CI Financial Reports Widened Loss in Q4 of 2023
In the last quarter of 2023, CI Financial experienced a widened loss due to increased expenses. However, the Canadian asset and wealth manager surpassed revenue expectations and announced a new share-buyback program.
Financial Figures
- Net loss expanded to 63.2 million Canadian dollars ($46.9 million) in Q4.
- Revenue for the quarter increased by 15% to C$715.6 million, exceeding analyst predictions.
- Expenses surged by 27% to C$753.7 million.
- Adjusted earnings per share were C$0.81, surpassing the mean estimate of C$0.79.
Revenue Breakdown
- Adjusted revenue slightly declined to C$666.7 million due to higher revenue from the Canada wealth-management segment offset by lower asset-management revenue.
Share Buyback Program
- Despite the loss, CI Financial plans to repurchase shares to address the share price to company value disconnect.
- The company completed a buyback of approximately C$100 million in shares and aims to conduct a new substantial issuer bid repurchasing up to C$85 million in shares.