Ameriprise Financial delivered a mixed first-quarter report that underscored both the firm’s operational resilience and the pressures of today’s uncertain economic environment—conditions that wealth advisors are contending with across the board.
Adjusted earnings per share for the quarter came in at $9.50, exceeding consensus estimates of $9.08. However, GAAP earnings per share fell sharply to $5.83, down 41% year over year and missing analysts’ expectations of $9.16. The company attributed the disparity primarily to market-driven valuation changes in derivatives and market risk benefits, a reflection of heightened volatility and an increasingly complex macro landscape.
Revenue for the quarter totaled $4.35 billion, below the anticipated $4.42 billion. That shortfall was compounded by significant asset-management net outflows of $18.3 billion, a notable reversal from prior quarters. In his commentary, Wolfe Research analyst Steven Chubak emphasized that while Ameriprise demonstrated agility in managing expenses under pressure, the weaker top-line results will likely mute market enthusiasm and cap EPS revisions unless new insights emerge during the company’s earnings call.
Despite the uneven results, Ameriprise shares edged slightly higher during early Thursday trading, up 0.1% at $471.76. The movement followed an earlier session dip of 2.2%. Still, year-to-date, the stock has declined nearly 11%—a reflection of broad market pressures fueled by escalating trade tensions and erratic fiscal signals from the Trump administration. In comparison, the S&P 500 is down 7.3% over the same period, though it recovered 1.2% on the day of the earnings announcement.
Ameriprise Chairman and CEO Jim Cracchiolo acknowledged the broader market headwinds in his opening remarks, framing the quarter’s challenges within the context of persistent volatility and policy uncertainty. “Clearly, we’ve seen elevated and ongoing market volatility due to the lack of clarity around tariffs and general economic uncertainty,” he said.
Cracchiolo also noted that recent Fed commentary offers little immediate resolution: “We heard from Fed Chair Powell last week that the Fed is still trying to navigate what it all means for the economy, inflation and interest rates.”
Nonetheless, Cracchiolo remained confident in Ameriprise’s long-term positioning. He pointed to the firm’s diversified business model, disciplined execution, and historical success navigating complex economic cycles as key strengths.
That confidence appears to be supported by results in the firm’s core wealth management segment, where client assets rose 7% year over year to surpass the $1 trillion mark. Net client flows into the wealth unit totaled $10.3 billion, up 21% from the same period a year earlier. Adjusted operating net revenue for the division increased 9% to $2.78 billion, highlighting the ongoing demand for high-quality advisory services even in a turbulent market.
While Ameriprise no longer discloses advisor head count or retention data—a decision aligned with moves by several peers in the industry—Cracchiolo addressed the change during the earnings call. “Several of our competitors stopped reporting these metrics,” he said. “So we figured it would be easier to do what they’re doing.” He added that if the firm were still reporting those figures, advisors would see that both head count and retention remain strong.
Cracchiolo went further, noting the firm’s recruiting momentum: “We added 82 experienced advisors during the quarter,” he said, adding that Ameriprise continues to see strong interest from high-caliber advisors looking for greater flexibility, stability, and client-focused support. “Even in periods of volatility, people want to move to a firm that has strength,” he added—a message that RIAs evaluating their strategic direction in a shifting landscape may find particularly resonant.
However, it was a different story in the asset-management division, where volatility took a more direct toll. Net outflows from the segment totaled $18.3 billion in the quarter, compared to $5.5 billion in outflows during the first quarter of 2024.
According to the firm, redemptions were primarily driven by institutional repositioning amid volatile market conditions. Cracchiolo indicated that one large institutional client was behind a meaningful portion of those redemptions, and that further repositioning from that account may continue into the second quarter.
Asset-management adjusted operating net revenue fell 1% year over year to $846 million. While the revenue decline was modest, the flow dynamic raises questions about institutional confidence and portfolio strategy within the firm’s investment offerings. For advisors whose clients hold positions in Ameriprise-managed funds, continued scrutiny of product alignment and risk exposure may be warranted.
Against this backdrop, Ameriprise’s board of directors authorized a new $4.5 billion share repurchase program, effective through June 30, 2027. The announcement signals management’s continued focus on capital return and confidence in the company’s valuation. It may also offer some buffer for shareholders navigating short-term volatility in earnings performance.
From a wealth management standpoint, the quarter’s results present a nuanced picture. On the one hand, core client relationships continue to deepen, and flows into advisory channels remain healthy—important indicators of underlying business health. On the other, the firm’s asset-management challenges, together with earnings volatility linked to derivatives exposure, highlight the ongoing complexity in managing a large, multifaceted financial institution in today’s environment.
For RIAs monitoring publicly traded wealth management firms for broader industry insights, Ameriprise’s quarter underscores key themes. These include the growing significance of advisory-driven growth over traditional asset management, the strategic pivot away from detailed advisor head count disclosures, and the increasingly decisive role that institutional flows play in quarterly performance metrics.
Cracchiolo’s messaging throughout the call reinforced Ameriprise’s positioning as a destination for advisors seeking independence within a large-scale platform. His emphasis on business diversification, recruiting strength, and client value delivery provides an important cue for wealth managers who are assessing firm positioning in light of volatile macro conditions.
In the end, while Ameriprise did not deliver an unqualified beat this quarter, it did demonstrate how scale, diversification, and disciplined management can preserve strategic flexibility. For advisors evaluating partnerships or platform options in today’s market, Ameriprise’s report offers both a cautionary tale and a case study in resilience.
