BROOKFIELD, News, Aug. 15, 2025 (GLOBE NEWSWIRE) -- Brookfield Business Partners (NYSE: BBU, BBUC; TSX: BBU.UN, BBUC) today announced that the Toronto Stock Exchange (“TSX”) has accepted a notice filed by Brookfield Business Partners L.P. of its intention to renew its normal course issuer bid for its limited partnership units (“Units”) and a notice filed by Brookfield Business Corporation of its intention to renew its normal course issuer bid for its class A exchangeable subordinate voting shares (“Exchange ...

THREE MONTHS ENDED JUNE 30, 2025 Important Cautionary Notes All amounts in this Supplemental Information are in U.S. dollars unless otherwise specified. Unless otherwise indicated, the statistical and financial data in this document is presented as at June 30, 2025. CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS AND INFORMATION Note: This Supplemental Information contains "forward-looking information" within the meaning of Canadian provincial securities laws and "forward-looking statements" withi ...

"We had an active quarter, reaching an agreement on the sale of a partial interest in three businesses, investing $300 million to acquire two market-leading businesses, and repurchasing an additional 2.2 million of common equity at highly accretive levels," said Anuj Ranjan, CEO of Brookfield Business Partners. "The strength of our financial results in an uneven macroeconomic environment underscores the resilience of our operations, while progress on our value creation plans and capital recycling initiative ...

Core Insights - Brookfield Business Partners reported strong financial results for Q2 2025, with net income of $26 million compared to a net loss of $20 million in Q2 2024, indicating resilience in an uneven macroeconomic environment [2][3][34] - The company achieved an Adjusted EBITDA of $591 million for Q2 2025, up from $524 million in the same period last year, driven by improved performance and contributions from recent acquisitions [3][4][5] - Strategic initiatives included the sale of a partial interest in three businesses for approximately $690 million and a partnership to privatize First National Financial Corporation for $2.7 billion [8][9] Financial Performance - For the three months ended June 30, 2025, net income attributable to unitholders was $26 million ($0.12 per unit), compared to a net loss of $20 million ($0.10 per unit) in the prior year [2][3] - Adjusted EBITDA by segment for Q2 2025: Industrials $307 million, Business Services $205 million, Infrastructure Services $109 million, and Corporate and Other $(30) million [4][5][6] - Total revenues for Q2 2025 were $6.695 billion, with direct operating costs of $5.465 billion, resulting in an income before income tax of $70 million [24] Strategic Initiatives - The company completed the sale of a partial interest in three businesses to a new private equity fund, with an initial redemption value of approximately $690 million [8] - Brookfield Business Partners entered a partnership to privatize First National Financial Corporation for $2.7 billion, with an expected equity contribution of approximately $145 million [9] - The acquisition of Antylia Scientific for approximately $1.3 billion was completed, with Brookfield investing $168 million for a 26% interest [10] Liquidity and Capital Management - As of June 30, 2025, the company had approximately $2.3 billion in liquidity, including $2.2 billion available on credit facilities [12] - During the quarter, Brookfield invested $56 million to repurchase 2.2 million units at an average price of approximately $25 per unit, totaling $157 million in buybacks year-to-date [11] Distribution - The Board of Directors declared a quarterly distribution of $0.0625 per unit, payable on September 29, 2025, to unitholders of record as of August 29, 2025 [13][37]

UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS OF BROOKFIELD BUSINESS CORPORATION As at March 31, 2025 and December 31, 2024 and for the three months ended March 31, 2025 and 2024 1 INDEX TO THE UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS OF BROOKFIELD BUSINESS CORPORATION | Unaudited Interim Condensed Consolidated Statements of Financial Position | 3 | | --- | --- | | Unaudited Interim Condensed Consolidated Statements of Operating Results | 4 | | Unaudited Interim Condense ...

Core Insights - Brookfield Business Partners reported a net income of $80 million for Q1 2025, up from $48 million in Q1 2024, reflecting a significant increase in profitability [2][3][31] - The company generated over $1.5 billion from capital recycling initiatives and invested approximately $140 million in unit and share repurchases [2][9] - Adjusted EBITDA for Q1 2025 was $591 million, compared to $544 million in the prior year, driven by strong performance in the Industrials segment [3][4] Financial Performance - Net income attributable to unitholders for Q1 2025 was $80 million ($0.38 per unit), compared to $48 million ($0.23 per unit) in Q1 2024 [2][3] - Adjusted EBITDA increased to $591 million in Q1 2025 from $544 million in Q1 2024, with contributions from recent acquisitions [3][4] - The Industrials segment generated $304 million in Adjusted EBITDA, up from $228 million in the same period last year, aided by tax benefits and new acquisitions [4][5] Segment Performance - Business Services segment reported Adjusted EBITDA of $213 million, slightly up from $205 million in Q1 2024, despite higher technology upgrade costs [5] - Infrastructure Services segment saw a decline in Adjusted EBITDA to $104 million from $143 million, impacted by the sale of the offshore oil services operation [6] - Adjusted EFO for the Industrials segment decreased to $130 million from $180 million, reflecting the impact of withholding taxes [7] Strategic Initiatives - The company announced the acquisition of Antylia Scientific for approximately $1.3 billion, with Brookfield expected to invest about $160 million for a 25% interest [8] - A unit repurchase program was executed, with approximately $140 million spent to repurchase 5.9 million units at an average price of $24 per unit [9] Liquidity and Distribution - As of March 31, 2025, Brookfield had approximately $2.4 billion in liquidity, including $59 million in cash and liquid securities [10] - The Board declared a quarterly distribution of $0.0625 per unit, payable on June 30, 2025 [11][33]

Financial Performance - For the year ended December 31, 2024, Brookfield Business Partners reported a net loss attributable to unitholders of $109 million, equating to a loss of $0.50 per limited partnership unit, compared to a net income of $1,405 million ($6.49 per unit) in 2023[2][3]. - Adjusted EBITDA for 2024 was $2,565 million, an increase of 2.97% from $2,491 million in 2023, driven by improved operational performance and tax benefits[3][4]. - The company reported an adjusted EBITDA of $653 million for the three months ended December 31, 2024, a decrease from $608 million in the same period of 2023[25]. - Revenues for the three months ended December 31, 2024, were $2,209 million, an increase of 13.5% compared to $1,946 million for the same period in 2023[43]. - Net income from continuing operations for the year ended December 31, 2024, was a loss of $1,927 million, compared to a loss of $983 million in 2023[43]. - Total net income (loss) for the three months ended December 31, 2024, was $(1,108) million, compared to $3,484 million in the same period of 2023[25]. - The company reported a net loss of $1,282 million for the three months ended December 31, 2024, compared to a net income of $2,849 million in the same period of 2023[43]. - The company recognized $208 million of remeasurement loss on exchangeable and class B shares classified as liabilities under IFRS as of December 31, 2024[34]. - Interest income (expense), net for the year ended December 31, 2024, was $3,104 million, an increase from $3,596 million in 2023[27]. Segment Performance - The Industrials segment generated Adjusted EBITDA of $1,247 million in 2024, up 46% from $855 million in 2023, benefiting from $371 million in tax benefits[4][5]. - The Business Services segment's Adjusted EBITDA decreased to $832 million in 2024 from $900 million in 2023, impacted by a cyber incident and reduced performance in construction and healthcare services[5][6]. - The Infrastructure Services segment reported Adjusted EBITDA of $606 million in 2024, down from $853 million in 2023, primarily due to the sale of the nuclear technology services operation[6][7]. Liquidity and Capital Management - Brookfield Business Partners ended 2024 with approximately $1.3 billion in liquidity, including $91 million in cash and liquid securities, and $1.2 billion available on corporate credit facilities[11]. - The company completed the acquisition of Chemelex for a total enterprise value of $1.7 billion, with Brookfield investing $212 million for a 25% economic interest[10]. - Brookfield Business Partners generated over $2 billion from capital recycling initiatives and acquired two market-leading operations in 2024[2]. - Cash and cash equivalents increased to $1,008 million as of December 31, 2024, from $772 million in 2023[40]. - Total assets decreased from $16,000 million in 2023 to $14,000 million in 2024[40]. - Total assets decreased from $21,182 million in 2023 to $19,098 million in 2024, a decline of 9.8%[41]. Expenses and Dividends - The company reported depreciation and amortization expense of $3,204 million for the year ended December 31, 2024[27]. - Direct operating costs increased to $2,041 million, up from $1,749 million, reflecting a rise of 16.7% year-over-year[43]. - General and administrative expenses rose to $107 million for the three months ended December 31, 2024, compared to $78 million in 2023, marking a 37.2% increase[43]. - The company experienced an impairment expense of $689 million for the three months ended December 31, 2024, compared to $599 million in the same period of 2023[43]. - The Board of Directors declared a quarterly dividend of $0.0625 per share, payable on March 31, 2025[35]. - A quarterly distribution of $0.0625 per unit has been declared, payable on March 31, 2025[12]. Future Outlook and Risks - The company anticipates future results may be affected by various risks including economic conditions and changes in interest rates[46]. - Adjusted EBITDA is referenced as a non-IFRS measure, which may assist investors in assessing financial performance[50].

Financial Performance - For the three months ended September 30, 2024, the company reported revenues of $2,205 million, an increase from $1,964 million in the same period of 2023, representing a growth of 12.2%[116] - The net loss from continuing operations for the three months ended September 30, 2024, was $511 million, a decrease of $551 million compared to a net income of $40 million for the same period in 2023[117] - For the nine months ended September 30, 2024, the company recognized a net loss from continuing operations of $645 million, compared to a net income of $53 million for the same period in 2023[118] - For the nine months ended September 30, 2024, revenues increased by $262 million (approximately 4.6%) to $5,999 million, compared to $5,737 million for the same period in 2023[122] - Total revenues for the nine months ended September 30, 2024, were $41,663 million, compared to $33,193 million for the same period in 2023, reflecting a significant increase[150] - Net income for the nine months ended September 30, 2024, was $2,003 million, compared to $293 million for the same period in 2023, indicating a substantial improvement[150] Operating Costs - The company incurred direct operating costs of $2,015 million for the three months ended September 30, 2024, compared to $1,760 million in the same period of 2023, reflecting an increase of 14.5%[116] - For the nine months ended September 30, 2024, direct operating costs increased by $482 million (approximately 9.6%) to $5,527 million, compared to $5,045 million for the same period in 2023[125] - General and administrative expenses for the three months ended September 30, 2024, were $78 million, up from $66 million in the same period of 2023, indicating a rise of 18.2%[116] Financial Losses and Gains - The remeasurement loss on exchangeable and class B shares for the three months ended September 30, 2024, was $325 million, compared to a gain of $148 million in the same period of 2023[116] - For the nine months ended September 30, 2024, net other expense decreased by $279 million to $197 million, compared to net other income of $82 million for the same period in 2023[133] Cash Flow and Expenses - Cash flow used in operating activities for the nine months ended September 30, 2024, was $216 million, compared to $43 million used in the same period of 2023[162] - Interest expense for the three months ended September 30, 2024, was $207 million, a decrease from $227 million in the same period of 2023, showing a reduction of 8.8%[116] - For the nine months ended September 30, 2024, interest expense, net decreased by $52 million (approximately 7.7%) to $620 million, compared to $672 million for the same period in 2023[129] Assets and Liabilities - As of September 30, 2024, total assets decreased by $557 million to $20,625 million compared to $21,182 million as of December 31, 2023[138] - Financial assets increased by $43 million to $267 million as of September 30, 2024, compared to $224 million as of December 31, 2023[139] - Accounts receivable decreased by $83 million to $3,486 million as of September 30, 2024, from $3,569 million as of December 31, 2023, primarily due to repayment of a receivable and foreign exchange impacts[140] - Total non-recourse borrowings in subsidiaries decreased by $301 million to $8,522 million as of September 30, 2024, from $8,823 million as of December 31, 2023[153] Capital Expenditures - Capital expenditures for the nine months ended September 30, 2024, were $70 million for maintenance and $144 million for growth, down from $132 million and $356 million, respectively, in the same period of 2023[143] Legal and Regulatory Matters - The company is subject to several class action lawsuits related to a cybersecurity incident, with ongoing assessments of potential impacts[169] - The global minimum top-up tax, effective January 1, 2024, is not expected to materially impact the company's financial position[176] - The company adopted amendments to IAS 1 on January 1, 2024, clarifying the classification of debt and liabilities, with no material impact on financial statements[179] Strategic Initiatives - The company aims to enhance cash flows and pursue new acquisitions as part of its operations-oriented approach to building value[115] - The company may make future commitments to Brookfield-sponsored private equity funds for target acquisitions as part of its strategy[170] - The Board of Directors declared a quarterly dividend of $0.0625 per exchangeable share, payable on December 31, 2024[159]

Financial Overview - Brookfield Business Corporation's financial information is derived from unaudited interim condensed consolidated financial statements prepared in accordance with IAS 34, presented in U.S. dollars rounded to the nearest million[131]. - The financial statements are for the interim period ending June 30, 2024, and include results for the three and six months ended June 30, 2024 and 2023[190]. - The financial position and operating results are presented in the unaudited interim condensed consolidated financial statements[190]. - Comprehensive income and cash flow statements are included in the financial disclosures[190]. - Management's discussion and analysis of financial condition and results of operations is provided[190]. Performance Metrics - For the three months ended June 30, 2024, net income from continuing operations decreased by $155 million to $40 million, compared to $195 million for the same period in 2023[134]. - Revenues for the three months ended June 30, 2024, were $1,929 million, an increase of $21 million from $1,908 million in the same period of 2023[136]. - Direct operating costs for the three months ended June 30, 2024, increased by $191 million to $1,860 million, compared to $1,669 million for the same period in 2023[138]. - General and administrative expenses for the three months ended June 30, 2024, rose by $14 million to $77 million, compared to $63 million for the same period in 2023[139]. - Interest expense, net for the three months ended June 30, 2024, decreased by $30 million to $203 million, compared to $233 million for the same period in 2023[140]. - Remeasurement gain on exchangeable shares and class B shares for the three months ended June 30, 2024, was $237 million, compared to a gain of $101 million for the same period in 2023[141]. - Net other expense for the three months ended June 30, 2024, was $59 million, a decrease of $230 million from net other income of $171 million for the same period in 2023[141]. - For the six months ended June 30, 2024, net loss from continuing operations was $134 million, compared to net income of $13 million for the same period in 2023[135]. - Revenues for the six months ended June 30, 2024, were $3,794 million, an increase of $21 million from $3,773 million in the same period of 2023[138]. - Revenues for Q2 2024 were $1,929 million, a 3.4% increase from Q1 2024's $1,865 million[146]. - Net income from continuing operations was $40 million in Q2 2024, compared to a loss of $174 million in Q1 2024[146]. Cash Flow and Liquidity - Cash flow used in operating activities for the six months ended June 30, 2024 was $19 million, compared to $69 million used in the same period in 2023[171]. - Cash flow provided by financing activities was $234 million for the six months ended June 30, 2024, compared to cash used of $239 million in the same period in 2023[172]. - Cash flow used in investing activities was $171 million for the six months ended June 30, 2024, compared to cash flow provided of $375 million in the same period in 2023[173]. - The company aims to maintain strong liquidity through cash flows, credit facilities, and monetization of mature operations[161]. - Cash and cash equivalents as of June 30, 2024 were $754 million, a decrease from $772 million as of December 31, 2023[169]. Assets and Liabilities - Financial assets increased by $100 million to $324 million as of June 30, 2024, compared to $224 million at December 31, 2023[151]. - Accounts receivable decreased by $234 million to $3,335 million as of June 30, 2024, from $3,569 million at December 31, 2023[152]. - Property, plant, and equipment (PP&E) decreased by $72 million to $2,671 million as of June 30, 2024, primarily due to foreign exchange impacts[153]. - Intangible assets decreased by $520 million to $6,411 million as of June 30, 2024, mainly due to amortization and foreign exchange movements[154]. - Accounts payable increased by $212 million to $5,030 million as of June 30, 2024, compared to $4,818 million at December 31, 2023[156]. - Non-recourse borrowings in subsidiaries decreased to $8,332 million as of June 30, 2024, from $8,823 million at December 31, 2023[162]. - Total non-recourse borrowings in subsidiaries decreased by $491 million from $8,823 million as of December 31, 2023 to $8,332 million as of June 30, 2024[163]. - The company has a total of $16,236 million in undiscounted contractual obligations as of June 30, 2024[185]. Strategic Initiatives - The company aims to enhance cash flows and pursue new acquisitions through an operations-oriented approach, focusing on profitability and sustainability[132]. - The company emphasizes the importance of reviewing the partnership's periodic reporting for shareholders[120]. - The company has an equity commitment of $2 billion from its partnership to maximize access to equity capital[164]. - The Board of Directors declared a quarterly dividend of $0.0625 per exchangeable share, payable on September 27, 2024[168]. - The company has not repurchased any of its exchangeable shares during the six months ended June 30, 2024[178]. Risks and Uncertainties - Forward-looking statements in the MD&A are subject to risks and uncertainties that could cause actual results to differ materially[122]. - The MD&A includes cautionary statements regarding forward-looking information, highlighting the potential for changes in economic conditions and other factors[123]. - The company does not have control over all businesses in which it owns investments, which may impact its financial performance[127]. - No future changes to IFRS are expected to have material impacts on the company[188].

Group 1: Market Overview - The Russell 2000 index, representing the 2,000 smallest companies by market capitalization, experienced a gain of over 3% on July 17, marking its fifth consecutive day of increases [1] - Year-to-date, the Russell 2000 is up 11.8%, which is 631 basis points lower than the S&P 500 [1] - Fundstrat Global Advisors' Tom Lee suggests that the Russell 2000 has significant upside potential, predicting a possible increase of up to 40% over the next 10 weeks [1] Group 2: Company Highlights - Brookfield Business Corporation (BBUC) focuses on business services, industrials, and infrastructure services, generating approximately $6 billion in proceeds from monetizing 20 businesses since its inception [2][3] - Enstar Group (ESGR) is the world's largest standalone run-off consolidator, with a book value per share of $341.53, reflecting a 1.4% increase from the previous quarter and a compound annual growth rate of 16.1% since 2003 [4][5] - Taylor Morrison Home (TMHC) has seen its stock price increase by 179% since September 2022, following its acquisition of William Lyon Homes for $2.5 billion, which expanded its market presence significantly [6][7]