Principal Financial's Q4 profit climbs on strength in specialty benefits business

Principal Financial

06/02/2025 21:59

Feb 6 (Reuters) - Principal Financial Group  PFG.O 
reported an increase in fourth-quarter profit on Thursday,
helped by higher premiums and fees in its specialty benefits
business.
    The Des Moines, Iowa-based company's premium and fees from
its specialty benefits business, which provides employee benefit
plans to small- and mid-sized businesses, rose 4% to $823.6
million in the quarter ended December 31.
    High interest rates have helped insurers rake in more from
fixed-income investments. Their stock portfolios have also seen
a jump, thanks to a rally in equity markets due to economic
resilience and an anticipated business-friendly environment
under President Donald Trump.
    The company's adjusted operating earnings were $448.1
million, or $1.94 per share, up from $440.5 million, or $1.83
per share, a year ago. 
    Its assets under management rose 3% to $712.1 billion.
    However, PFG's fourth-quarter net investment income was
marginally down at $1.12 billion, compared with $1.13 billion a
year earlier.

 (Reporting by Jaiveer Singh Shekhawat in Bengaluru; Editing by
Shilpi Majumdar)
 ((JaiveerSingh.Shekhawat@thomsonreuters.com;))