(July 27 – 09:25 ET) – Investors Group is reporting that second quarter earnings rose by 21%.
The Winnipeg-based fund giant says that earnings rose to $73.1 million, or 34.8¢ a share, up from 28.7¢ a share in the period last year. Net income for the six months was $127.6 million, compared with $105.9 million in the same period of 1999.
Gross revenues were up to $293 million in the quarter, from $260 million in 1999. Operating expenses also rose to $156 million from $144 million. Return on equity was 26.2%, up from 24.5%.
Assets under management and administration totalled $47.2 billion, compared to $40.9 billion last year. Life insurance sales slipped from $6.7 million to $5.7 million. Mortgage originations dropped from $319 million to $256 million. Securities operations increased in assets by 154.1%. The number of Investors Group consultants dropped to 3,599 from 3,712.
“Investors Group continues to enjoy strong financial results, highlighted by increases in net income, gross revenues and shareholders’ equity,” said Sandy Riley, president and CEO. “Our traditional strengths — a strong financial planning ethic and personalized service — coupled with a commitment to evolve and grow as a company, enable us to consistently provide value to our clients and shareholders.”
-IE Staff