CI Financial (CIX) Q1 2025 earnings summary

Executive summary

• Entered into a definitive agreement to be acquired and taken private by Mubadala Capital at $32.00 per share, with closing expected in Q3 2025, pending regulatory approvals.

• Reported a net loss attributable to shareholders of $8.5 million for Q1 2025, a significant improvement from a $154.4 million net loss in Q1 2024 and $405.4 million in Q4 2024; adjusted net income was $140.7 million.

• Diluted EPS was $(0.06), with adjusted diluted EPS of $0.96; adjusted EBITDA attributable to shareholders was $273.9 million.

• Total assets under management and client assets reached $546.1 billion as of March 31, 2025, up 15% year-over-year, driven by U.S. wealth management acquisitions.

• Corient completed acquisitions of Geller & Company and Rootstock Investment Management, adding US$11 billion in client assets.

Financial highlights

• Total net revenue was $787.7 million, up from $645.7 million in Q1 2024 and $677.8 million in Q4 2024.

• Adjusted net income was $140.7 million ($0.96 per share), up from $132.8 million ($0.86 per share) in Q1 2024.

• Adjusted EBITDA was $324.9 million, with a margin of 41.0%.

• Free cash flow for the quarter was $200.8 million, up from $156.2 million a year earlier.

• Paid $28.8 million in dividends at $0.20 per share in Q1 2025; future dividends suspended per privatization agreement.

Outlook and guidance

• Expects Mubadala privatization transaction to close in Q3 2025, with all regulatory approvals progressing as planned.

• No annual meeting or earnings call planned prior to transaction closing.

• Anticipates continued growth in U.S. and Canadian wealth management segments through acquisitions and organic initiatives.