8-KEarnings & ResultsExhibits & Filings

AMERIPRISE FINANCIAL INC 8-K Report, Financial Results (Jul 26, 2016)

Filed July 26, 2016For Securities:AMP

Summary

Ameriprise Financial, Inc. filed a Form 8-K on July 26, 2016, to report its second-quarter 2016 financial results. The filing primarily serves to attach the press release and statistical supplement detailing these results. Investors should note that the company presents its financial information on both a Generally Accepted Accounting Principles (GAAP) basis and a non-GAAP adjusted basis. The non-GAAP measures are provided to offer a clearer view of the company's core operations and underlying performance by excluding items such as the impact of consolidating certain investment entities, restructuring charges, and market impacts on specific insurance and investment benefits. The company emphasizes that management uses these non-GAAP measures to better reflect core operations and facilitate trend analysis, aligning with how some analysts and investors evaluate performance. These adjusted metrics are also considered in business planning, analysis, and compensation. Key takeaways for investors revolve around understanding these adjusted figures, as they are presented as important indicators of financial performance and capital structure by Ameriprise management.

Key Highlights

  • 1Ameriprise Financial (AMP) announced its second-quarter 2016 financial results via an 8-K filing on July 26, 2016.
  • 2The report includes a press release (Exhibit 99.1) and a Statistical Supplement (Exhibit 99.2) for the quarter ended June 30, 2016.
  • 3The company provides financial results on both GAAP and non-GAAP adjusted bases.
  • 4Non-GAAP measures are used to exclude specific items like consolidated investment entities (CIEs), restructuring charges, and market impacts on certain benefits.
  • 5Management believes these non-GAAP measures better reflect the underlying performance of core operations and facilitate trend analysis.
  • 6Specific non-GAAP metrics include adjusted net pretax operating margin, adjusted operating earnings, and various shareholders' equity and debt measures excluding certain items like AOCI and CIEs.
  • 7These non-GAAP measures are used by management for performance evaluation, business planning, and compensation purposes, and are also considered by some analysts and investors.

Frequently Asked Questions

The main purpose of this 8-K filing is to officially report Ameriprise Financial's financial results for the second quarter of 2016. It serves as a formal submission to the SEC, attaching the company's press release and statistical supplement that contain the detailed financial information.

Ameriprise reports on both GAAP and non-GAAP bases because management believes that the non-GAAP adjusted measures provide a more meaningful representation of the company's core operating performance and trends. These adjusted figures exclude certain items like consolidation impacts of investment entities, restructuring charges, and market volatility effects, which can sometimes obscure the underlying business performance.

The non-GAAP adjusted figures exclude a variety of items, including but not limited to: the impact of consolidating certain investment entities (CIEs), integration/restructuring charges, market impacts on variable annuity and indexed universal life benefits, market impacts of certain hedges, net realized investment gains/losses, and income/loss from discontinued operations. Specific capital and debt measures also exclude items like accumulated other comprehensive income (AOCI) and fair value of hedges.

Management uses these non-GAAP measures to evaluate financial performance, comparable to how some securities analysts and investors do. They are also used for business planning, analysis, and in determining certain compensation-related matters. The company aims to provide a view of performance that facilitates trend analysis and reflects core operations.