Partners Value Investments Inc. Announces Q2 2025 Interim Results
TORONTO, Aug. 15, 2025 (GLOBE NEWSWIRE) — Partners Value Investments Inc. (the “Company”, TSX: PVF.WT, PVF.PR.V, PVF.A) announced today its financial results for the six months ended June 30, 2025. All amounts are stated in U.S. dollars.
The Company recorded a net loss of $135 million for the three months ended June 30, 2025, compared to net income of $94 million in the prior year quarter. The decrease in income was primarily due to current period remeasurement losses of $247 million associated with the Company’s retractable common shares, compared to remeasurement gains of $95 million in the prior year quarter. The Company’s retractable common shares are classified as liabilities due to their cash retraction feature. The remeasurement gains or losses in a given period are driven by the respective appreciation or depreciation of the Partners Value Investments L.P. (the “Partnership”) unit price as the exchangeable shares are recognized at fair value based on the quoted price of the Partnership’s Equity LP units. During the quarter, the Partnership unit price increased by $3.39 compared to a decrease of $1.34 in the prior year quarter. The decrease in net income was partially offset by remeasurement gains of $119 million associated with the Company’s warrants, compared to remeasurement losses of $21 million in the prior year quarter. The Company also recognized remeasurement gains of $21 million associated with its exchangeable shares, not recognized in the prior year quarter. The Company’s exchangeable shares are classified as liabilities due to their exchange feature.
Excluding remeasurement losses on retractable shares, remeasurement gains on exchangeable shares, warrant liability remeasurement gains, and dividends paid on retractable shares, Adjusted Losses for the Company were $21 million for the three months ended June 30, 2025, compared to Adjusted Earnings of $29 million in the prior year quarter. Adjusted Earnings were lower in the current quarter as higher investment income was more than offset by foreign currency losses and lower tax recoveries compared to the prior year quarter.
As at June 30, 2025, the market prices of a Brookfield Corporation (“BN”, NYSE/TSX: BN) and Brookfield Asset Management Ltd. (“BAM”, NYSE/TSX: BAM) share were $61.85 and $55.28, respectively. As at August 14, 2025, the market prices of a BN and BAM share were $65.60 and $62.11, respectively.
Consolidated Statements of Operations
| (Unaudited) For the periods ended June 30 (Thousands, US dollars) | Three months ended | Six months ended | |||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||
| Investment income | |||||||||||||||
| Dividend | $ | 29,808 | $ | 26,995 | $ | 59,933 | $ | 53,680 | |||||||
| Other investment income | 6,451 | 4,160 | 13,628 | 8,195 | |||||||||||
| 36,259 | 31,155 | 73,561 | 61,875 | ||||||||||||
| Expenses | |||||||||||||||
| Operating expense | (1,017 | ) | (735 | ) | (2,148 | ) | (2,885 | ) | |||||||
| Financing cost | (10,151 | ) | (10,191 | ) | (20,213 | ) | (18,370 | ) | |||||||
| Retractable preferred share dividend | (9,906 | ) | (8,562 | ) | (18,286 | ) | (16,802 | ) | |||||||
| 15,185 | 11,667 | 32,914 | 23,818 | ||||||||||||
| Other items | |||||||||||||||
| Investment valuation (loss) gain | (1,218 | ) | 443 | 5,994 | 1,367 | ||||||||||
| Retractable share remeasurement (loss) gain | (246,502 | ) | 94,590 | 706,067 | (119,040 | ) | |||||||||
| Exchangeable share remeasurement gain | 20,762 | — | 20,762 | — | |||||||||||
| Warrant liability remeasurement gain (loss) | 118,965 | (21,378 | ) | 115,698 | (11,452 | ) | |||||||||
| Amortization of deferred financing costs | (1,246 | ) | (871 | ) | (2,158 | ) | (1,755 | ) | |||||||
| Foreign currency (loss) gain | (39,669 | ) | 6,880 | (39,554 | ) | 19,333 | |||||||||
| Current tax (expense) recovery | (2,186 | ) | (1,742 | ) | (2,547 | ) | 6,327 | ||||||||
| Deferred tax recovery (expense) | 650 | 4,865 | (452 | ) | 707 | ||||||||||
| Net (loss) income | $ | (135,259 | ) | $ | 94,454 | $ | 836,724 | $ | (80,695 | ) | |||||
Financial Profile
The Company’s principal investments are its interest in 121 million Class A Limited Voting Shares of BN and approximately 31 million Class A Limited Voting Shares of BAM. This represents approximately an 8% interest in BN and a 2% interest in BAM as at June 30, 2025. In addition, the Company owns a diversified investment portfolio of marketable securities and private fund interests.
The information in the following table has been extracted from the Company’s Consolidated Statements of Financial Position:
Consolidated Statements of Financial Position
| (Unaudited) As at (Thousands, US dollars) | June 30, 2025 | December 31, 2024 | |||||
| Assets | |||||||
| Cash and cash equivalents | $ | 200,797 | $ | 156,952 | |||
| Accounts receivable and other assets | 81,875 | 69,776 | |||||
| Investment in Brookfield Corporation1 | 7,482,044 | 6,949,656 | |||||
| Investment in Brookfield Asset Management Ltd.2 | 1,703,095 | 1,669,488 | |||||
| Investment in Brookfield Wealth Solutions Ltd.3 | 507,288 | 471,651 | |||||
| Other investments carried at fair value | 685,080 | 669,397 | |||||
| $ | 10,660,179 | $ | 9,986,920 | ||||
| Liabilities and Equity | |||||||
| Accounts payable and other liabilities | $ | 30,032 | $ | 42,824 | |||
| Corporate borrowings | 220,076 | 208,168 | |||||
| Preferred shares4 | 773,620 | 703,044 | |||||
| Retractable common shares | 6,606,401 | 7,312,467 | |||||
| Exchangeable shares | 261,424 | — | |||||
| Warrant liability | 404,503 | 494,710 | |||||
| Deferred tax liabilities | 11,715 | 7,933 | |||||
| 8,307,771 | 8,769,146 | ||||||
| Equity | |||||||
| Accumulated deficit | (6,265,336 | ) | (6,821,786 | ) | |||
| Accumulated other comprehensive income | 8,607,685 | 8,027,580 | |||||
| Non-controlling interests | 10,059 | 11,980 | |||||
| $ | 10,660,179 | $ | 9,986,920 | ||||
1. The investment in Brookfield Corporation consists of 121 million BN shares with a quoted market value of $61.85 per share as at June 30, 2025 (December 31, 2024 – $57.45).
2. The investment in Brookfield Asset Management Ltd. consists of 31 million BAM shares with a quoted market value of $55.28 per share as at June 30, 2025 (December 31, 2024 – $54.19).
3. Brookfield Wealth Solutions Ltd. (“BWS”) Class A shares are exchangeable into BN Class A shares on a one-for-one basis.
4. Represents $786 million of retractable preferred shares less $12 million of unamortized issue costs as at June 30, 2025 (December 31, 2024 – $712 million less $9 million).
For further information, contact Investor Relations at ir@pvii.ca.
Notice to Readers
The Company is not making any offer or invitation of any kind by communication of this news release and under no circumstance is it to be construed as a prospectus or an advertisement.
This news release contains “forward-looking information” and “forward-looking statements” within the meaning of Canadian provincial securities laws and any applicable Canadian securities regulations (collectively, “forward-looking statements”). Forward-looking statements include statements that are predictive in nature, depend upon or refer to future results, events or conditions, and include, but are not limited to, statements which reflect management’s current estimates, beliefs and assumptions regarding the operations, business, financial condition, expected financial results, performance, prospects, opportunities, priorities, targets, goals, ongoing objectives, strategies, capital management and outlook of the Company, as well as the outlook for North American and international economies for the current fiscal year and subsequent periods, and which are in turn based on management’s experience and perception of historical trends, current conditions and expected future developments, as well as other factors management believes are appropriate in the circumstances. The estimates, beliefs and assumptions of the Company are inherently subject to significant business, economic, competitive and other uncertainties and contingencies regarding future events and as such, are subject to change. Forward-looking statements are typically identified by words such as “expect”, “anticipate”, “believe”, “foresee”, “could”, “estimate”, “goal”, “intend”, “plan”, “seek”, “strive”, “will”, “may” and “should” and similar expressions.
Although the Company believes that such forward-looking statements are based upon reasonable estimates, beliefs and assumptions, actual results may differ materially from the forward-looking statements. Factors that could cause actual results to differ materially from those contemplated or implied by forward‐looking statements and information include, but are not limited to: the financial performance of Brookfield Corporation, the impact or unanticipated impact of general economic, political and market factors; the behavior of financial markets, including fluctuations in interest and foreign exchanges rates and heightened inflationary pressures; limitations on the liquidity of our investments; global equity and capital markets and the availability of equity and debt financing and refinancing within these markets; strategic actions including acquisitions and dispositions; changes in accounting policies and methods used to report financial condition (including uncertainties associated with critical accounting assumptions and estimates); the effect of applying future accounting changes; business competition; operational and reputational risks; technological change; changes in government regulation and legislation; changes in tax laws; risks associated with the use of financial leverage; catastrophic events, such as earthquakes, hurricanes and epidemics/pandemics; the possible impact of international conflicts and other developments including terrorist acts and cyberterrorism; and other risks and factors detailed from time to time in the Company’s documents filed with the securities regulators in Canada.
We caution that the foregoing list of important factors that may affect future results is not exhaustive and other factors could also adversely affect future results. Readers are urged to consider these risks, as well as other uncertainties, factors and assumptions carefully in evaluating the forward-looking statements and are cautioned not to place undue reliance on such forward-looking statements, which are based only on information available to us as of the date of this news release and such other date specified herein. Except as required by law, the Company undertakes no obligation to publicly update or revise any forward-looking statements, whether written or oral, that may be as a result of new information, future events or otherwise.
Past performance is not indicative nor a guarantee of future results. There can be no assurance that comparable results will be achieved in the future, that future investments will be similar to historic investments discussed herein, that targeted returns, or growth objectives will be met or investment objectives will be achieved (because of economic conditions, the availability of appropriate opportunities or otherwise).
