Readers are referred to the disclaimer regarding Forward-Looking Statements,
Non-IFRS Financial Measures and Additional IFRS Measures at the end of this Release.
IGM HIGHLIGHTS
- Record high net earnings of
$270.8 million or$1.13 per share – up 42% from the third quarter of 2020 and up 14% from the second quarter of 2021. Net earnings were up 26% from adjusted net earnings, excluding other items,1 of$214.2 million in 2020. - Record high net inflows of
$1.9 billion , compared to net inflows of$408 million in the third quarter of 2020. - Record high third quarter investment fund net sales of
$1.7 billion , compared to$610 million in the third quarter of 2020. - Record high quarter-end assets under management and advisement of
$265.2 billion , up 1.2% in the quarter and 35.0% fromSeptember 30, 2020 (including$30.3 billion in net business acquisitions in 2020).
"We continue to see significant momentum across our businesses driving strong financial results for our shareholders," said
Net earnings available to common shareholders for the nine months ended
WEALTH MANAGEMENT
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 third quarter of 2021 was
Record high assets under advisement at
IG Wealth Management
Record quarter-end high assets under advisement at
Highest third quarter net client inflows of
Record high third quarter gross client inflows of
ASSET MANAGEMENT (
Reflects the activities of operating companies primarily focused on providing investment management services, and represents the operations of
Net earnings in the third quarter of 2021 was
Total assets under management were at an all-time quarter-end high of
Record high third quarter investment fund net sales in the quarter of $1.1 billion, compared to
Record high third quarter retail mutual fund gross sales were
ETF business - ETF assets under management totalled
STRATEGIC INVESTMENTS AND OTHER
Represents the key strategic investments made by the Company, including
DIVIDENDS
The Board of Directors has declared a dividend of 56.25 cents per share on the Company's common shares which is payable on
______________________________________________________________________
1 | Other items for the three and nine months ended |
| |
2 | During the three months ended |
During the nine months ended | |
3 | During the nine months ended |
FORWARD-LOOKING STATEMENTS
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
NON-IFRS FINANCIAL MEASURES AND ADDITIONAL IFRS MEASURES
This release contains non-IFRS financial measures and additional IFRS measures. Net earnings available to common shareholders, which is an additional measure in accordance with International Financial Reporting Standards (IFRS), may be subdivided into two components consisting of:
- Adjusted net earnings available to common shareholders; and
- Other items, which include the after-tax impact of any item that management considers to be of a non-recurring nature or that could make the period-over-period comparison of results from operations less meaningful.
Terms by which non-IFRS financial measures are identified include but are not limited to "adjusted net earnings available to common shareholders", "adjusted earnings per share", "adjusted return on average common equity" and other similar expressions used to provide management and investors with additional measures to assess earnings performance. However, non-IFRS financial measures do not have standard meanings prescribed by IFRS and are not directly comparable to similar measures used by other companies. Please refer to the attached Financial Highlights for the appropriate reconciliations of these non-IFRS financial measures to measures prescribed by IFRS.
Terms by which additional IFRS measures are identified include "earnings before income taxes" and "net earnings available to common shareholders". Additional IFRS measures are used to provide management and investors with additional measures to assess earnings performance. These measures are considered additional IFRS measures as they are in addition to the minimum line items required by IFRS and are relevant to an understanding of the entity's financial performance.
THIRD QUARTER WEBCAST AND CONFERENCE CALL
The most recent Consolidated Financial Statements and Management's Discussion and Analysis (MD&A) of operating results are available on
ABOUT
Consolidated Statements of Earnings | |||||||||||
(unaudited) | Three months ended | Nine months ended | |||||||||
(in thousands of Canadian dollars, | |||||||||||
except per share amounts) | 2021 | 2020 | 2021 | 2020 | |||||||
Revenues | |||||||||||
Wealth management | $ | 655,052 | $ | 571,640 | $ | 1,886,141 | $ | 1,665,439 | |||
Asset management | 263,436 | 207,412 | 744,738 | 596,611 | |||||||
Dealer compensation expense | (85,913) | (71,366) | (249,323) | (208,843) | |||||||
Net asset management | 177,523 | 136,046 | 495,415 | 387,768 | |||||||
Net investment income and other | 2,500 | 39,501 | 8,109 | 45,104 | |||||||
Proportionate share of associates' earnings | 55,903 | 43,434 | 145,645 | 106,858 | |||||||
890,978 | 790,621 | 2,535,310 | 2,205,169 | ||||||||
Expenses | |||||||||||
Advisory and business development | 293,981 | 252,529 | 869,131 | 757,062 | |||||||
Operations and support | 197,641 | 256,361 | 600,865 | 636,885 | |||||||
Sub-advisory | 20,757 | 18,518 | 60,958 | 52,919 | |||||||
Interest | 28,636 | 27,911 | 85,252 | 82,688 | |||||||
541,015 | 555,319 | 1,616,206 | 1,529,554 | ||||||||
Earnings before income taxes | 349,963 | 235,302 | 919,104 | 675,615 | |||||||
Income taxes | 78,382 | 44,389 | 207,407 | 140,284 | |||||||
Net earnings | 271,581 | 190,913 | 711,697 | 535,331 | |||||||
Non-controlling interest | (733) | - | (1,280) | - | |||||||
Net earnings available to common shareholders | $ | 270,848 | $ | 190,913 | $ | 710,417 | $ | 535,331 | |||
Earnings per share (in dollars) | |||||||||||
- Basic | $ | 1.13 | $ | 0.80 | $ | 2.98 | $ | 2.25 | |||
- Diluted | $ | 1.13 | $ | 0.80 | $ | 2.97 | $ | 2.25 |
Financial Highlights | |||||||||||||
For the three months | As at and for the nine months | ||||||||||||
(unaudited) | 2021 | 2020 | Change | 2021 | 2020 | Change | |||||||
Net earnings available to | |||||||||||||
common shareholders ($ millions) | |||||||||||||
Net Earnings | $ | 270.8 | $ | 190.9 | 41.9% | $ | 710.4 | $ | 535.3 | 32.7% | |||
Adjusted Net Earnings (1) | 270.8 | 214.2 | 26.4 | 710.4 | 558.6 | 27.2 | |||||||
Diluted earnings per share | |||||||||||||
Net Earnings | 1.13 | 0.80 | 41.3 | 2.97 | 2.25 | 32.0 | |||||||
Adjusted Net Earnings (1) | 1.13 | 0.90 | 25.6 | 2.97 | 2.34 | 26.9 | |||||||
Return on equity | |||||||||||||
Net Earnings | 16.3% | 15.3% | |||||||||||
Adjusted Net Earnings (1) | 16.3% | 15.9% | |||||||||||
Dividends per share | 0.5625 | 0.5625 | - | 1.6875 | 1.6875 | - | |||||||
Total assets under management and advisement (2) ($ millions) | $ | 265,214 | $ | 196,420 | 35.0% | ||||||||
Total assets under management (2) | 236,152 | 172,613 | 36.8 | ||||||||||
Wealth Management | |||||||||||||
Assets under advisement (2) | 145,462 | 125,015 | 16.4 | ||||||||||
IG Wealth Management | |||||||||||||
Assets under management (3) | 106,551 | 92,874 | |||||||||||
Other assets under advisement | 7,407 | 4,664 | |||||||||||
Assets under advisement | 113,958 | 97,538 | 16.8 | ||||||||||
Assets under management (3) | 5,503 | 5,139 | |||||||||||
Other assets under advisement | 26,012 | 22,345 | |||||||||||
Assets under advisement | 31,515 | 27,484 | 14.7 | ||||||||||
Asset Management ( | |||||||||||||
Mutual funds (4) | 62,680 | 63,599 | |||||||||||
ETFs (5) | 5,068 | 3,330 | |||||||||||
Investment funds | 67,748 | 66,929 | |||||||||||
Institutional SMA (4) | 56,350 | 7,671 | |||||||||||
Total excluding subadvisory to Wealth Management | 124,098 | 74,600 | |||||||||||
Sub-advisory to Wealth Management (4) | 79,242 | 71,388 | |||||||||||
Total assets under management | 203,340 | 145,988 | 39.3 | ||||||||||
. | |||||||||||||
Net Flows | |||||||||||||
($ millions) |
Wealth Management | Asset Management(6) | |||||||||||
IG Wealth | Investment | Mackenzie | Intersegment | Total (2) | |||||||||
For the three months ended | |||||||||||||
Mutual fund net sales (3) | $ | 576 | $ | 10 | $ | 829 | $ | - | $ | 1,415 | |||
ETF net creations | - | - | 320 | - | 320 | ||||||||
Investment fund net sales | 576 | 10 | 1,149 | - | 1,735 | ||||||||
Institutional SMA net sales | - | - | (367) | - | (367) | ||||||||
Managed asset net sales | 576 | 10 | 782 | - | 1,368 | ||||||||
Other dealer net flows | 438 | 248 | - | (116) | 570 | ||||||||
Total net flows | 1,014 | 258 | 782 | (116) | 1,938 | ||||||||
For the nine months ended | |||||||||||||
Mutual fund net sales (3) | $ | 1,356 | $ | (159) | $ | 3,393 | $ | - | $ | 4,590 | |||
ETF net creations | - | - | 1,287 | - | 1,287 | ||||||||
Investment fund net sales | 1,356 | (159) | 4,680 | - | 5,877 | ||||||||
Institutional SMA net sales | - | - | (539) | - | (539) | ||||||||
Managed asset net sales | 1,356 | (159) | 4,141 | - | 5,338 | ||||||||
Other dealer net flows | 1,343 | 524 | - | (550) | 1,317 | ||||||||
Total net flows | 2,699 | 365 | 4,141 | (550) | 6,655 | ||||||||
(1) | Non-IFRS Financial Measures: | ||||||||||||||||
Adjusted net earnings for the three and nine months ended | |||||||||||||||||
| |||||||||||||||||
(2) | Consolidated results eliminate double counting where business is reflected within multiple segments. | ||||||||||||||||
(3) | Includes separately managed accounts. | ||||||||||||||||
(4) | The change in mutual fund assets under management includes a net decrease of | ||||||||||||||||
(5) | Total ETFs in the Asset Management section including ETFs held within IGM investment funds were | ||||||||||||||||
(6) | Asset Management flows activity excludes sub-advisory to Wealth Management. |
SOURCE
© Canada Newswire, source