Rf Capital Group Inc. ( (GMPXF) ) has released its Q2 earnings. Here is a breakdown of the information Rf Capital Group Inc. presented to its investors.
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RF Capital Group Inc., operating under the Richardson Wealth brand, is a leading independent wealth management firm in Canada, specializing in providing strategic wealth advice and investment solutions for high net worth individuals and entrepreneurs.
In the second quarter of 2025, RF Capital Group Inc. reported a 2% decrease in revenue to $89.3 million, primarily due to a decline in non-commissionable revenue, including a significant drop in interest income. Despite this, the company saw a 9% increase in assets under administration (AUA) to $40.4 billion, driven by strong equity markets and advisor recruitment.
Key financial metrics revealed a decrease in gross margin by 8% to $49.3 million and a 29% drop in EBITDA to $10.7 million, attributed to flat operating expenses and a decline in gross margin. The company reported a net loss of $2.1 million compared to a net income of $2.7 million in the same quarter of the previous year. Cash from operating activities slightly increased to $5.5 million, while free cash flow available for growth was significantly reduced.
Looking ahead, RF Capital Group Inc. anticipates market volatility due to new U.S. trade policies and expects interest revenue to be impacted by declining prime rates. The company remains focused on cost savings and operational efficiencies while continuing to support its advisory teams and recruitment efforts. The recent acquisition agreement with iA Financial Corporation Inc. is expected to enhance operational scale and capabilities, providing a promising outlook for future growth.