The Company recorded a net loss of $1.4 billion for the year ended December 31, 2025, compared to $3.8 billion in the prior year. The decrease in net loss was primarily due to current year remeasurement losses associated with the Company's retractable common shares of $1.3 billion compared to remeasurement losses of $3.6 billion in the prior year and remeasurement losses on warrants of $139 million compared to remeasurement losses of $306 million in the prior year, partially offset by remeasurement losses on exchangeable shares of $61 million compared to $nil in the prior year. 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 Partners Value Investments L.P. (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 common shares, exchangeable shares, and warrant liability, as well as dividends paid on retractable common shares. Adjusted Earnings for the Company were $66 million for the year ended December 31, 2025, compared to $122 million in the prior year. Adjusted Earnings decreased due to unfavorable foreign currency movements as a result of the appreciation of the Canadian dollar against the U.S. dollar and higher preferred share dividends as a result of net new issuances during the year, partially offset by higher investment income and valuation gains on our investment portfolio.
As at December 31, 2025, the market prices of a Brookfield Corporation (("BN", TSX:BN) and Brookfield Asset Management Ltd. (("BAM", TSX:BAM) share were $45.89 and $52.39, respectively. As at March 25, 2026, the market prices of a BN share and a BAM share were $39.91 and $43.69, respectively.
Consolidated Statements of Operations
For the years ended(Thousands, US dollars)
2025
2024
Investment income
Dividends
$
117,521
$
108,428
Other investment income
27,715
18,607
145,236
127,035
Expenses
Operating expenses
(3,677
)
(5,553
)
Financing costs
(40,403
)
(38,777
)
Preferred share dividends
(37,134
)
(33,399
)
(81,214
)
(77,729
)
Other items
Investment valuation gains (losses)
19,978
5,703
Retractable common share remeasurement gains (losses)
(1,255,025
)
(3,575,080
)
Exchangeable share remeasurement gains (losses)
(60,527
)
—
Warrant liability remeasurement gains (losses)
(138,812
)
(306,473
)
Amortization of deferred financing costs
(4,217
)
(3,506
)
Foreign currency gains (losses)
(38,126
)
