IGM FINANCIAL REPORTS SECOND QUARTER EARNINGS

Executive Summary

• IGM Financial reported record high second quarter 2025 adjusted net earnings of $252.7 million, a 14.7% increase from the prior year period, driven by strong performance across core operating companies and strategic investments.
• Assets under management and advisement reached an all-time high of $521.1 billion (including strategic investments), up 20.7% year-over-year, with net inflows of $90 million reversing previous outflow trends.
• The company announced a quarterly dividend of 56.25 cents per share and highlighted significant value realization from its fintech ecosystem, including a 7x multiple return on its sale of a majority stake in Conquest Planning.

Key Details

• Financial Performance (Q2 2025):
  • Adjusted Net Earnings: $252.7 million (vs. $220.4 million in Q2 2024; +14.7%).
  • Adjusted Earnings Per Share (EPS): $1.07 (vs. $0.93 in Q2 2024; +15.1%).
  • Net Earnings: $246.7 million (vs. $216.2 million in Q2 2024; +14.1%).
  • Net EPS: $1.04 (vs. $0.91 in Q2 2024).
  • Six-Month Adjusted Net Earnings: $490.5 million (vs. $444.9 million in H1 2024; +10.2%).
• Assets Under Management & Advisement (AUM&A):
  • Consolidated AUM&A: $283.9 billion (up 12.5% YoY).
  • AUM&A including strategic investments: $521.1 billion (up 20.7% YoY; all-time high).
  • Wealth Management AUM&A including strategic investments: $216.8 billion (up 19.6% YoY).
  • Asset Management AUM including strategic investments: $393.4 billion (up 18.8% YoY).
• Flows and Inflows:
  • Total Net Inflows: $90 million (compared to net outflows of $1.1 billion in Q2 2024).
  • IG Wealth Management Net Client Inflows: $225 million (compared to outflows of $173 million in Q2 2024).
  • IG Wealth Management Gross Client Inflows: $3.6 billion (up 1.3% YoY).
  • Mackenzie Investments Investment Fund Net Sales: $187 million (compared to net redemptions of $745 million in Q2 2024).
  • Mackenzie Investments Mutual Fund Gross Sales: $2.1 billion (down 1.8% YoY).
  • Mackenzie ETF AUM: $18.7 billion total; $8.7 billion excluding IGM managed products (up from $6.3 billion YoY).
• Strategic Investments & Other Items:
  • Wealthsimple Investment Value: Increased by $257 million to $1.5 billion (21% fair value increase).
  • Conquest Planning Sale: Sold 75% equity stake for $24.8 million, returning all invested capital with a 7x multiple of invested capital and 54% IRR.
  • ChinaAMC Proportionate Share of Earnings: $29.7 million (vs. $28.3 million in Q2 2024).
  • Lifeco Proportionate Share of Earnings: $21.5 million (vs. $23.6 million in Q2 2024).
• Dividends:
  • Declared dividend of 56.25 cents per share.
  • Payable on October 31, 2025 to shareholders of record on September 26, 2025.

Notable Quotes

• "Our all-time high second quarter adjusted earnings per share of $1.07 reflects strong results across both our core operating companies, IG Wealth Management and Mackenzie Investments, as well as our strategic investments... IGM Financial is well positioned for growth." — James O'Sullivan, President and CEO, IGM Financial Inc.
• "We sold 75% of our equity stake, returning all our invested capital and generating a 7 times multiple of invested capital and an IRR of 54%." — Damon Murchison, President & CEO, IG Wealth Management