Ameriprise Financial Services Inc. (AMP) has reported second-quarter 2016 net income of $335 million, or $1.97 per share. That is a 19% drop from $415 million in the second quarter of 2015.
Operating earnings also fell year over year by 13% to $379 million, or $2.23 per share, in the quarter; these results missed analysts’ estimates.
“Ameriprise delivered solid underlying results in the second quarter given increased volatility, lower average equity markets and persistently low interest rates,” said Jim Cracchiolo, chairman and CEO, in a statement.
The financial services company posted revenue of $2.9 billion in the second quarter, down 4% from a year ago. Ameriprise attributes this to lower average equity and other markets compared with a year ago, as well as asset management outflows, resulting in lower fee revenue.
Meanwhile, operating expenses were trimmed by 1% in the period to $2.4 billion. This included lower distribution expenses as well as a 1% drop in general and administrative expenses.
Total assets under management and administration were $777 billion. According to the company, as Ameriprise advisor client net inflows were more than offset by “the unfavorable impact of foreign exchange rates related to the U.K. referendum and asset management net outflows.”