NexGen Financial Announces Second Quarter 2012 Results

    




 TORONTO, Aug. 22, 2012 /CNW/ - NexGen Financial Corporation ("NexGen" or "the Company"),  today announced its unaudited  financial results for the quarter ended June 30, 2012. 

 Q2 2012 Highlights  




        --  Assets under management1 ("AUM") increased 7% to $947.5 million
            at June 30, 2012, from $886.9 million at June 30, 2011,
            compared to an industry decline of 0.9% over the same period
        --  Net sales of $14.2 million for the quarter ended June 30, 2012
        --  Launched NexGen Corporate Bond Funds in June 2012 generating
            over $6 million sales during the first month
        --  Operating EBITDA2 improved to $0.20 million ($0.04 per share)
            for Q2, 2012, from negative $0.18 million (negative $0.04 per
            share) for Q2, 2011
        --  NexGen ended Q2, 2012 with $5.9 million of working capital
            available to fund future operations




 NexGen reported a net loss of $0.27 million ($0.06 per share) for the  three months ended June 30, 2012, compared with a net loss of $0.31  million ($0.07 per share) for the same period in the prior year.  Revenues increased 3.8% to $3.24 million for the three months ended  June 30, 2012, from $3.13 million for the three months ended June 30,  2011. 

 "The NexGen Corporate Bond Funds have been well received contributing to  our net sales during the second quarter and expanding our tax efficient  product line" said Laurie Munro, President & CEO of NexGen. 

 The Company's complete financial results are available at ir.nexgenfinancial.ca and www.sedar.com. 

 Notes: 




      1. Assets under management or "AUM" refers to the market value of net
         assets of the investment funds on which management fees are
         calculated. Industry data as reported by the Investment Funds
         Institute of Canada.
      2. Operating EBITDA defined by NexGen as earnings before interest,
         taxes, depreciation and amortization, investment income and other
         non-cash expenses




 Non-GAAP financial measures such as "Assets Under Management" or "AUM",  and "Operating EBITDA" do not have any standardized meaning prescribed  by International Financial Reporting Standards ("IFRS") and may not be  comparable to similar measures presented by other companies. Readers  are cautioned that these non-GAAP measures are not alternatives to  measures determined in accordance with IFRS and should not, on their  own, be construed as indicators of performance, cash flows, or  profitability. However, management of NexGen believes that most  shareholders, creditors and other stakeholders prefer to include the  use of these financial measures in analyzing the Company's results. 

 About NexGen Financial NexGen Financial Corporation is a mutual fund company and was founded to  develop value added investment solutions for financial advisors and  their clients. The firm is focused on the creation of innovative  investment products and services that meet the needs of Canadians  seeking more tax efficient investment opportunities and greater control  over the tax treatment of their investments. Managed by strong  investment professionals, NexGen's unique Registered and Tax-Managed  Fund offerings are well positioned as attractive investment  opportunities for Canadians looking to alleviate the tax costs  associated with traditional investment solutions. 

 Forward Looking Statements This release may contain "forward-looking statements" which reflect the  current expectations of the Company. These statements reflect  management's current beliefs with respect to future events and are  based on information currently available to management. Forward-looking  statements involve significant known and unknown risks, uncertainties  and assumptions. Many factors could cause actual results, performance  or achievements to be materially different from any future results,  performance or achievements that may be expressed or implied by such  forward-looking statements including, without limitation, those listed  under the heading "Risk Factors" in the Company's Management Discussion  and Analysis, which is available on the Company's website and on SEDAR  at www.sedar.com. Should one or more of these risks or uncertainties materialize, or  should assumptions underlying the forward-looking statements prove  incorrect, actual results, performance or achievements could vary  materially from those expressed or implied by the forward-looking  statements contained in this release. Although the forward-looking  statements contained in this release are based upon what the Company  believes to be reasonable assumptions, the Company cannot assure  investors that actual results, performance or achievements will be  consistent with these forward-looking statements. These forward-looking  statements are made as of the date of this release and the Company does  not assume any obligation to update or revise them to reflect new  events or circumstances. 

 Neither TSX Venture Exchange nor its Regulation Services Provider (as  that term is defined in policies of the TSX Venture Exchange) accepts  responsibility for the adequacy of this release. 

NexGen Financial Corporation


CONTACT:  Laurie Munro, President & CEONexGen Financial [e-mail] Abe Goenka, CFO & COONexGen Financial [e-mail] 


    

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