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Power Corp.'s Q2 profits fall 47 per cent to $527 million

Paul Desmarais Jr., Chairman and Co-Chief Executive Officer of the Power Corporation of Canada, attends their annual shareholder meeting in Toronto on May 12, 2017. THE CANADIAN PRESS/Mark Blinch

MONTREAL — Power Corporation of Canada says it earned $527 million in the second quarter, a 47 per cent decline from the prior year's quarter.

The Montreal-based management and holding company — which holds economic interests in insurance, retirement, wealth management and investment businesses — reported net profit of 78 cents per share, compared with the $994 million or $1.47 per share it earned in the second quarter of 2021.

On an adjusted basis, Power Corp. reported second-quarter net earnings of $584 million or 87 cents per share, compared with $1.02 billion or $1.51 per share in 2021.

Power Corp., which holds a 66.6 per cent interest in Great-West Lifeco, says that company's contribution to its net earnings decreased by 6.5 per cent and contribution to adjusted net earnings was comparable with 2021.

Power Corp. also holds a 62.2 per cent stake in IGM Financial Inc. and says that company's contribution to net earnings decreased by 12.8 per cent.

The company holds a 14.9 per cent interest in Groupe Bruxelles Lambert and says GBL had a negative contribution to earnings of $44 million in the second quarter, including fair value decreases and impairments in its alternative asset portfolio.

This report by The Canadian Press was first published Aug. 5, 2022.

Companies in this story: (TSX:POW)

The Canadian Press

Note to readers: This is a corrected story. A previous version included an incorrect percentage drop from the previous year's second-quarter earnings.