By Josh Beckerman
Principal Financial Group Inc. (PFG) said second-quarter
operating earnings were essentially flat as foreign-exchange rates
pressured results.
The provider of insurance and retirement plans said an
"outstanding" investment performance helped assets under management
rise to $539.9 billion.
The company said operating earnings, which exclude capital gains
and losses, were $323.9 million, or $1.09 a share, compared with
$323.1 million, or $1.08 a share, a year earlier. After adjusting
for "normalizing items" and foreign exchange rates, operating
earnings increased 10%.
Operating revenue rose 34% to $3.41 billion from $2.54
billion.
Principal Financial said net income available to common
shareholders fell to $241.1 million, or 81 cents a share, from
$306.3 million, or $1.03 a share.
Analysts polled by Thomson Reuters expected per-share operating
profit of $1.04 and revenue of $2.57 billion.
Principal has grown partly through international expansion,
including the $1.51 billion acquisition of Chilean pension manager
Cuprum SA in 2013. In November, Principal said it would buy AXA
SA's (CS.FR) pension business in Hong Kong for about $335 million.
The deal is expected to close on Sept 1.
Write to Josh Beckerman at josh.beckerman@wsj.com
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