Ameriprise Financial Inc (NYSE:AMP) Posts Strong Q3 2025 Earnings, Beating Estimates

Ameriprise Financial Inc (NYSE:AMP) has announced its financial results for the third quarter of 2025, delivering a performance that surpassed analyst expectations on the top and bottom lines. The company's report highlights robust earnings growth and disciplined expense management, contributing to a strong financial position.

Earnings and Revenue Performance

The financial services firm reported a solid quarter, exceeding the estimates set by market analysts. The results demonstrate the company's ability to grow revenues and maintain profitability in the current economic environment.

• Adjusted Operating Earnings Per Share: The company reported $9.92, excluding unlocking impacts. This surpassed the analyst consensus estimate of $9.82.
• Revenue: Reported revenue for the quarter was $4.61 billion, coming in above the analyst forecast of $4.57 billion.

This earnings beat was primarily driven by continued asset growth across the company's business segments and a disciplined approach to managing expenses. The firm's strategic investments and operational efficiency were cited as key contributors to these results.

Market Reaction

Following the earnings release, Ameriprise stock experienced a slight downward movement in pre-market trading, declining approximately 1.37%. This muted reaction suggests that while the company beat expectations, the results may have been largely anticipated by the market or that investors are weighing other macroeconomic factors. Over the past month, the stock has seen a modest decline of about 1.66%, indicating a period of consolidation leading up to the earnings announcement.

Key Business Segment Highlights

The company's performance was underpinned by strength across its core divisions, each contributing to the overall positive results.

Advice & Wealth Management This segment continues to be a powerhouse for Ameriprise, demonstrating strong underlying growth.

• Pretax adjusted operating earnings increased 7 percent to $881 million.
• Adjusted operating net revenues grew 9 percent to $2.99 billion.
• Total client assets reached a record $1.14 trillion, an 11 percent increase year-over-year.
• Advisor productivity remained high, with adjusted operating net revenue per advisor reaching a new high of $1.1 million on a trailing 12-month basis.

Asset Management The asset management business showed resilience and improved profitability despite some net outflows.

• Pretax adjusted operating earnings rose 6 percent to $260 million.
• Net pretax adjusted operating margin improved 120 basis points to 42.1 percent.
• Assets under management and advisement increased to $714 billion.
• While the segment experienced net outflows of $3.4 billion, this represented a notable improvement from the prior quarter.

Retirement & Protection Solutions This segment delivered a strong performance, benefiting from favorable market conditions.

• Pretax adjusted operating earnings, excluding unlocking, were $200 million.
• Sales were $1.4 billion, with continued strong client demand for structured variable annuities.

Capital Management and Shareholder Returns

Ameriprise maintained its commitment to returning capital to shareholders, a hallmark of its financial strategy. The company declared a regular quarterly cash dividend of $1.60 per common share, payable in November 2025. During the third quarter, the company returned $842 million to shareholders, representing 87 percent of adjusted operating earnings, reinforcing its track record of substantial free cash flow generation.

Looking Ahead

While the earnings release did not provide a specific quantitative financial outlook, the company expressed confidence in its strategic positioning. Chairman and CEO Jim Cracchiolo noted that the firm is "focused on serving our clients exceptionally well while positioning the firm to continue to drive shareholder value in an increasingly fluid economic and market environment."

Analyst estimates for the coming quarter project revenue of $4.71 billion and earnings per share of $10.17. For the full 2025 year, the consensus estimates are for revenue of $17.99 billion and earnings per share of $38.51.

For a more detailed analysis of Ameriprise Financial's earnings history and future estimates, you can review the earnings and estimates data.

Disclaimer: This article is for informational purposes only and does not constitute investment advice, financial advice, or any other type of professional advice. Readers should conduct their own research and consult with a professional financial advisor before making any investment decisions.