{"id":58913,"date":"2022-06-22T12:08:35","date_gmt":"2022-06-22T12:08:35","guid":{"rendered":"https:\/\/pr.asianetpakistan.com\/?p=93719"},"modified":"2022-06-22T12:08:35","modified_gmt":"2022-06-22T12:08:35","slug":"agf-management-limited-reports-second-quarter-2022-financial-results","status":"publish","type":"post","link":"https:\/\/malaysiantribune.com\/agf-management-limited-reports-second-quarter-2022-financial-results\/","title":{"rendered":"AGF Management Limited Reports Second Quarter 2022 Financial Results"},"content":{"rendered":"
\n
TORONTO, June 22, 2022 (GLOBE NEWSWIRE) —<\/p>\n
\n
Reported diluted earnings per share of $0.14<\/em><\/li>\n
Mutual fund net sales of $132 million for the quarter <\/em><\/li>\n
Announced quarterly dividend of $0.10 per share<\/em><\/li>\n<\/ul>\n
AGF Management Limited (AGF or the Company) (TSX: AGF.B) today announced financial results for the second quarter ended May 31, 2022.<\/p>\n
AGF reported total assets under management and fee-earning assets1<\/sup> of\u00a0$40.3 billion\u00a0compared to\u00a0$42.0 billion\u00a0as at February 28, 2022 and $40.8 billion as at May 31, 2021.<\/p>\n
\u201cThis quarter marked AGF\u2019s 65th anniversary, a testament to our disciplined investment approach, our unwavering commitment to our clients and our history of innovation,\u201d said Kevin McCreadie, Chief Executive Officer and Chief Investment Officer, AGF. \u201cWe are pleased to report our seventh consecutive quarter of positive net mutual fund sales and continued strong investment performance, outperforming our one-year and three-year targets in an environment marked by significant market volatility, demonstrating our ability to navigate regulatory change and further diversify our investments.\u201d<\/p>\n
AGF\u2019s mutual fund gross sales were $818 million for the quarter compared to $1,060 million in the comparative period, while net sales were $132 million compared to $408 million in the comparative period. AGF\u2019s sales have continued to outpace the industry. During the quarter the industry2<\/sup> reported net redemptions, while AGF retail mutual funds3<\/sup>\u00a0remained in net sales.<\/p>\n
\u201cThis quarter we struck new relationships with key platforms and further diversified our distribution strategy to meet the unique needs of our clients in different markets,\u201d said Judy Goldring, President and Head of Global Distribution, AGF. \u201cAnd we continue to see the results of this approach reporting another quarter of net positive mutual fund sales.\u201d<\/p>\n
Key Business Highlights: <\/strong><\/p>\n
\n
On April 18 AGF marked its 65th anniversary. The firm was founded in 1957 when C. Warren Goldring and Allan Manford had the innovative idea to pool the funds of Canadian investors to allow greater access to the U.S. equity market. Their fund \u2013 named the American Growth Fund \u2013 became the very first U.S. equity fund for Canadian investors, and its initials, AGF, were adopted as the firm\u2019s name.<\/li>\n
In honour of our 65th anniversary and to mark Earth Week, AGF announced a partnership with Trees for Life to plant trees at the Claireville Conservation Area in Brampton, ON. There will be an opportunity for employees to participate in the planting onsite, building on AGF\u2019s commitment to supporting environmental initiatives.<\/li>\n
Toronto-based employees moved into AGF\u2019s new head office at CIBC SQUARE. AGF is one of the first tenants in this iconic next-generation building, which has achieved WELL Health-Safety Rating and WiredScore Platinum accreditation, and is expected to attain LEED\u00ae Platinum Core & Shell certification and WELL Platinum Certification, making it the first triple-platinum building in Toronto.<\/li>\n
At the same time, employees across the organization officially transitioned to a hybrid work environment that supports work-life balance while encouraging greater connection, communication, and heightened collaboration.<\/li>\n
AGF recently finalized an agreement with SMArtX Advisory Solutions LLC and had its separately managed account (SMA) models approved to be added to their platform as the firm continues to provide U.S. clients access to in-demand SMA strategies as part of an ongoing effort to expand both its offering and client base in the U.S.<\/li>\n
At the annual Wealth Professional Awards, AGF was named a finalist in the following categories: Employer of Choice, Alternative Investment Solutions Provider of the Year and Mutual Fund Provider of the Year.<\/li>\n
The firm remains active under its Normal Course Issuer Bid (NCIB). During the quarter, AGF repurchased 692,634 AGF.B shares for cancellation.<\/li>\n
On June 21, 2022, AGF\u2019s Board of Directors approved a quarterly dividend of $0.10 for shareholders of record on July 8, 2022.<\/li>\n<\/ul>\n
Financial Highlights: <\/strong><\/p>\n
\n
Management, advisory, administration fees and deferred sales charges were $113.1 million for the three months ended May 31, 2022, compared to $108.6 million in 2021. The increase in revenue is attributable to a 5.3% increase in average mutual fund assets under management.<\/li>\n
Selling, general and administrative costs were $47.3 million for the three months ended May 31, 2022, compared to $47.1 million in 2021. Excluding severance of $0.2 million incurred in the quarter, SG&A of $47.1 million remained flat compared to the prior year period.<\/li>\n
EBITDA before commissions for the three months ended May 31, 2022 was $35.4 million, compared to $28.2 million in the prior year comparative period. <\/strong><\/li>\n
Effective June 1, 2022, the ban on the payment of upfront sales commissions, including deferred sales charge options, took effect. During the three and six months ended May 31, 2022, AGF paid commissions of $17.8 million and $37.1 million, respectively.<\/li>\n
Net income for the three months ended May 31, 2022 was $10.1 million ($0.14 diluted EPS), compared to $5.0 million ($0.07\u00a0diluted EPS) in the prior year comparative period. Diluted EPS in the quarter of $0.14 reflects growth in top line revenue.<\/li>\n<\/ul>\n
\n
\n\n
\n
<\/td>\n<\/tr>\n
\n
<\/td>\n
Three months ended<\/strong><\/td>\n
Six months ended<\/strong><\/td>\n<\/tr>\n
\n
<\/td>\n
\u00a0<\/strong><\/td>\n
May 31,<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
February 28,<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
May 31,<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
May 31,<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
May 31,<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n<\/tr>\n
\n
(in millions of Canadian dollars, except per share data)<\/td>\n
\u00a0<\/strong><\/td>\n
2022<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
2022<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
2021<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
2022<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
2021<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n<\/tr>\n
\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n<\/tr>\n
\n
Income<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n<\/tr>\n
\n
Management, advisory, administration fees<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n<\/tr>\n
\n
and deferred sales charges<\/td>\n
$<\/td>\n
113.1<\/td>\n
<\/td>\n
$<\/td>\n
114.1<\/td>\n
<\/td>\n
$<\/td>\n
108.6<\/td>\n
<\/td>\n
$<\/td>\n
227.2<\/td>\n
<\/td>\n
$<\/td>\n
211.5<\/td>\n
<\/td>\n<\/tr>\n
\n
Share of profit (loss) of joint ventures<\/td>\n
<\/td>\n
(0.2)<\/td>\n
<\/td>\n
<\/td>\n
(0.6)<\/td>\n
<\/td>\n
<\/td>\n
0.1<\/td>\n
<\/td>\n
<\/td>\n
(0.8)<\/td>\n
<\/td>\n
<\/td>\n
0.9<\/td>\n
<\/td>\n<\/tr>\n
\n
Other income from fee-earning arrangements<\/td>\n
<\/td>\n
0.7<\/td>\n
<\/td>\n
<\/td>\n
0.8<\/td>\n
<\/td>\n
<\/td>\n
0.4<\/td>\n
<\/td>\n
<\/td>\n
1.5<\/td>\n
<\/td>\n
<\/td>\n
0.4<\/td>\n
<\/td>\n<\/tr>\n
\n
Fair value adjustments and other income<\/td>\n
<\/td>\n
3.9<\/td>\n
<\/td>\n
<\/td>\n
10.6<\/td>\n
<\/td>\n
<\/td>\n
0.4<\/td>\n
<\/td>\n
<\/td>\n
14.5<\/td>\n
<\/td>\n
<\/td>\n
3.9<\/td>\n
<\/td>\n<\/tr>\n
\n
Total Income<\/td>\n
$<\/td>\n
117.5<\/td>\n
<\/td>\n
$<\/td>\n
124.9<\/td>\n
<\/td>\n
$<\/td>\n
109.5<\/td>\n
<\/td>\n
$<\/td>\n
242.4<\/td>\n
<\/td>\n
$<\/td>\n
216.7<\/td>\n
<\/td>\n<\/tr>\n
\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n<\/tr>\n
\n
Selling, general and administrative<\/td>\n
<\/td>\n
47.3<\/td>\n
<\/td>\n
<\/td>\n
49.3<\/td>\n
<\/td>\n
<\/td>\n
47.1<\/td>\n
<\/td>\n
<\/td>\n
96.6<\/td>\n
<\/td>\n
<\/td>\n
95.1<\/td>\n
<\/td>\n<\/tr>\n
\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n<\/tr>\n
\n
Deferred selling commissions<\/td>\n
<\/td>\n
17.8<\/td>\n
<\/td>\n
<\/td>\n
19.3<\/td>\n
<\/td>\n
<\/td>\n
17.7<\/td>\n
<\/td>\n
<\/td>\n
37.1<\/td>\n
<\/td>\n
<\/td>\n
33.3<\/td>\n
<\/td>\n<\/tr>\n
\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n<\/tr>\n
\n
EBITDA before commissions1<\/sup><\/td>\n
<\/td>\n
35.4<\/td>\n
<\/td>\n
<\/td>\n
40.0<\/td>\n
<\/td>\n
<\/td>\n
28.2<\/td>\n
<\/td>\n
<\/td>\n
75.4<\/td>\n
<\/td>\n
<\/td>\n
54.7<\/td>\n
<\/td>\n<\/tr>\n
\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n<\/tr>\n
\n
EBITDA<\/td>\n
<\/td>\n
17.6<\/td>\n
<\/td>\n
<\/td>\n
20.7<\/td>\n
<\/td>\n
<\/td>\n
10.5<\/td>\n
<\/td>\n
<\/td>\n
38.3<\/td>\n
<\/td>\n
<\/td>\n
21.4<\/td>\n
<\/td>\n<\/tr>\n
\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n<\/tr>\n
\n
Net income<\/td>\n
<\/td>\n
10.1<\/td>\n
<\/td>\n
<\/td>\n
12.9<\/td>\n
<\/td>\n
<\/td>\n
5.0<\/td>\n
<\/td>\n
<\/td>\n
23.0<\/td>\n
<\/td>\n
<\/td>\n
10.6<\/td>\n
<\/td>\n<\/tr>\n
\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n<\/tr>\n
\n
Diluted earnings per share<\/td>\n
<\/td>\n
0.14<\/td>\n
<\/td>\n
<\/td>\n
0.18<\/td>\n
<\/td>\n
<\/td>\n
0.07<\/td>\n
<\/td>\n
<\/td>\n
0.32<\/td>\n
<\/td>\n
<\/td>\n
0.15<\/td>\n
<\/td>\n<\/tr>\n
\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n<\/tr>\n
\n
Free cash flow1<\/sup><\/td>\n
<\/td>\n
12.3<\/td>\n
<\/td>\n
<\/td>\n
13.3<\/td>\n
<\/td>\n
<\/td>\n
10.4<\/td>\n
<\/td>\n
<\/td>\n
25.6<\/td>\n
<\/td>\n
<\/td>\n
20.9<\/td>\n
<\/td>\n<\/tr>\n
\n
Dividends per share<\/td>\n
<\/td>\n
0.10<\/td>\n
<\/td>\n
<\/td>\n
0.09<\/td>\n
<\/td>\n
<\/td>\n
0.08<\/td>\n
<\/td>\n
<\/td>\n
0.19<\/td>\n
<\/td>\n
<\/td>\n
0.16<\/td>\n
<\/td>\n<\/tr>\n
\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n
\n\n
\n
<\/td>\n<\/tr>\n
\n
(end of period)<\/td>\n
Three months ended<\/strong><\/td>\n<\/tr>\n
\n
<\/td>\n
\u00a0<\/strong><\/td>\n
May 31,<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
February 28,<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
November 30,<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
August 31,<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
May 31,<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n<\/tr>\n
\n
(in millions of Canadian dollars)<\/td>\n
\u00a0<\/strong><\/td>\n
2022<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
2022<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
2021<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
2021<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n
2021<\/strong><\/td>\n
\u00a0<\/strong><\/td>\n<\/tr>\n
\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n
<\/td>\n<\/tr>\n
\n
Mutual fund assets under management (AUM)2<\/sup><\/td>\n
$<\/td>\n
22,849<\/td>\n
<\/td>\n
$<\/td>\n
23,625<\/td>\n
<\/td>\n
$<\/td>\n
24,006<\/td>\n
<\/td>\n
$<\/td>\n
23,792<\/td>\n
<\/td>\n
$<\/td>\n
22,290<\/td>\n
<\/td>\n<\/tr>\n
\n
Institutional, sub-advisory and ETF accounts AUM<\/td>\n
EBITDA before commissions (earnings before interest, taxes, depreciation, amortization and deferred selling commissions), adjusted EBITDA before commissions, adjusted net income, adjusted diluted earnings per share and Free Cash Flow are not standardized measures prescribed by IFRS. The Company utilizes non-IFRS measures to assess our overall performance and facilitate a comparison of quarterly and full-year results from period to period. They allow us to assess our investment management business without the impact of non-operational items. These non-IFRS measures may not be comparable with similar measures presented by other companies. These non-IFRS measures and reconciliations to IFRS, where necessary, are included in the Management\u2019s Discussion and Analysis available at www.agf.com<\/u><\/a>.<\/td>\n<\/tr>\n