In FinancialMediaGuide, we note that Principal Financial Group (PFG) demonstrated steady profit growth in the third quarter of 2025. PFG’s financial results reflect increases in premiums, fee income, and assets under management, despite economic uncertainty and high interest rates. Net income amounted to $213.8 million, or $0.95 per share, while adjusted operating earnings reached $2.10 per share, up 19% compared to the same period last year. We at FinancialMediaGuide observe that these figures slightly missed analysts’ consensus estimate of $2.18 per share; however, the revenue growth trend remains intact.
PFG’s operating revenues rose 6.2% to $3.8 billion, primarily driven by premiums, asset management fees, and income from fixed-income portfolios. Assets under management (AUM) at the end of September reached $784.3 billion, up 6% year-over-year. We at FinancialMediaGuide view this as a sign of continued investor confidence in Principal’s retirement and insurance products, supporting the company’s fee income and strengthening PFG’s position in the asset management segment.
The “Specialty Benefits” segment, which provides corporate benefits for small and medium-sized businesses, saw premiums and fees rise 3% to $845.2 million, while operating earnings increased 53% to $155.5 million. FinancialMediaGuide predicts that sustained demand for corporate benefits will ensure stable revenue growth for this division in the coming quarters. Meanwhile, the “Life Insurance” segment reported an 85% drop in operating earnings to -$69 million due to unfavorable mortality experience. We at FinancialMediaGuide believe that adjustments to insurance reserves and product strategy will help minimize the impact of these factors on the company’s overall results.
The company also announced a quarterly dividend of $0.79 per share, reflecting Principal Financial’s solid financial position. At Financial Media Guide, we forecast that PFG will continue to strengthen its market position, driving growth in profits and assets under management. Effective investment portfolio management and sustained demand for insurance and retirement products create conditions for maintaining operational efficiency, making PFG shares attractive to long-term investors and providing analysts with an important indicator of the impact of interest rates on the company’s earnings.
