund manager, investment advisory mandates to institutions, and other client accounts where we have discretionary portfolio management responsibilities.
The most recent Consolidated Financial Statements and Management's Discussion and Analysis (MD&A) of operating results are available on
Consolidated Statements of Earnings | |||
(unaudited) | Three months ended | ||
(in thousands of Canadian dollars, except per share amounts) | 2022 | 2021 | |
Revenues | |||
Wealth management | $ 641,205 | $ 603,451 | |
Asset management | 255,830 | 232,990 | |
Dealer compensation expense | (86,191) | (80,709) | |
Net asset management | 169,639 | 152,281 | |
Net investment income and other | (2,018) | 3,134 | |
Proportionate share of associates' earnings | 48,400 | 41,589 | |
857,226 | 800,455 | ||
Expenses | |||
Advisory and business development | 309,108 | 284,026 | |
Operations and support | 215,428 | 206,539 | |
Sub-advisory | 20,638 | 19,729 | |
Interest | 28,133 | 28,120 | |
573,307 | 538,414 | ||
Earnings before income taxes | 283,919 | 262,041 | |
Income taxes | 63,754 | 59,671 | |
Net earnings | 220,165 | 202,370 | |
Non-controlling interest | (849) | (190) | |
Net earnings available to common shareholders | $ 219,316 | $ 202,180 | |
Earnings per share (in dollars) | |||
- Basic | $ 0.91 | $ 0.85 | |
- Diluted | $ 0.91 | $ 0.85 |
Financial Highlights | |||||||||||
As at and for the three months ended | |||||||||||
(unaudited) | 2022 | 2021 | Change | ||||||||
Net earnings available to common shareholders ($ millions) | $ 219.3 | $ 202.2 | 8.5 | % | |||||||
Diluted earnings per share | 0.91 | 0.85 | 7.1 | ||||||||
Return on equity | 13.7% | 14.8% | |||||||||
Dividends per share | 0.5625 | 0.5625 | - | ||||||||
Total assets under management and advisement (1) ($ millions) | $ 268,328 | 8.0 | % | ||||||||
Total assets under management (1) | 237,119 | 221,577 | 7.0 | ||||||||
Wealth Management | |||||||||||
Assets under advisement (1) | 148,005 | 136,876 | 8.1 | ||||||||
IG Wealth Management | |||||||||||
Assets under management (2) | 107,187 | 100,745 | |||||||||
Other assets under advisement | 9,094 | 6,250 | |||||||||
Assets under advisement | 116,281 | 106,995 | 8.7 | ||||||||
| |||||||||||
Assets under management (2) | 5,201 | 5,308 | |||||||||
Other assets under advisement | 26,533 | 24,583 | |||||||||
Assets under advisement | 31,734 | 29,891 | 6.2 | ||||||||
Asset Management ( | |||||||||||
Mutual funds | 60,291 | 55,310 | |||||||||
ETFs (3) | 5,848 | 4,174 | |||||||||
Investment funds | 66,139 | 59,484 | |||||||||
Institutional SMA | 7,090 | 7,272 | |||||||||
Sub-advisory to Canada Life | 51,502 | 48,768 | |||||||||
Total excluding subadvisory to Wealth Management | 124,731 | 115,524 | |||||||||
Sub-advisory to Wealth Management | 80,814 | 76,041 | |||||||||
Total assets under management | 205,545 | 191,565 | 7.3 | ||||||||
Net Flows | Asset | ||||||||||
($ millions) | Wealth Management | Management (4) | |||||||||
IG Wealth Management | Mackenzie Investments | Intersegment | Total (1) | ||||||||
For the three months ended | |||||||||||
Mutual fund net sales (2) | $ 1,264 | $ (62) | $ 582 | $ - | $ 1,784 | ||||||
ETF net creations | - | - | 718 | - | 718 | ||||||
Investment fund net sales | 1,264 | (62) | 1,300 | - | 2,502 | ||||||
Institutional SMA net sales | - | - | (427) | - | (427) | ||||||
Managed asset net sales | 1,264 | (62) | 873 | - | 2,075 | ||||||
Other dealer net flows | 202 | 222 | - | (33) | 391 | ||||||
Total net flows | 1,466 | 160 | 873 | (33) | 2,466 |
(1) | Consolidated results eliminate double counting where business is reflected within multiple segments. | |||||||||||||||
(2) | Includes separately managed accounts. | |||||||||||||||
(3) | Total ETFs in the Asset Management section including ETFs held within IGM investment funds were | |||||||||||||||
(4) | Asset Management flows activity excludes sub-advisory to Wealth Management. |
SOURCE
© Canada Newswire, source