The Company recorded a net loss of $2.2 billion for the three months ended September 30, 2025, compared to a net loss of $1.2 billion in the prior year quarter. The increase in net loss was primarily due to current period remeasurement losses associated with the Company's retractable common shares of $1.9 billion in the current quarter compared to remeasurement losses of $1.1 billion in the prior year quarter, remeasurement losses on warrants of $252 million in the current quarter compared to remeasurement losses of $114 million in the prior year quarter, and remeasurement losses on exchangeable shares of $76 million compared to $nil in the prior year quarter. The Company's retractable common shares, exchangeable shares and warrants are classified as liabilities due to their retractable, exchangeable and convertible features, respectively, and the remeasurement gains or losses in a given period are driven by the respective depreciation or appreciation of the Partnership Equity LP unit price.
Adjusted Earnings is a non-IFRS measure that can be used to evaluate the performance of the Company, defined as net income (loss) attributable to the Company, excluding the impact of remeasurement gains (losses) on retractable shares, exchangeable shares, and warrant liability, as well as dividends paid on retractable shares. Adjusted Earnings for the Company were $46 million for the three months ended September 30, 2025, compared to $17 million in the prior year quarter. Adjusted Earnings were higher in the current quarter due to higher investment valuation gains, favorable foreign currency movements as a result of the depreciation of the Canadian dollar against the U.S. dollar and lower tax expense as compared to the prior year quarter.
As at September 30, 2025, the market prices of a Brookfield Corporation (("BN", TSX:BN) and Brookfield Asset Management Ltd. (("BAM", TSX:BAM) share were $68.58 and $56.94, respectively. As at November 13, 2025, the market prices of a BN and BAM share were $43.78 and $51.87, respectively. On October 9, 2025, BN completed a three-for-two stock split. The BN share price as at September 30, 2025 adjusted for the stock split would be $45.72.
Consolidated Statements of Operations
(Unaudited)For the periods ended September 30(Thousands, US dollars)
Three months ended
Nine months ended
2025
2024
2025
2024
Investment income
Dividends
$
30,197
$
27,627
$
90,130
$
81,307
Other investment income
5,051
4,645
18,679
12,840
35,248
32,272
108,809
94,147
Expenses
Operating expenses
(832
)
(1,162
)
(2,980
)
(4,047
)
Financing costs
(10,203
)
(10,236
)
(30,416
)
(28,606
)
Retractable preferred share dividends
(9,277
)
(8,446
)
(27,563
)
(25,248
)
14,936
12,428
47,850
36,246
Other items
Investment valuation gain
10,223
9,469
16,217
10,836
Retractable share remeasurement loss
(1,898,035
)
(1,079,255
)
(1,191,968
)
