Principal Financial Group, Inc. (PFG) Earnings
Principal Financial Group, Inc. is expected to report next earnings on July 27, 2026 (in NaN days), with a consensus EPS estimate of $2.33. PFG has beaten EPS estimates in 5 of its last 12 reported quarters (average surprise -2.2% over the last four).
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| Apr 24, 2026 | $2.01 | $2.07 | +3.0% | $3.5B | -14.6% |
| Apr 24, 2025 | $1.82 | $1.81 | -0.5% | $3.7B | -7.7% |
| Feb 6, 2025 | $1.93 | $1.94 | +0.5% | $4.8B | +15.4% |
| Oct 24, 2024 | $1.99 | $1.76 | -11.6% | $3.0B | -23.1% |
| Jul 25, 2024 | $1.84 | $1.63 | -11.4% | $4.3B | +13.6% |
| Apr 25, 2024 | $1.73 | $1.65 | -4.6% | $4.1B | +10.3% |
| Oct 26, 2023 | $1.65 | $1.72 | +4.2% | $4.6B | +27.6% |
| Jul 27, 2023 | $1.65 | $1.53 | -7.3% | $3.6B | +2.2% |
| Apr 27, 2023 | $1.54 | $1.48 | -3.9% | $2.8B | -16.3% |
| Jan 30, 2023 | $1.52 | $1.70 | +11.8% | $3.1B | -6.6% |
| Oct 27, 2022 | $1.45 | $1.69 | +16.6% | $4.6B | +45.6% |
| Apr 28, 2022 | $1.56 | $1.63 | +4.5% | $3.1B | -12.4% |
Source: company filings + earnings calendar. For informational purposes only — not investment advice.
Earnings call summary
Q1 FY2026 · April 24, 2026
AI summary of management’s prepared remarks and analyst Q&A. For informational purposes only — not investment advice.
Management highlights
- Strong first quarter performance with 13% adjusted non-GAAP earnings per share growth, driven by favorable underwriting results, improved mortality in benefits and protection, and positive market conditions for fee-based businesses. - Returned approximately $375 million of capital to shareholders, including $200 million of share repurchases and raised the common stock dividend for the 12th consecutive quarter. - Progress across strategic growth drivers: retirement ecosystem had $12 billion in total retirement transfer deposits growing 35% year-over-year, recurring deposits growing 7%; small and mid-sized business segment had strong recurring deposits growth, specialty benefits delivered record sales up 24% year-over-year; global asset management had record growth sales and investment management of $37 billion, up 21% year-over-year. - Recognitions: Principal named one of the world's most ethical companies for the 15th time, Principal Asset Management named Data Center Firm of the Year in North America by PERE.
Guidance
- Full-year 2026 variable investment income expected to improve relative to 2025, with or without reclassification of depreciation for core real estate. - Dividend payout ratio remains aligned with targeted 40%, with an $0.82 common stock dividend payable in the second quarter, a $0.02 increase from the first quarter. - Expect loss ratios for specialty benefits to emerge at the low end or even slightly below the low end of the range communicated at Outlook. - International pension results expected to have a good run rate in the mid-70s. - Expect 2026 investment management growth sales to improve relative to 2025, with some pickup in real estate transaction activity in the second, third, and fourth quarter.
Segment performance
In the first quarter, adjusted non-GAAP earnings per share grew 13%, above the high end of the target range. RIS had pre-tax operating earnings of $318 million, up 4% year-over-year, with 3% net revenue growth and margin expansion. Principal Asset Management delivered 10% year-over-year earnings growth on 5% revenue growth and margin expansion. International pension had AUM increase 4% sequentially and 20% year-over-year to a record $160 billion, with pre-tax operating earnings up 14% year-over-year. Benefits and protection had pre-tax operating earnings of $177 million, an increase of 41% year over year, driven by favorable specialty benefits underwriting, improved life mortality, and business growth.
Risks & headwinds
- Insurance industry's exposure to private credit, although the vast majority of private fixed income securities are investment grade with minimal exposure to direct lending, and the portfolio continues to perform well but there could be potential risks related to market conditions and performance of private assets. - Uncertainty in the economy and market volatility could potentially impact SMB employment and business results down the road, although currently not seeing significant impact.
Analyst Q&A
Q: Provide more color on favorable underwriting experience across dental, life, and disability in specialty benefits and outlook.
A: Underwriting performance strong, driven by group life, dental (past pricing actions and network optimization), and group disability. Second quarter seasonally highest for dental, but full-year loss ratios expected at low end or below range.
Q: On investment management, color on growth sales momentum and redemptions.
A: Record growth sales due to new product focus and distribution growth, but redemptions concentrated in small number of U.S. active equity mutual funds in U.S. wealth channel, goal to improve NCF profile as redemption activity normalizes.
Q: On individual life segment earnings power change.
A: Strong earnings driven by mortality, positive volatility, but full-year margin expected in range, incidence and severity both contributing.
Q: On RIS flow outlook for rest of year.
A: Q1 strongest for sales and transfer deposits, remaining quarters impacted by strong markets and lumpiness.
Q: On RIS advice model vs competitors' wealth management offices.
A: Focus on majority of participants with call center model, some salary-based advisors, supplementing with enhanced technology.
Q: On SMB market employment outlook and potential lag from economic uncertainty.
A: Diversity of employers serves well, regular surveys not seeing impact yet, but will monitor, small and mid-sized business owners optimistic when uncertainty clears.
Q: On international pension earnings drivers and repeatable factors.
A: Strong earnings growth due to performance fee (volatile), FX tailwinds, and underlying business results, with mid-70s run rate expected.
Q: On lower PRT sales in quarter and competition in SMB PRT market.
A: Fourth quarter strong PRT sales reduced first quarter pipelines, industry light in first quarter, but pipeline remains light in second quarter with expectation of more accelerated sales in second half.
Q: On specialty benefits M&A contribution to new business growth and potential targets.
A: Small dental network acquisition not in first quarter results, benefit to show up in second quarter and beyond, looking to transact on areas to drive growth.
Q: On RIS fee flows jumbo case influence.
A: Strong wins in first quarter after strong fourth quarter, with broad strength and large case wins contributing to transfer deposit growth.
Q: On investment performance in equities, asset allocation, fixed income and three-year numbers.
A: US equities active is an area of weakness in short term, non-US fixed income performance strong, asset allocation strategies designed to be different from index leading to deviation, long-term numbers good.
Q: On specialty benefits M&A contribution and other targets.
A: Small dental network acquisition not in first quarter results, benefit to show up later, looking to transact on areas to drive growth.
Q: On RIS stance on privates in retirement funds and industry heading.
A: Support thoughtful efforts to expand investment options, but complex and slow to be included, evaluated through advised solutions first.
Q: On RIS fee vs spread mix evolution.
A: Holistically think about fees and spread, focus on growing capital preservation options like WSRS GA solutions while driving profitable fee-based flows.