Ameriprise Financial Inc.'s (AMP) second-quarter profit more
than doubled on its $1 billion acquisition of the Columbia
Management business from Bank of America Corp. (BAC) in April.
Fitch Ratings last month raised its outlook on the
financial-services planning provider, saying its balance-sheet
fundamentals remained strong and its exposure to investment losses
is manageable.
Ameriprise on Wednesday posted second-quarter earnings of $259
million, or 98 cents a share, up from $95 million, or 41 cents a
share, a year earlier. Operating earnings, which exclude
integration expenses and other items, jumped to $1.10 from 47 cents
as net revenue on that basis increased 27% to $2.38 billion.
Analysts surveyed by Thomson Reuters had estimated earnings of
77 cents on revenue of $2.32 billion.
Owned, managed and administered assets totaled $600 billion as
of June 30, up 51% on-year, following the Columbia deal. The number
of advisers was down 7% on-year at 11,684.
Ameriprise shares closed Wednesday at $38.28 and were inactive
after-hours.
-By Yogita Patel and Kevin Kingsbury, Dow Jones Newswires;
212-416-2262; yogita.patel@dowjones.com