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Sep 30, 2024

Ameriprise Q3 2024 Earnings Report

Ameriprise demonstrated strong financial performance, driven by growth in revenue and earnings across its business segments.

Key Takeaways

Ameriprise Financial reported a strong third quarter in 2024, with adjusted operating earnings per diluted share increasing by 17% to $9.02, excluding unlocking and severance expenses. The company saw an 11% increase in adjusted operating net revenues, driven by organic growth, strong equity markets, and higher spread revenues. Assets under management and administration reached $1.5 trillion, a 22% increase. Ameriprise returned $713 million of capital to shareholders, highlighting its financial strength and cash flow.

Adjusted operating earnings per diluted share increased 17% to $9.02, excluding unlocking and severance expenses.

Assets under management and administration grew 22% to $1.5 trillion.

Adjusted operating net revenues increased 11% due to organic growth and strong equity markets.

The company returned $713 million of capital to shareholders.

Total Revenue
$4.56B
Previous year: $4.08B
+11.9%
EPS
$9.02
Previous year: $7.68
+17.4%
Total AUM and AUA
$1.51T
Previous year: $1.2T
+25.5%
Gross Profit
$1.91B
Previous year: $2.14B
-10.8%
Cash and Equivalents
$10.7B
Previous year: $7.99B
+33.9%
Free Cash Flow
$2.83B
Total Assets
$186B
Previous year: $165B
+12.6%

Ameriprise

Ameriprise

Ameriprise Revenue by Segment

Forward Guidance

Ameriprise anticipates continued growth and profitability, driven by strategic investments, operational efficiencies, and a strong focus on client and advisor value propositions.

Positive Outlook

  • Strong revenue and earnings growth across the business.
  • Positive market environment and planning expertise driving client investments.
  • Significant increase in flows into fee-based investment advisory accounts.
  • Strong transactional activity and advisor productivity.
  • Continued drive for operating efficiencies and investments for growth.

Challenges Ahead

  • Unfavorable market impacts on the valuation of derivatives and market risk benefits.
  • Annual actuarial assumption update resulting in an unfavorable after-tax impact.
  • Severance expenses related to initiatives to enhance operational efficiency.
  • Increased distribution expenses associated with strong sales levels.
  • Mark-to-market impacts on share-based compensation.

Revenue & Expenses

Visualization of income flow from segment revenue to net income