Power boosts 3rd-quarter earnings

Thursday, November 15, 2012

Power Financial Corp. posted a 47-per-cent increase in third-quarter net profit compared with the same period last year, when a large impairment charge depressed profit. The Montreal-based company behind Great-West Lifeco Inc. and IGM Financial said Wednesday that its earnings in the three months ended Sept. 30 were $460-million or 65 cents per share. That compared with $312-million or 44 cents in the same 2011 period when it booked an impairment charge of $116-million. Operating earnings for the third quarter of 2011 were $428-million or 60 cents per share, without the special item. The contribution to operating earnings by Lifeco, Power Financial's insurance and investment business, was $356-million, compared with $312-million in the same period in 2011.