CORRECTED-UPDATE 1-Power Financial profit falls, misses expectations

Wed Mar 13, 2013 7:06pm EDT
Email This Article |
Share This Article
  • Facebook
  • LinkedIn
  • Twitter
| Print This Article
[-] Text [+]

(Corrects year-earlier adjusted earnings per share in second paragraph, updates share move in sixth paragraph.)

TORONTO, March 13 (Reuters) - Power Financial Corp said on Wednesday that fourth-quarter profit fell as earnings at its IGM Financial mutual funds unit dipped and earnings at its Great-West Lifeco insurance operation dropped.

The Montreal-based company said operating earnings fell to C$406 million ($396 million), or 57 Canadian cents a share, from C$422 million, or 60 Canadian cents, in the same quarter a year earlier.

Analysts had expected, on average, a profit of 58 Canadian cents a share, according to Thomson Reuters I/B/E/S.

Power Financial, controlled by Montreal's Desmarais family through its Power Corp holding company, also owns a major stake in Swiss-based Pargesa Holding SA.

On an operating basis, Great-West contributed C$337 million to Power Financial's profit, down from C$342 million, while IGM contributed C$106 million, down from C$113 million.

Shares of Power Financial fell 77 cents to C$28.75 on the Toronto Stock Exchange. ($1 = 1.0254 Canadian dollars) (Reporting by Andrea Hopkins; Editing by Frank McGurty, Jeffrey Benkoe and Bob Burgdorfer)