As earnings season marches on, a trio of financial services companies reported their quarterly results on Tuesday, April 27. Ameriprise Financial and Waddell & Reed Financial posted solid earnings, while optionsXpress Holdings disappointed with a small drop.
Ameriprise posted a first-quarter profit that met analysts’ expectations, aided by earnings from its advice and wealth management unit and higher investment income. The asset manager and broker had profits attributable to the company of $214 million, or 81 cents a share, compared with a profit of $130 million, or 58 cents a share, in the same period last year.
Analysts had expected Ameriprise, based in Minneapolis, to earn 81 cents a share, according to Thomson Reuters.
Total net revenue rose 32% to $2.27 billion, and net investment income rose to $590 million from $418 million a year ago.
Advice and wealth management businesses posted a pretax profit of $51 million compared with a loss of $61 million last year.
Waddell & Reed doubled profits to $35.9 million, or 42 cents a share, compared to $15.5 million, or $0.18 a share, during the first quarter of 2009. In the fourth quarter of 2009, Waddell& Reed earned $33.3 million, or 39 cents a share, in the fourth quarter of 2009.