Capital régional et coopératif Desjardins share price
continues to rise, reaching $13.78
CRCD makes a significant contribution to the vitality of Québec regions
Highlights for the six-month period ended June 30, 2017
- Share price: $13.78, up $0.52 from December 31, 2016
- Non-annualized return: 3.9%
- Net earnings: $68.7 million
- Non-annualized return of the Investments impacting the Québec economy portfolio: 7.3%
- Non-annualized return of the Other investments portfolio: 2.5%
Montréal, August 17, 2017 - For the first half of the year ended June 30, 2017, Capital régional et coopératif Desjardins (CRCD) reported a non-annualized return of 3.9% and net earnings of $68.7 million. As a result, effective noon today, the share price is $13.78, up $0.52. Net assets amounted to $1,811 million.
These results were largely attributable to very favourable performance by the companies in the Investments impacting the Québec economy portfolio, which recorded a non-annualized return of 7.3%. The Other investment portfolio, after solid performance during the first few months of the year, was impacted by the rise in bond rates in June, ending the first half of the year with a non-annualized return of 2.5%. These portfolios are complementary in generating reasonable long-term shareholder returns. Accordingly, the compounded return of the share over seven years, the minimum holding period for shares of CRCD, is 5.0%(i), plus the income tax credit claimed on purchase.
"Day after day, I see how much CRCD's actions and commitments to our partner companies and cooperatives benefit our economy and drive vitality in our regions," said Sylvie Lalande, Chair of the Board. "Our fund is built on solid foundations, and I'd like to thank the thousands of shareholders who, year after year, continue to place their trust in us and help us fulfil our mission of supporting the social and economic development of Québec."
Note that the maximum subscription amount for 2017 will be $3,000 per person, the Québec tax credit has been set at 40% and the pre-subscription period will run from September 5 to 25, 2017. For more information, visit www.capitalregional.com/2017issue.
A tangible contribution to business prosperity
"Since the beginning of the year, we've committed $110 million to 62 companies and cooperatives," added Luc Ménard, Chief Operating Officer of Desjardins Business Capital régional et coopératif, CRCD's manager. "These investments by CRCD and the funds in its entrepreneurial ecosystem, plus the guidance our teams offer a wide range of entrepreneurs, help them grow their businesses, and create and retain invaluable jobs."
As at June 30, 2017, the CRCD portfolio and its ecosystem nurtured 430 companies, cooperatives and funds through $1,065 million committed across Québec. Of that total, 20 cooperatives benefited from commitments of $194 million.
About Capital régional et coopératif Desjardins
With more than 101,000 shareholders, Capital régional et coopératif Desjardins (CRCD) is a public company with $1,811 million in net assets. CRCD contributes to Québec economic development through several levers developed with its manager, Desjardins Business Capital régional et coopératif. These levers, with CRCD as the driving force, form its entrepreneurial ecosystem designed to value and nurture the best of Québec entrepreneurship. CRCD supports the growth of over 430 businesses, cooperatives and funds in various industries spanning all Québec regions, helping to create and retain 68,800 jobs. (www.capitalregional.com)
(i) The share's compound returns were 6.6% over one year, 4.9% over three years, 4.1% over five years and 3.3% over ten years. The indicated rates of return are the historical annual compounded total returns including changes in share value and reinvestment of all dividends or distributions and do not take into account any income taxes payable by any shareholder that would have reduced his/her returns. The CRCD shares are not guaranteed, their value fluctuates and their past performance is not indicative of their future returns.