IGM Financial (IGM) Q4 2024 earnings summary

Executive summary

• Adjusted EPS for 2024 was $3.95 (CAD 3.95), up 11.6%–12% year-over-year, with over $650 million ($657MM) returned to shareholders via dividends and share repurchases.

• Client assets/AUM&A grew 23.8%–24% to $483.5 billion, driven by IG Wealth, Mackenzie, Rockefeller, Wealthsimple, ChinaAMC, and Northleaf.

• Strategic investments in Rockefeller, Wealthsimple, ChinaAMC, and Northleaf contributed significantly to asset growth.

• Recognized as a top sustainable company and top employer in Canada.

• Strategic focus for 2025 includes continued investment in core businesses, capital returns, and enhancing advisor/client experience.

Financial highlights

• Q4 2024 adjusted EPS was $1.05, up 22% year-over-year; adjusted net earnings for Q4 were $250 million, up 22%.

• Returned $180 million to shareholders in Q4, including $47 million in share repurchases.

• Consolidated AUM&A including strategic investments reached $483.5 billion, up 23.8% year-over-year.

• IG Wealth and Mackenzie both reported record quarter-ending assets and strong segment earnings growth.

• ChinaAMC Q4 earnings were $25.4 million, impacted by fee reductions and seasonality.

Outlook and guidance

• Continued investment in wealth and asset management businesses expected in 2025, with expense growth guidance at 4% for operations and support.

• IG Wealth expense growth guided at 2.5%, Mackenzie at 6%.

• ChinaAMC 2025 earnings expected to be in line with 2024 despite fee reductions.

• Share buybacks expected to increase in 2025, with a bias toward returning more capital to shareholders.

• Focus areas for 2025 include targeting high-net-worth and mass affluent clients, product innovation, and extending distribution advantages.