IGM Financial profit, revenue drop

IGM Financial (IGM-T), one of Canada's largest mutual fund companies, said on Friday its quarterly earnings fell along with assets under management and sales.

The Winnipeg, Manitoba-based company said net earnings were $199.7 million, or 78 cents a share, in the first quarter ended March 31. That was down from $212.1 million, or 81 cents a share, in the year-earlier period but slightly above analyst expectations for a per share profit of 77 cents.

Shares in IGM, a division of the Montreal-based Desmarais family's Power Corp (POW-T) empire, fell on the Toronto Stock Exchange.

Revenue fell to $673.1 million from $711.4 million a year earlier. Assets under management also declined, slipping 7.4 percent to $124.1 billion from $134.1 billion.

Mutual fund sales at IGM's Investors Group operations fell to $1.83 billion from $2.05 billion as redemptions picked up. Sales of the Mackenzie group of funds fell to $2.72 billion from $3.49 billion.