TORONTO — Canaccord Genuity’s third-quarter earnings got a major lift from the flurry of deals in the Canadian cannabis sector, which helped the investment bank see its net income rise more than 500 per cent year-over-year.
The Toronto-based financial services and advisory firm reported adjusted net income before taxes of $50.3 million for the three-months ended December 31, compared to $7.8 million during the same period in 2016.
That works out to earnings per share for the fiscal third quarter of $0.31, well above the $0.17 expected by analysts surveyed by Thomson Reuters.
It also earned revenue of $309.4 million, marking a record for the organization.
Canaccord’s chief executive officer Dan Daviau says the primary driver was its capital markets division, which participated in 141 transactions globally including several large transactions in the marijuana sector as Canada moves towards legalization of recreational pot later this year.
The investment bank was also kept busy by growing interest in blockchain, participating in transactions for firms such as Global Blockchain Technologies.
Companies in this story: (TSX:CF, CSE:BLOC)
The Canadian Press