Canaccord Genuity Group Inc (CCORF) Q3 2026 Earnings Call Highlights: Record Client Assets and …

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Wed, February 18, 2026 at 4:01 AM GMT+9 4 min read

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**Firm-wide Revenue:** $616 million, increased by 37% year over year and 16% sequentially.

**Capital Markets Revenue:** $301 million, up 43% year over year.

**Wealth Management Revenue:** $304 million, increased by 30% year over year.

**Adjusted Pretax Net Income:** $81 million, doubled year over year.

**Adjusted Diluted Earnings Per Share (EPS):** $0.36, up 112% year over year.

**Client Assets:** $145 billion, a new record, up 26% year over year.

**Noncompensation Expenses:** $152 million, decreased by 3.2% year over year.

**Trading, Settlement, and Technology Costs:** $48 million, decreased by 5% year over year.

**Interest Expense:** $26 million, declined by 16.8% year over year.

**Capital Markets Pretax Net Income:** $51 million, a 248% improvement year over year.

**Wealth Management Pretax Net Income:** $57 million, increased by 57% year over year.

**Canadian Wealth Management Pretax Net Income:** $23 million, a 155% increase year over year.

**Australian Wealth Management Assets:** $17 billion, up from $8 billion a year ago.

**Quarterly Common Share Dividend:** $8.5 approved by the Board of Directors.

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Release Date: February 17, 2026

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

Firm-wide revenue increased by 37% year over year and 16% sequentially, marking the second highest quarterly revenue on record.

Capital Markets division saw a 43% year-over-year revenue increase, driven by new issue activity, particularly in the natural resource sector.

Wealth Management division revenue grew by 30% year over year, with a significant 154% increase in investment banking revenue.

Client assets reached a new record of $145 billion, supported by market appreciation and acquisitions.

The acquisition of Wilson Advisory and CRC IB has strengthened the company's position in wealth management and renewable energy advisory sectors.

Negative Points

The current high activity levels in certain sectors may not be sustainable, with expectations of moderation in the future.

The timing of the resolution of US regulatory enforcement matters remains uncertain, potentially impacting future operations.

Trading revenue declined by 48% year-over-year due to the sale of the US Market Making business.

The UK Wealth Management business experienced a decrease in pretax margins due to higher costs from recent acquisitions.

The company's beneficial ownership in the Australian business is expected to decline, which may impact future earnings contributions.

 






Story Continues  

Q & A Highlights

Q: Could you speak to the opportunity to continue finding firms like Wilsons Advisory in Australia? Is the market going through consolidation similar to other markets? A: Daniel Daviau, Executive Chairman, President, CEO: The Wilsons Advisory acquisition was significant, and while we’re currently capped on acquisitions, long-term opportunities in Australia are similar to Canada. We have an active recruiting pipeline in Australia and continue to invest significantly in the wealth space there. The business is scaling up, and we expect margins to improve.

Q: Can you provide more details on the rights offering underway in Australia? A: Daniel Daviau, Executive Chairman, President, CEO: The rights offering is aimed at reducing debt from the Wilson acquisition. Employees and management are participating, which is a positive sign of local ownership. Our ownership will decrease from 65%, but we will retain control.

Q: In Canada, why hasn’t there been much growth in adviser teams over the last couple of years? A: Daniel Daviau, Executive Chairman, President, CEO: We continue to recruit, but often replace smaller advisers with larger ones, leading to growth in average book size per adviser. The average book is at a record $379 million. We encourage team consolidation and remain active in recruiting.

Q: Why did you choose to acquire the energy transition-focused boutique CRC IB, given the current US administration’s stance? A: Daniel Daviau, Executive Chairman, President, CEO: We exercised our option to acquire CRC IB due to their strong performance. Despite changes in US tax policy, energy needs persist, and CRC IB’s M&A business is expected to grow. We see a unique global advantage in this sector.

Q: Can you provide an update on the US regulatory review? A: Daniel Daviau, Executive Chairman, President, CEO: Progress has been slower than expected, but we are comfortable with our financial provisions. The challenge lies in finalizing the terms and form of the regulatory settlement. We remain optimistic about reaching a resolution soon.

Q: Is the Evelyn Partners deal in the UK a comparable transaction for your UK business? A: Daniel Daviau, Executive Chairman, President, CEO: Evelyn Partners is a larger and more mature firm, but there are similarities. While I won’t comment on applying their valuation multiple to our business, it’s not a completely dissimilar business.

Q: Why did the UK Wealth Management pretax earnings and margins decline this quarter? A: Nadine Ahn, CFO: The decline was due to higher costs from recent acquisitions and integration expenses. We expect margins to improve as we manage these costs. Despite this, we continue to see positive net flows and market growth.

Q: Will you maintain more than 50% ownership in the Australian business after the rights offering? A: Daniel Daviau, Executive Chairman, President, CEO: Yes, we will retain control with more than 50% ownership.

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

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