TORONTO, August 4, 2005 – Brascan Corporation (TSX/NYSE: BNN) today announced operating results for the second quarter ended June 30, 2005. Net income totalled $610 million ($2.26 per share) compared with $190 million ($0.71 per share) in the same period last year. Results for the current quarter include $448 million in gains from the restructuring and partial monetization of Brascan's investment in Falconbridge, net of taxes and other non-cash items. Net income for the first half of the year totalled $775 million compared with $335 million for the same period last year.
Operating cash flow, before the Falconbridge gain, for the three months ended June 30, 2005 totalled $229 million ($0.82 per share) compared with $169 million ($0.64 per share) last year, representing growth of 28% on a per share basis. For the first six months, cash flow increased by 26% to $385 million from $305 million last year.
The following table presents the results on a total and per share basis.
|
|
For the three months
ended June 30 |
For the six months
ended June 30 |
US$ millions (unaudited)
(except per share amounts) |
2005 |
2004 |
2005 |
2004 |
Net income |
$ |
610 |
$ |
190 |
$ |
775 |
$ |
335 |
|
– per share |
$ |
2.26 |
$ |
0.71 |
$ |
2.85 |
$ |
1.24 |
Cash flows from operations |
$ |
229 |
$ |
169 |
$ |
385 |
$ |
305 |
|
– per share |
$ |
0.82 |
$ |
0.64 |
$ |
1.38 |
$ |
1.13 |
Bruce Flatt, President and Chief Executive Officer of Brascan commented: "Our core operations in property, power and infrastructure assets performed in line with expectations and we are well positioned to generate additional growth in operating cash flows for the balance of the year. The gain on our investment in Falconbridge represents another step in the monetization of our resource investments over time.”
Dividend Declaration
On August 3, 2005, the Board of Directors declared a regular dividend of US$0.15 per Class A Share, payable on November 30, 2005, to shareholders of record as at the close of business on November 1, 2005.
Information on Brascan's common and preferred share dividends can be found on Brascan's web site under Investor Centre/Stock Information.
Additional Information
The Letter to Shareholders and the company's Supplemental Financial Information for the six months ended June 30, 2005 contains further information on the company's strategy, operations and financial results. These documents are available on the company's web site.
Brascan Profile
Brascan Corporation is a global asset manager focused on property, power and infrastructure assets. With $40 billion of assets under management, the company owns 70 premier office properties and over 130 power generating plants. The company is inter-listed on the New York and Toronto stock exchanges.
For more information, please visit our web site at www.brascancorp.com or contact:
|
Katherine C. Vyse
Senior Vice-President
Investor Relations and Communications
Tel: 416-369-8246
e-mail: kvyse@brascancorp.com
|
