Power Corporation Reports Third Quarter 2025 Financial Results

Executive Summary

• Power Corporation reported a strong Q3 2025 performance, with net earnings from continuing operations of $703 M ($1.10 per share) versus $371 M ($0.58) in Q3 2024.
• Adjusted net earnings rose to $863 M ($1.35 per share), a 24% increase year‑over‑year.
• The company completed an offering of 8 M Series H preferred shares at $25 each, raising $200 M, and continued its normal‑course issuer bid in Great‑West Lifeco.

Key Details

• Financial Highlights – Power Corporation
• Net earnings (continuing) Q3 2025: $703 M ($1.10/share) vs. $371 M ($0.58) in Q3 2024.
• Adjusted net earnings (non‑IFRS) Q3 2025: $863 M ($1.35/share) vs. $693 M ($1.07) in Q3 2024.
• Adjusted net asset value per share: $72.24, up 19.5% from $60.44 at year‑end 2024.
• Book value per participating share: $36.74, up 3.3% from $35.56.
• Offering of 8,000,000 Series H 5.75% non‑cumulative first preferred shares at $25.00 each; gross proceeds $200 M (closed Sept 22 2025).

• Participation in Great‑West Lifeco’s NCIB on a pro‑rata basis; repurchased 7.4 M subordinate voting shares for $382 M YTD.

• Segment Performance

• Great‑West Lifeco (Lifeco)
  • Q3 net earnings: $1,158 M, up from $859 M YoY.
  • Adjusted net earnings: $1,225 M, +15% YoY; driven by Retirement, Wealth & Group Benefits.
  • Announced intent to purchase >$1.5 B of common shares under its NCIB in 2025.
• IGM Financial
  • Q3 net earnings: $298.1 M, up from $239.2 M YoY.
  • Adjusted net earnings: $301.2 M, record high.
  • AUM&A at Sep‑30‑2025: $302.6 B (+6.6% QoQ, +14.2% YoY). Net inflows $2.4 B vs. outflows $272 M in prior year.

• Groupe Bruxelles Lambert (GBL)

  • Q3 net asset value: €13.96 B (€104.83 per share), down from €15.68 B YoY.
  • Completed €259 M of share buybacks; announced €1.7 B monetization of GBL Capital portfolio, expected cash proceeds €1.5 B.

• Wealthsimple

• Assets under administration surpassed $100 B at Sep‑30‑2025 (three years ahead of target).
• Financing round up to $750 M (primary $550 M) on Oct 27 2025; Power Corp and IGM each invested $100 M.

• Valuation of Power group’s interest rose to $3.9 B, a 47% increase YoY.

• Sagard & Power Sustainable

• Strategic partnership with Baird: Baird acquired 5% minority stake in Sagard Holdings Management Inc.
• Combined middle‑market private equity platform created with Unigestion, managing >$23 B AUM.

• Acquired remaining interest of Performance Equity Management to integrate private‑equity strategy.

• Nine‑Month Summary (Jan–Sep 2025)

• Net earnings from continuing operations: $2,164 M ($3.37/share), up from $1,859 M ($2.87) YoY.

• Adjusted net earnings: $2,533 M ($3.95/share), up from $2,142 M ($3.30).

• Dividends

• Board declared quarterly dividend of 61.25 cents per participating share, payable Jan 30 2026 (record date Dec 31 2025).

• Additional dividends on non‑participating preferred series ranging from 31.25¢ to 45.291¢ per share.

• Other Notable Items

• Sale of wind assets from Potentia Renewables (425 MW) generated cash proceeds $262 M for Power Sustainable.
• Adjustments excluded from adjusted earnings totaled $(160 M) for Q3, primarily due to Lifeco, GBL and Power Sustainable impacts.

Notable Quotes

• “Our results reflect the continued strength of our diversified portfolio and disciplined capital management, delivering meaningful growth for shareholders,” – Stéphane Lemay, Vice‑President, General Counsel & Secretary, Power Corporation.