Ameriprise Financial Services Inc. (AMP) has reported third-quarter earnings of $397 million, or $2.17 per share, vs. profits of $420 million, or $2.17 per share, a year ago. On an adjusted basis, though, results improved 5% to $429 million, or $2.35 per share, vs. $407 million, or $2.10, last year; these results beat analysts' estimates.
The financial services company, which was spun off from American Express in October 2005, posted revenue of $2.9 billion in the period, down from $3.1 billion in Q3'14. The company, though, was able to trim operating expenses by 1% in the period to $2.3 billion, including a 4% drop in general and administrative expenses.
"Ameriprise had a solid third quarter given the backdrop of declining and volatile equity markets, unfavorable foreign exchange and persistently low interest rates," said Jim Cracchiolo, chairman and CEO, in a statement.
"In Advice and Wealth Management, we're serving more clients and delivered another strong quarter for experienced advisor recruiting, both of which contributed to good client flows and helped balance market-related impacts in our other businesses," Cracchiolo explained.
Total assets under management and administration were $766 billion – with Advice & Wealth Management advisor client assets totaling $433.5 billion, down slightly (by about $300 million) from a year ago "as lower equity markets were partially offset by continued strength in fee-based investment advisory net inflows, including $3.0 billion of net inflows in the quarter," according to the company.
