Canaccord Genuity Group Inc. Reports Second Quarter Fiscal 2018 Results

   Canaccord Genuity Group Inc. Reports Second Quarter Fiscal 2018 Results

  PR Newswire

  TORONTO, November 8, 2017

TORONTO, November 8, 2017 /PRNewswire/ --

Excluding significant items, second quarter earnings per common share of $0.01
  ^(1) Significantly increased scale of global wealth management business;  
    assets under   administration and management increase to $54.5 billion

(All dollar amounts are stated in Canadian dollars unless otherwise indicated)

During the second quarter of fiscal 2018, the quarter ended September 30,
2017, Canaccord Genuity Group Inc. (Canaccord Genuity, the Company, TSX: CF)
generated $191.5 million in revenue. Excluding significant items ^(1) [,] the
Company recorded net income ^(3) of $3.5 million or net income of $1.0 million
attributable to common shareholders ^(2) (earnings per common share of $0.01).
 In September, the Company completed the acquisition of Hargreave Hale Limited
and recorded as significant items acquisition-related costs and certain
restructuring expenses in connection with the transaction. Including all
significant items, on an IFRS basis, the Company recorded a net loss ^(3) of
$7.3 million or a net loss attributable to common shareholders ^(2) of $9.8
million (a loss per common share of $0.11).

"Our fiscal second quarter results reflect the increasing stability that our
global wealth management operations are capable of delivering against a
challenging backdrop for mid-market investment banking and advisory activity,"
said Dan Daviau, President & CEO of Canaccord Genuity Group Inc. "We are
encouraged by improving activity levels heading into the second half of our
fiscal year and we look forward to delivering improving returns and stronger
long-term stability for our shareholders."

Second Quarter of Fiscal 2018 vs. Second Quarter of Fiscal 2017  

  * Revenue of $191.5 million, a decrease of 1.1% or $2.1 million from $193.6
    million
  * Excluding significant items, expenses of $186.2 million, a decrease of
    2.4% or $4.5 million from $190.7 million ^(1)
  * Expenses of $198.6 million, an increase of 3.0% or $5.8 million from
    $192.8 million
  * Excluding significant items, earnings per common share of $0.01 compared
    to a loss per common share of $0.03 ^(1 ^)
  * Excluding significant items, net income ^(3) of $3.5 million compared to
    net income ^(3) of $2.0 million ^(1)
  * Net loss ^(3) of $7.3 million compared to net income ^(3) of $0.2 million
  * Loss per common share of $0.11 compared to a loss per common share of
    $0.05

Second Quarter of Fiscal 2018 vs First Quarter of Fiscal 2018  

  * Revenue of $191.5 million, a decrease of 4.1% or $8.3 million from $199.8
    million
  * Excluding significant items, expenses of $186.2 million, a decrease of
    5.5% or $10.8 million from $197.0 million ^(1)
  * Expenses of $198.6 million, a decrease of 1.5% or $3.0 million from $201.6
    million
  * Excluding significant items, earnings per common share of $0.01 compared
    to a loss per common share of $0.01 ^(1)
  * Excluding significant items, net income ^(3) of $3.5 million compared to
    net income ^(3) of $1.6 million ^(1)  
  * Net loss ^(3) of $7.3 million compared to a net loss ^(3) of $2.6 million
  * Loss per common share of $0.11 compared to a loss per common share of
    $0.05

Year-to-Date Fiscal 2018 vs. Year-to-Date Fiscal 2017 (Six months Ended
September 30, 2017 vs. Six Months Ended September 30, 2016)  

  * Revenue of $391.4 million, a decrease of 2.1% or $8.4 million from $399.8
    million 
  * Excluding significant items, expenses of $383.2 million, a decrease of
    0.4% or $1.4 million from $384.6 million ^(1)
  * Expenses of $400.2 million, an increase of 2.9% or $11.2 million from
    $389.0 million
  * Excluding significant items, diluted EPS of $0.00 compared to diluted EPS
    of $0.02 ^(1)
  * Excluding significant items, net income ^(3) of $5.2 million compared to
    net income of $10.1 million ^(1)  
  * Net loss ^(3) of $9.8 million compared to net income ^(3) of $7.7 million
  * Loss per common share of $0.16 compared to a loss per common share $0.01

Financial Condition at end of Second Quarter Fiscal 2018 vs. Fourth Quarter
Fiscal 2017  

  * Cash and cash equivalents balance of $543.1 million, a decrease of $134.7
    million from $677.8 million
  * Working capital of $464.7 million, a decrease of $23.8 million from $488.5
    million
  * Total shareholders' equity of $720.4 million, a decrease of $44.4 million
    from $764.8 million
  * Book value per diluted common share of $4.74, a decrease of $0.34 from
    $5.08 ^(4)
  * On November 7, 2017, the Board of Directors approved a dividend of $0.01
    per common share, payable on December 15, 2017, with a record date of
    December 1, 2017.
  * On November 7, 2017, the Board of Directors approved the following cash
    dividends: $0.24281 per Series A Preferred Share payable on January 2,
    2018 with a record date of December 22, 2017; and $0.31206 per Series C
    Preferred Share payable on January 2, 2018 with a record date of December
    22, 2017.

SUMMARY OF OPERATIONS  

Corporate  

  * On August 11, 2017, the Company announced the filing of a normal course
    issuer bid (NCIB) to purchase common shares of the Company through the
    facilities of the TSX and on alternative trading systems during the period
    from August 15, 2017 to August 14, 2018.  The purpose of any purchase
    under this program is to enable the Company to acquire shares for
    cancellation.  The maximum number of shares that may be repurchased
    represented 5.0% of the Company's outstanding common shares at the time of
    filing the NCIB.  There have been no shares purchased under this and the
    previous NCIB during the six months ended September 30, 2017.
  * On September 18, 2017, the Company, through its UK & Europe based wealth
    management business, Canaccord Genuity Wealth Management ("CGWM (UK)"),
    completed its previously announced acquisition of Hargreave Hale Limited
    ("Hargreave Hale"). The Company acquired 100% of Hargreave Hale for cash
    and deferred consideration of £52.4 million (C$86.4 million) and
    additional contingent consideration of up to £27.5 million (C$45.4
    million). The contingent consideration is structured to be payable over a
    period of up to three years, subject to the achievement of certain
    performance targets related to the retention and growth of client assets
    and revenues and an amount determined with reference to the fund
    management business.  The cash consideration was funded in part from a
    credit facility provided to CGWM (UK) by National Westminster Bank plc and
    HSBC Bank plc in the amount of £40.0 million (C$66.9 million).  Additional
    contingent consideration, if paid, will be funded from the ongoing cash
    flow of the business. The Company expensed $4.4 million of acquisition
    related costs and $2.0 million of restructuring expense for Q2/18 and $6.5
    million of acquisition-related costs for the six months ended September
    30, 2017.  In connection with the acquisition, an additional expense of
    £14.0 million (C$23.4 million) is expected to be recorded as a significant
    item over a four-year measurement period. This amount includes certain
    incentive-based payments determined with reference to financial targets
    and other performance criteria.

Capital Markets 

  * Canaccord Genuity participated in 66 investment banking transactions
    globally, raising total proceeds of C$6.3 billion ^(5) during fiscal Q2/18
  * Canaccord Genuity led or co-led 23 transactions globally, raising total
    proceeds of C$541.6 million ^(5) during fiscal Q2/18
  * Significant investment banking transactions for Canaccord Genuity during
    fiscal Q2/18 include:

       * £200.0 million initial public offering of Triple Point Social Housing
         REIT plc on LSE
       * £58.8 million for accesso Technology Group plc on AIM
       * £53.0 million for Pacific Industrial and Logistics REIT plc on AIM
       * AUD$134.6 million for Cooper Energy Limited on ASX
       * C$35.0 million for Barkerville Gold Mines on TSXV
       * AUD$32.5 million for Osprey Medical, Inc. on ASX
       * C$30.0 million for Canaccord Genuity Acquisition Corp. on TSX
       * C$25.1 million for The Hydropothecary Corporation on TSXV
       * US$20.1 million for Summit Therapeutics on Nasdaq
       * US$20.1 million for T2 Biosystems Inc. on Nasdaq
       * C$24.1 million for Bowmore Exploration Ltd. (Osisko Metals) on TSX

  * In Canada, Canaccord Genuity participated in raising $225.0 million for
    government and corporate bond issuances during fiscal Q2/18
  * Canaccord Genuity generated advisory revenues of $30.4 million during
    fiscal Q2/18, an increase of $9.1 million or 42.8% compared to the same
    quarter last year
  * During fiscal Q2/18, significant M&A and advisory transactions included:

       * Cape plc on its £575 million sale to Altrad Investment Authority SAS
       * Sandvine Corporation on its C$562 million sale to Francisco Partners
         and Procera Networks
       * Monitise plc on its £75 million sale to Fiserv, Inc.
       * OSRAM Licht AG on its acquisition of Digital Lumens
       * Sientra Inc. on its acquisition of Miramar Labs
       * Shore Gold Inc. on the consolidation of the Star-Orion South Diamond
         Project and earn-in option agreement with Rio Tinto
       * Pollard Banknote on its C$51 million acquisition of Innova
       * ICG on its investment in Blackrock Expert Services
       * Carmanah Technologies on the US$19.5 million sale of its Go Power!
         Business to Valterra Products
       * Goals Soccer Centres Plc on the formation of its joint venture with
         City Football Group
       * Atlas for Men on the refinancing and dividend recapitalization of its
         existing LBO
       * NCE Computer Group on its sale to Park Place Technologies
       * CORWIL Technology on its sale to Integra Technologies
       * Stirling Square on its investment in Isoclima Group as part of a
         management buyout
       * Dalradian Resources on its C$20 million purchase of the 2% net
         smelter return royalty on its Curraghinalt gold deposit from Minco
         plc
       * RG group on its €145 million sale to LBO France from Abénex Capital
       * Tiama on its €150 million sale to Caravelle private equity fund

Canaccord Genuity Wealth Management (Global) Contributions from Hargreave Hale
from September 18, 2017 are included in the operating figures under Canaccord
Genuity Wealth Management (UK & Europe) below.  

  * Globally, Canaccord Genuity Wealth Management generated $70.6 million in
    revenue in Q2/18
  * Assets under administration in Canada and assets under management in the
    UK & Europe and Australia were $54.5 billion at the end of Q2/18 ^(4)

Canaccord Genuity Wealth Management (North America)  

  * Canaccord Genuity Wealth Management (North America) generated $32.1
    million in revenue and, after intersegment allocations and before taxes,
    recorded net income of $1.1 million in Q2/18
  * Assets under administration in Canada were $12.8 billion as at September
    30, 2017, an increase of 1.0% from $12.7 billion at the end of the
    previous quarter and an increase of 23.9% from $10.3 billion at the end of
    fiscal Q2/17 ^(4)
  * Assets under management in Canada (discretionary) were $2.7 billion as at
    September 30, 2017, an increase of 1.5% from Q1/18 and an increase of
    120.5% from $1.2 billion at the end of fiscal Q2/17 ^(4)
  * Canaccord Genuity Wealth Management had 134 Advisory Teams ^(6) at the end
    of fiscal Q2/18,  a decrease of one Advisory Team from June 30, 2017 and a
    decrease of five from September 30, 2016

Canaccord Genuity Wealth Management (UK & Europe)  

  * Wealth management operations in the UK & Europe generated $37.5 million in
    revenue and, after intersegment allocations, and excluding significant
    items, recorded net income of $7.5 million before taxes in Q2/18 ^(1)
  * Assets under management (discretionary and non-discretionary) were $40.8
    billion (£24.4 billion) as at September 30, 2017, an increase of 58.4%
    from $25.8 billion (£15.3 billion) at the end of the previous quarter and
    an increase of 75.8% from $23.2 billion (£13.6 billion) at September 30,
    2016 ^(4) . In local currency (GBP), assets under management at September
    30, 2017 increased by 59.8% compared to Q1/18 and 78.8% compared to
    September 30, 2016.  The increase in AUM in Q2/18 was largely due to the
    acquisition of Hargreave Hale.

Non-IFRS Measures The non-International Financial Reporting Standards (IFRS)
measures presented include assets under administration, assets under
management, book value per diluted common share and figures that exclude
significant items. Significant items include restructuring costs, amortization
of intangible assets acquired in connection with a business combination,
impairment of goodwill and other assets, acquisition-related expense items,
which include costs recognized in relation to both prospective and completed
acquisitions,  gains or losses related to business disposals including
recognition of realized translation gains on the disposal of foreign
operations, as well as certain expense items, typically included in
development costs, which are considered by management to reflect a singular
charge of a non-operating nature. Book value per diluted common share is
calculated as total common shareholders' equity adjusted for assumed proceeds
from the exercise of options and warrants and conversion of convertible
debentures divided by the number of diluted common shares outstanding
including estimated amounts in respect of share issuance commitments including
options, warrants, and convertible debentures, as applicable, and adjusted for
shares purchased under the NCIB and not yet cancelled and estimated
forfeitures in respect of unvested share awards under share-based payment
plans.

Management believes that these non-IFRS measures will allow for a better
evaluation of the operating performance of the Company's business and
facilitate meaningful comparison of results in the current period to those in
prior periods and future periods. Figures that exclude significant items
provide useful information by excluding certain items that may not be
indicative of the Company's core operating results. A limitation of utilizing
these figures that exclude significant items is that the IFRS accounting
effects of these items do in fact reflect the underlying financial results of
the Company's business; thus, these effects should not be ignored in
evaluating and analyzing the Company's financial results. Therefore,
management believes that the Company's IFRS measures of financial performance
and the respective non-IFRS measures should be considered together. 


  

                                                      Quarter-                       YTD -
                                                         over-                     over -
                                  Three months ended   quarter Six months ended        YTD
                                     September 30       change   September 30       change
   (C$ thousands, except per
    share and % amounts)               2017      2016              2017     2016
    Total revenue per IFRS         $191,547  $193,602  (1.1) % $391,355 $399,782     (2.1)%
    Total expenses per IFRS       $198,613  $192,845     3.0% $400,193 $389,014      2.9 %
    Revenue
    Significant items recorded
    in Canaccord Genuity
              Realized
              translation gains
              on disposal of
    Singapore                             -         -        -        -    1,193   (100.0)%
    Total revenue excluding
    significant items               191,547   193,602  (1.1) % 391,355  398,589     (1.8)%
    Expenses
    Significant items recorded
    in Canaccord Genuity
              Amortization of
              intangible assets         579       827 (29.9) %    1,159    1,646    (29.6)%
              Restructuring costs
              (2)                     4,256         -     n.m.    4,704        -      n.m.
    Significant items recorded
    in Canaccord Genuity
              Wealth Management
              Amortization of
              intangible assets       1,262     1,323  (4.6) %   2,586    2,727     (5.2)%
              Restructuring costs
              (2)                     2,000         -     n.m.    2,000        -      n.m.
              Acquisition-related
              costs                   4,364         -     n.m.    6,548        -      n.m.
    Total significant items          12,461     2,150     n.m.   16,997    4,373    288.7 %
    Total expenses excluding
    significant items               186,152   190,695  (2.4) %  383,196  384,641     (0.4)%
    Net income before taxes -
    adjusted                         $5,395    $2,907    85.6%   $8,159  $13,948    (41.5)%
    Income taxes - adjusted          1,847       899   105.5%    2,996    3,801    (21.2)%
    Net income - adjusted            $3,548    $2,008    76.7%   $5,163  $10,147    (49.1)%
    Net income (loss)
    attributable to common
    shareholders, adjusted              970   (2,481)   139.1%      343    1,819    (81.1)%
    Earnings (loss) per common
    share - basic, adjusted           $0.01   $(0.03)   133.3%    $0.00    $0.02   (100.0)%
    Earnings (loss) per common
    share - diluted, adjusted         $0.01   $(0.03)   133.3%    $0.00    $0.02   (100.0)%

elected financial information excluding significant items ^(1)


  
(1) Figures excluding significant items are non-IFRS measures. See Non-IFRS Measures on page 5.

(2) Restructuring costs for the six months ended September 30, 2017 related to termination benefits incurred as a result of the closing of certain trading operations in our UK & Europe capital markets operations, staff reductions in our Canadian and US capital markets operations, as well as real estate and other integration costs related to the acquisition of Hargreave Hale.
n.m: not meaningful

Fellow Shareholders:  

Canaccord Genuity Group earned revenue of $192 million for our second quarter
of fiscal 2018. While we are encouraged by the improving momentum for small-
and mid-cap global growth equities that began in late September, the operating
environment we witnessed for most of the three-month period was in many
respects a continuance of the conditions we experienced in our first fiscal
quarter, with the added impact of the typical summer slowdown in North
American markets. 

Despite this being a challenging period for capital markets activities in most
of our regions, I would like to highlight the positive impact that our
strategic shift to strengthening contributions from our global wealth
management operations has contributed to our overall results. Excluding
significant items ^(1) , net income for the three-month period was $3.5
million and diluted earnings per share was $0.01, improvements of 77% and 133%
respectively when compared to the similar revenue environment that we
experienced in the same period last year.

Driving long-term stability for our shareholders requires a disciplined focus
on achieving a balance that will also allow us to deliver more consistent
results from our global capital markets operations. During the quarter, we
incurred restructuring costs of $6.3 million, of which $4.3 million was
attributable to our realignment efforts in our US and Canadian capital markets
businesses, with the balance related to our acquisition of Hargreave Hale.
Additionally, cost containment continues to be an important priority across
our operations. Excluding significant items ^(1) , expenses as a percentage of
revenue decreased by 1.3 percentage points year-over-year. Non-compensation
related operating expenses decreased a further 4% and our firm wide general &
administrative expenses declined by 7%, when compared to the same period last
year.

Wealth Management: Added scale marks an important point in our journey to
long-term stability  

Our global wealth management operations earned combined revenue of $70 million
in the second quarter, a year-over-year improvement of 9%. At the end of the
three-month period, total assets under management and administration for
Canaccord Genuity Wealth Management grew to $55 billion.

Following the closing of our acquisition of Hargreave Hale on September 18,
our wealth management business in the UK & Europe ended the quarter with a
significant increase in assets under management to $41 billion, cementing its
position as a top 10 wealth manager by assets in the region. Fee-related
revenue in this business increased to 73%, from 71% a year ago. While the
revenue and profitability associated with the increase in client assets from
the Hargreave Hale acquisition will be more wholly reflected in our next
fiscal quarter, the business has continued to post impressive asset growth and
fund sales as we progress with our integration efforts. This acquisition
closed on September 18 and has contributed roughly £2 million in second
quarter revenue for our wealth management business in the UK & Europe.

Our Canadian wealth management business earned revenue of $32 million for the
second quarter, an improvement of 8% compared to the same period last year.
Assets under management and administration in this business reached $12.8
billion, a year-over-year improvement of 24%.

With an added benefit from strengthening market valuations, results in this
business were driven by steady execution of our strategy of investing in and
developing our talent pool to facilitate the delivery of a differentiated
service model. At the end of our second fiscal quarter, average book size per
advisory team improved by 21% compared to a year ago. Discretionary assets in
this business increased by 121% year-over-year, which helped lift the
percentage of fee-related revenue in this business to 42% for our second
fiscal quarter.


  
(1) Figures excluding significant items are non-IFRS measures. See Non-IFRS Measures on page 8.

Our recent achievements have led to an increased pipeline of recruiting
activity in our Canadian wealth management business and we are attracting
growing interest from advisory teams in all regions across Canada. We are also
continuing to explore opportunities to grow our Australian wealth management
operations.

Global Capital Markets: Positioned for stronger performance as the mid-market
environment improves  

In late September, relative performance of the S&P Global Small Cap index
began to show a positive upturn, having lagged the Global Large Cap index for
most of the calendar year. We see this as an encouraging indication that the
environment for growth stocks is improving.

For most of the three-month period, global new issue activity for small and
mid-cap equities posted further declines from the previous quarter and the
impact of this was most notable in our Canadian and US capital markets
businesses. Headwinds from low volatility, low rates and a flat yield curve
also impacted trading volumes across our operations. For our second fiscal
quarter, revenue for our global capital markets division was $119 million.

Our UK & Europe capital markets business delivered a profitable quarterly
result on improved investment banking and advisory activity. On a
year-over-year basis, second quarter revenue in this operation improved by
24%. As the realities of Brexit draw near, our teams in the region have been
productive in several transactions that leverage our unique cross-border
capabilities and relationships to help companies in the UK secure investment
and partnerships from across Europe. In Australia, activity levels have begun
to regain momentum following a period of subdued activity in the previous
quarter, a result of a significant rotation out of small cap equities. Second
quarter investment banking activity in this region was broadly in-line with
historical levels and revenue for the second quarter improved by 210%
sequentially, which helped this this business deliver a pre-tax profit margin
of 11%.

Second quarter performance from our Canadian and US operations was weaker in
part due to the typical summer slowdown, and also a result of the lower levels
of mid-market equity issuance that took place across our industry in both
regions. During the quarter, we made some staffing reductions in both
businesses in the interest of fostering a more intensive focus on driving
profitability in core focus areas, while paring back on strategies that have
been difficult to scale in the current market environment.

On a positive note, advisory revenues earned by our US business for the first
half of fiscal 2018 were 7% higher than the same period last year. This team
has leveraged our strengths in the healthcare and technology sectors to build
a solid pipeline of advisory work, which is a strong complement to our equity
capital markets activities in the region. Our US equities business has also
continued to gain market share in the region, despite the softer trading
environment. In Canada, our origination teams have been actively leveraging
our strengths as the leading independent mid-market investment bank to help
entrepreneurs access growth capital in emerging high-growth sectors with
notable activity in the cannabis and fintech segments. Our recent
establishment of Canaccord Genuity Acquisition Corp. as an alternate vehicle
to access public markets has also attracted interest from numerous
entrepreneurs with established businesses and strong growth potential.

Each of our operations in Canada, US, Australia, UK, Europe & Dubai has its
own distinct regional advantages, but our global capabilities are an
extraordinary differentiator and an important competitive advantage for our
business. Across our global capital markets operations, activity levels
heading into our third fiscal quarter are markedly stronger than in the first
half of the year. Strengthening commodity prices helped to lift the TSX to
near-record levels in October, which bodes well for activities in our Canadian
and Australian capital markets businesses. We are also progressing with the
establishment of ancillary businesses within our capital markets operations
which will allow us to capture greater efficiencies from our existing
infrastructure, while offering a broader suite of products and services to our
existing client base.

And finally, I'd like to provide an update on our expectations for the
upcoming implementation of MiFID II. First and foremost, we have developed a
strategy to capitalize on our commitment to producing the highly focused
research and strong trade execution that adds the greatest value for our buy
side clients and gives us confidence in our ability to continue to attract
commissions. Given our material UK presence, we have been preparing for this
development for some time and we have been having an active dialogue with our
clients around pricing and their approach to MIFID II payment mechanisms. We
expect limited impact to our capital markets business once this change is
implemented. With the added benefit of our proprietary stock screening and
idea generation tool, Quest®, we also see opportunities to provide enhanced
offerings for existing and new clients.

A balanced business model puts us on track for greater earnings stability
through the cycle  

This was a pivotal quarter for our organization, as we added meaningful scale
in our global wealth management operations, a strategy we will continue to
build upon and one which will deliver improved long-term stability for our
shareholders.

Looking ahead, we maintain a constructive outlook for investment banking and
advisory activity. Our unique global mid-market capabilities strengthen our
competitive position in all our regions and the backdrop for our core focus
sectors is healthy. With our efforts to better focus and align our operations,
and the new and improving contributions from our wealth management businesses,
I am confident that market-driven challenges are more navigable for our
business than ever before.

Dan Daviau President & CEO Canaccord Genuity Group Inc.

ACCESS TO QUARTERLY RESULTS INFORM ATION Interested investors, the media and
others may review this quarterly earnings release and supplementary financial
information at
http://www.canaccordgenuitygroup.com/EN/IR/FinReports/Pages/default.aspx

QUARTERLY CONFERENCE CALL AND WEBCAST:  

Interested parties are invited to listen to Canaccord Genuity's second quarter
conference call, via live webcast or a toll free number. The conference call
is scheduled for Wednesday, November 8, 2017 at 5:00 a.m. Pacific time, 8:00
a.m. Eastern time, 12:00 p.m. UK time, 9:00 p.m. China Standard Time, and
midnight Australia EST. During the call, senior executives will comment on the
results and respond to questions from analysts and institutional investors.

The conference call may be accessed live and archived on a listen-only basis
at: http://www.canaccordgenuitygroup.com/EN/NewsEvents/Pages/Events.aspx

Analysts and institutional investors can call in via telephone at:

  * 647-427-7450 (within Toronto)
  * 1-888-231-8191 (toll free outside Toronto)
  * 0-800-051-7107 (toll free from the United Kingdom)
  * 0-800-91-7449 (toll free from France)
  * 10-800-714-1191 (toll free from Northern China)
  * 10-800-140-1195 (toll free from Southern China)
  * 1-800-287-011 (toll free from Australia)
  * 800-017-8071 (toll free from United Arab Emirates

Please ask to participate in the Canaccord Genuity Group Inc. Q2/18 results
call.  If a passcode is requested, please use 93950590.

A replay of the conference call will be made available from approximately two
hours after the live call on November 8, 2017, until December 22, 2017 at
416-849-0833 or 1-855-859-2056 by entering passcode 93950590 followed by the
pound (#) sign.

ABOUT CANACCORD GENUITY GROUP INC.: Through its principal subsidiaries,
Canaccord Genuity Group Inc. (the Company) is a leading independent,
full-service financial services firm, with operations in two principal
segments of the securities industry: wealth management and capital markets.
Since its establishment in 1950, the Company has been driven by an unwavering
commitment to building lasting client relationships. We achieve this by
generating value for our individual, institutional and corporate clients
through comprehensive investment solutions, brokerage services and investment
banking services. The Company has offices in 10 countries worldwide, including
wealth management offices located in Canada, the UK, Guernsey, Jersey, the
Isle of Man and Australia. Canaccord Genuity, the international capital
markets division, operates in Canada, the US, the UK, France, Ireland, Hong
Kong, China, Australia and Dubai. To us there are no foreign markets. ^[ ^TM
^]

Canaccord Genuity Group Inc. is publicly traded under the symbol CF on the
TSX. Canaccord Genuity Series A Preferred Shares are listed on the TSX under
the symbol CF.PR.A. Canaccord Genuity Series C Preferred Shares are listed on
the TSX under the symbol CF.PR.C.

^1 Figures excluding significant items are non-IFRS measures.  See Non-IFRS
measures on pages 5. ^2 Net (loss) income attributable to common shareholders
is calculated as the net (loss) income adjusted for non-controlling interests
and preferred share dividends. ^3 Before non-controlling interests and
preferred share dividends. ^4 See Non-IFRS Measures on pages 5. ^5
Transactions over $1.5 million. Internally sourced information. ^6 Advisory
Teams are normally comprised of one or more Investment Advisors (IAs) and
their assistants and associates, who together manage a shared set of client
accounts. Advisory Teams that are led by, or only include, an IA who has been
licensed for less than three years are not included in our Advisory Team
count, as it typically takes a new IA approximately three years to build an
average-sized book of business. 



None of the information on the Company's websites at www.canaccordgenuity.com, www.canaccordgenuitygroup.com, and www.canaccordgenuity.com/cm should be considered incorporated herein by reference.

Investor relations inquiries: Christina Marinoff, Vice President, Investor
Relations and Communications, Phone: 416-687-5507, E-mail:
christina.marinoff@canaccord.com
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