TORONTO, ONTARIO--(Marketwired - April 30, 2013) - Brookfield Investments Corporation (TSX VENTURE:BRN.PR.A) reported net income of $48 million, or $0.95 per common share, for the year ended December 31, 2012 compared with $70 million, or $1.52 per common share, in 2011. The decrease in net income is primarily a result of a lower amount of valuation gains in the current year from the company's indirect investment in Canary Wharf Group plc, which is held through Brookfield Europe. This was partially offset by improved earnings from the company's forest product investments, which are benefitting from the ongoing U.S. housing recovery.
Brookfield Investments Corporation holds investments in the property and forest products sectors, as well as a portfolio of preferred shares issued by companies within the Brookfield group. The common shares of Brookfield Investments Corporation are wholly owned by Brookfield Asset Management Inc., a global asset manager focused on property, power and infrastructure assets.
Derek Gorgi, Vice President and Chief Financial Officer, will be available at 416-363-9491 to answer any questions on the company's financial results.
| CONSOLIDATED BALANCE SHEETS |
|||||||||
| December 31 | December 31 | ||||||||
| (US$ millions) | 2012 | 2011 | |||||||
| Assets | |||||||||
| Current assets | |||||||||
| Deposits receivable | $ | 180 | $ | 243 | |||||
| Securities | 224 | 217 | |||||||
| Non-current assets | |||||||||
| Investments - Securities | |||||||||
| Brookfield Office Properties Inc. | 943 | 866 | |||||||
| Brookfield Residential Properties Inc. | 245 | 44 | |||||||
| Investments - Associates | |||||||||
| Brookfield Europe L.P. | 502 | 465 | |||||||
| Norbord Inc. | 159 | 70 | |||||||
| Western Forest Products Inc. | 79 | 165 | |||||||
| $ | 2,332 | $ | 2,070 | ||||||
| Liabilities | |||||||||
| Current liabilities | |||||||||
| Accounts payable | $ | 1 | $ | 2 | |||||
| Retractable preferred shares | 1,142 | 1,125 | |||||||
| Deferred taxes | 58 | 55 | |||||||
| Equity | 1,131 | 888 | |||||||
| $ | 2,332 | $ | 2,070 | ||||||
| CONSOLIDATED STATEMENTS OF OPERATIONS |
|||||||||
| Years ended December 31 (US$ millions, except per share amounts) |
2012 | 2011 | |||||||
| Investment Income | |||||||||
| Equity accounted income | $ | 32 | $ | 67 | |||||
| Disposition gain | 8 | - | |||||||
| Dividend and interest income | 44 | 40 | |||||||
| Foreign exchange (loss) income | (1 | ) | 3 | ||||||
| 83 | 110 | ||||||||
| Expenses | |||||||||
| Interest | (29 | ) | (30 | ) | |||||
| Net income before income taxes | 54 | 80 | |||||||
| Income tax expense | (6 | ) | (10 | ) | |||||
| Net income | $ | 48 | $ | 70 | |||||
| Net income per common share | $ | 0.95 | $ | 1.52 | |||||
| Years ended December 31 (US$ millions) |
2012 | 2011 | |||||||
| Net income | $ | 48 | $ | 70 | |||||
| Other comprehensive income (loss) | |||||||||
| Foreign currency translation | 26 | 4 | |||||||
| Available-for-sale securities - fair value changes | 174 | (129 | ) | ||||||
| Equity accounted other comprehensive (loss) income | (3 | ) | 3 | ||||||
| Deferred income tax | (2 | ) | - | ||||||
| 195 | (122 | ) | |||||||
| Comprehensive income (loss) | $ | 243 | $ | (52 | ) | ||||
Contact Information:
Derek Gorgi
Vice President and Chief Financial Officer
416-363-9491