TORONTO, May 21, 2013 /CNW/ - NexGen Financial Corporation ("NexGen" or "the Company"), (TSX-V: NFX) today announced its unaudited
financial results for the quarter ended March 31, 2013.
Q1 2013 Highlights
Assets under management1 ("AUM") increased 8% to $1.03 billion at March 31, 2013, from $948.6
million at March 31, 2012
Launched NexGen US Dividend Funds in January 2013 generating
approximately $10 million sales during the first quarter
Management and administration fee revenues were $3.5 million for the
first quarter of 2013, a 3.2% increase from $3.4 million for the first
quarter of 2012
Operating EBITDA2 improved to $0.30 million ($0.06 per share) for the first quarter of
2013, from $0.26 million ($0.06 per share) for the first quarter of
NexGen reported a net loss of $0.19 million ($0.04 per share) for the
three months ended March 31, 2013, compared with a net loss of $0.18
million ($0.04 per share) for the same period in the prior year.
"We continue to improve the financial results having reported positive
Free Cash Flow for the quarter. In addition, we are broadening our
product suite to appeal to a wider range of investors", said Laurie
Munro, President & CEO of NexGen. "NexGen's new US Dividend Plus Funds
launched January 2nd and sub-advised by Ziegler Lotsoff of Chicago had assets of $10.6
million as of March 31st and has been well received to date by financial advisors" he added.
The Company's complete financial results are available at ir.nexgenfinancial.ca and www.sedar.com.
Assets under management or "AUM" refers to the market value of net
assets of the investment funds on which management fees are calculated.
Industry data as reported by the Investment Funds Institute of Canada.
Operating EBITDA defined by NexGen as earnings before interest, taxes,
depreciation and amortization, investment income and other non-cash
Free Cash Flow defined as Operating EBITDA less interest and deferred
sales commissions paid.
Non-GAAP financial measures such as "Assets Under Management" or "AUM",
"Operating EBITDA", and "Free Cash Flow" do not have any standardized
meaning prescribed by International Financial Reporting Standards
("IFRS") and may not be comparable to similar measures presented by
other companies. Readers are cautioned that these non-GAAP measures are
not alternatives to measures determined in accordance with IFRS and
should not, on their own, be construed as indicators of performance,
cash flows, or profitability. However, management of NexGen believes
that most shareholders, creditors and other stakeholders prefer to
include the use of these financial measures in analyzing the Company's
About NexGen Financial
NexGen Financial Corporation is a mutual fund company and was founded to
develop value added investment solutions for financial advisors and
their clients. The firm is focused on the creation of innovative
investment products and services that meet the needs of Canadians
seeking more tax efficient investment opportunities and greater control
over the tax treatment of their investments. Managed by strong
investment professionals, NexGen's unique Registered and Tax-Managed
Fund offerings are well positioned as attractive investment
opportunities for Canadians looking to alleviate the tax costs
associated with traditional investment solutions.
Forward Looking Statements
This release may contain "forward-looking statements" which reflect the
current expectations of the Company. These statements reflect
management's current beliefs with respect to future events and are
based on information currently available to management. Forward-looking
statements involve significant known and unknown risks, uncertainties
and assumptions. Many factors could cause actual results, performance
or achievements to be materially different from any future results,
performance or achievements that may be expressed or implied by such
forward-looking statements including, without limitation, those listed
under the heading "Risk Factors" in the Company's Management Discussion
and Analysis, which is available on the Company's website and on SEDAR
at www.sedar.com. Should one or more of these risks or uncertainties materialize, or
should assumptions underlying the forward-looking statements prove
incorrect, actual results, performance or achievements could vary
materially from those expressed or implied by the forward-looking
statements contained in this release. Although the forward-looking
statements contained in this release are based upon what the Company
believes to be reasonable assumptions, the Company cannot assure
investors that actual results, performance or achievements will be
consistent with these forward-looking statements. These forward-looking
statements are made as of the date of this release and the Company does
not assume any obligation to update or revise them to reflect new
events or circumstances.
Neither TSX Venture Exchange nor its Regulation Services Provider (as
that term is defined in policies of the TSX Venture Exchange) accepts
responsibility for the adequacy of this release.
SOURCE: NexGen Financial Corporation
For further information:
Laurie Munro, President & CEO
NexGen Financial Corporation
Abe Goenka, CFO & COO
NexGen Financial Corporation