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Friday, November 06, 2009
Brookfield Asset Management 3rd-qtr profit falls
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Brookfield Asset Management Inc. on Friday said its third-quarter profit fell 35 percent, as revenue declined, expenses rose and the company booked a charge of more than $192 million as the value of assets declined amid the weak economy.

Toronto-based Brookfield earned $112 million, or 17 cents per share, in the quarter ended Sept. 20, compared with $171 million, or 27 cents per share, in the year-earlier period.

Revenue fell 7 percent to $3 billion, from $3.2 billion last year.

Brookfield Asset Management, which is focused on investment in property, power and infrastructure assets, said revenue from commercial properties slid 27 percent to $436 million. Revenue from infrastructure and specialty funds also declined.

Fees earned rose 44 percent to $157 million. Revenue from power generation more than doubled, to $506 million.

Expenses rose 6 percent to $1.38 billion. The company also recorded a $192 million revaluation charge, reflecting continued weakness in the economy. The year earlier, it recorded a $104 revaluation gain.

The company's cash flow from operations totaled $520 million, or 88 cents per share.

Brookfield shares closed Friday trading down 58 cents, or 2.7 percent, at $21.10.

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