Integrated Asset Management Corp.

Integrated Asset Management Corp.

December 04, 2015 08:00 ET

Integrated Asset Management Corp. Announces Results for Fiscal 2015

TORONTO, ONTARIO--(Marketwired - Dec. 4, 2015) - Integrated Asset Management Corp. ("IAM") (TSX:IAM) today announced audited financial results for the fiscal year ended September 30, 2015. Net income was $1.1 million or $0.04 per share in the current year versus net income of $7.3 million or $0.27 per share in the prior year. The financial results for fiscal 2014 reflect the net gain of $6.5 million on the sale of BluMont Capital Corporation in December 2013 which is shown as discontinued operations.

Review of the QuarterReview of the Year
3 Months Ended3 Months EndedYear EndedYear Ended
September 30, 2015September 30, 2014September 30, 2015September 30, 2014
(thousands except(thousands except(thousands except(thousands except
HIGHLIGHTSper share amounts)per share amounts)per share amounts)per share amounts)
Assets and Committed Capital Under Management ("AUM")$1,701,300$1,874,000$1,701,300$1,874,000
Revenues before the undernoted$3,148$2,758$12,275$10,158
Performance fees$1$52$850$3,635
Investment gain$415$496$1,156$612
Total revenues$3,564$3,305$14,281$14,405
Net performance fees(1)$1$52$729$2,739
EBITDA, from continuing operations(1)$(241)
Net income (loss) from continuing operations$(99)$68$1,001$1,336
Net gain from discontinued operations$190 $190$6,512
Net income attributed to common shareholders of the Corporation$93$68$1,132
Earnings per share
Continuing operations$(0.01)$0.00$0.03$0.03
Discontinued operations$0.01 $0.01$0.24
(1)Net performance fees and EBITDA are non-IFRS earnings measures used by the Corporation. EBITDA is calculated as earnings before the deduction of interest expense, income taxes, depreciation and amortization, stock-based compensation and investment gains and losses.Net performance fees is calculated as performance fees revenue less expenses incurred related to performance fee revenue earned.

In aggregate, AUM were approximately $1.7 billion as at September 30, 2015 down approximately $173 million from the prior year end. AUM in IAM Private Debt decreased approximately $197 million in fiscal 2015 due to the distribution to investors of routine principal repayments received on loans in the private debt funds and also due to some early prepayments of loans.

EBITDA was $2.4 million in fiscal 2014 and $1.1 million in fiscal 2015. Excluding the impact of net performance fees ($2.7 million and $0.7 million in fiscal 2014 and 2015 respectively), EBITDA increased from negative $0.3 million in fiscal 2014 to positive $0.4 million in fiscal 2015. A significant portion of this increase resulted from increased profitability in IAM Private Debt. Investment gains are excluded in the calculation of EBITDA.

John Robertson, Chief Executive Officer said "Shortly after the end of the fiscal year, we announced the second and final close of our 5th Private Debt Fund, raising $667 million. This fund is the largest yet raised by IAM, and increased our AUM by 40%. This represents significant revenue growth when the committed capital is deployed and becomes revenue generating. We expect that the benefit will be seen in a meaningful way towards the end of fiscal 2016 and into fiscal 2017.

"Also just after year end we launched the IAM Infrastructure Equity Group to capitalize upon the strong and growing demand from institutional investors for infrastructure assets."

For detailed financial statements for the year, including Management's Discussion and Analysis and the Corporation's Annual Information Form, please refer to IAM's website or SEDAR at after December 10, 2015.

IAM is one of Canada's leading alternative asset management companies with approximately $2.4 billion in assets and committed capital under management in real estate, private debt and managed futures as of December 3, 2015.

This press release may contain forward-looking statements with respect to IAM and its products and services, including its business operations and strategy and financial performance and condition. Although management believes that the expectations reflected in any such forward-looking statements are reasonable, such statements involve risks and uncertainties. Actual results may differ materially from those expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially from expectations include, among other things, general economic and market factors, including interest rates, business competition, changes in government regulations or in tax laws, and other factors discussed in materials filed with applicable securities regulatory authorities from time to time.

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