Power Corporation of Canada (POW) Q4 2024 earnings summary

Executive summary

• Achieved strong Q4 and full-year 2024 results, with adjusted net earnings up 20% to $829M and net earnings at $933M, more than double Q4 2023, driven by double-digit growth at Great-West Lifeco and IGM Financial.

• Net asset value (NAV) per share increased 4% in Q4 to $60.44 and further to $65.10 by March 2025, supported by robust share price performance and buybacks.

• Announced a 9% dividend increase to $0.6125 per share, reflecting strong cash generation and capital position.

• Alternative asset managers Sagard and Power Sustainable continued to scale, with Sagard entering a strategic partnership with GBL and acquiring Performance Equity Management.

• Portfolio further focused on financial services, with continued development of alternative asset management platforms despite industry fundraising headwinds.

Financial highlights

• Q4 2024 adjusted net earnings from continuing operations were $829M ($1.28/share), up 20% year-over-year; net earnings were $933M ($1.44/share), more than double Q4 2023.

• FY 2024 adjusted net earnings were $2,971M ($4.58/share), up from $2,671M ($4.04/share) in 2023; FY net earnings were $2,792M ($4.31/share), up from $2,282M ($3.45/share) in 2023.

• NAV per share at year-end was $60.44, up 4% from Q3; further increased to $65.10 after subsequent results.

• 10.6M shares repurchased for $430M in 2024, reducing share count and adding $0.70 to adjusted NAV year-over-year.

• Cash balance at year-end was $1.6B, with $1.3B available after accounting for declared but unpaid dividends.

Outlook and guidance

• Great-West Lifeco targets 8–10% base EPS growth per annum plus a 4.7% dividend yield; IGM targets 9%+ adjusted EPS growth per annum plus a 5.0% dividend yield.

• Expected total shareholder returns in the 13–15% range if current growth and yield trends continue.

• Alternative asset platforms targeting 10%+ returns on proprietary capital under normal market conditions.

• GBL targeting double-digit returns and continued portfolio rotation toward private assets.

• Anticipate continued strong fundraising momentum in 2025 for alternative platforms.