Brookfield Earnings Fall, While Revenue Rises 2.4%

By Robb M. Stewart

Brookfield Corp. saw a sharp drop in earnings in the third quarter as the asset-management company didn't see a repeat of higher one-time valuation gains logged last year.

Distributable earnings, a measure of cash that can be returned to shareholders, slipped to $1.06 billion in the third quarter from $1.22 billion a year earlier.

Net income dropped more sharply, falling to $35 billion, or 12 cents a share, from $716 billion, or 25 cents, last year.

Still, quarterly revenue increased 4.4% to $24.44 billion.

President Nick Goodman said strong financial results for the quarter were bolstered by growing cash flows and the earnings of Brookfield's underlying businesses.

Toronto-based Brookfield, which late last year spun off a 25% stake in its asset-management business, said retail and wealth flows are now about $800 million a month and are expected to be more than $1.5 billion monthly in 2024.

The company ended the quarter with about $120 billion of deployable capital for new investments, including $35 billion of cash, financial assets and undrawn credit lines.

On Monday, Brookfield Asset Management reported that total net income rose to $494 million for the recent quarter, with a 7.5% increase in revenue to $893 million.

Write to Robb M. Stewart at robb.stewart@wsj.com

(END) Dow Jones Newswires

November 09, 2023 07:43 ET (12:43 GMT)

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