Principal Financial Company Profile: Revenue, Business Model & Strategy
Research depth: 7 milestones · 10 FAQs
Principal Financial Group (Nasdaq: PFG) is a Des Moines-based retirement, asset management and benefits company led by CEO Deanna Strable. It reported FY2025 revenue of $15.63 billion and net income of $1.19 billion, and had $808 billion of AUM at the end of Q2 2026.
How Principal Financial makes money: Principal reports four operating segments. Retirement and Income Solutions earns recordkeeping, administration and asset-based fees on employer 401(k), pension and nonqualified plans, plus spread income on pension risk…
Principal Financial Group, Inc. key figures
Principal Financial Group, Inc. had revenue of $15.6B for fiscal year 2025, down 3.1% from FY2024. Net income was $1.2B, a net margin of 7.6%.
Source: PRINCIPAL FINANCIAL GROUP, INC annual report (Form 10-K, SEC EDGAR, filed 2026-02-18) · Last reviewed October 2026
- Revenue per employee
- $801,308
- FY2025 revenue divided by 19,500 employees; headcount may use another date
- Where was Principal Financial founded?
- Principal Financial was founded in Des Moines, Iowa, United States in 1879.
- When did Principal Financial start?
- Principal Financial was founded in 1879.
- Who founded Principal Financial?
- Principal Financial was founded by Edward Temple.
- How old is Principal Financial?
- Principal Financial is 147 years old as of 2026.
Table of Contents
Principal Financial Group, Inc. Key Facts
| Company | Principal Financial Group, Inc. |
|---|---|
| Annual revenue change | -3.1% (FY2024–FY2025) |
| Financials | $15.6B (FY2025, last reviewed October 2026) |
| Market Cap | $19.5B |
| FY2025 net income | $1.2B |
| Last reviewed | By Swet Parvadiya, Founder & Editor - October 2026 |
| Founded | 1879 |
| Founder(s) | Edward Temple |
| CEO | Deanna Strable |
| Headquarters | Des Moines, Iowa, United States |
| Industry | Financial services and insurance |
| Employees | 19,500+ |
| Ticker | PFG |
Principal Financial Company Profile: Revenue, Business Model & Strategy
"Principal Financial Group turned a 19th-century life insurance club for Iowa bankers into a company with $808 billion of assets under management and $1.9 trillion under administration as of mid-2026, built largely on small and midsize employers' retirement plans and benefits."
Principal Financial Group (Nasdaq: PFG) is a Des Moines-based retirement, asset management and benefits company led by CEO Deanna Strable. It reported FY2025 revenue of $15.63 billion and net income of $1.19 billion, and had $808 billion of AUM at the end of Q2 2026.
Revenue
$15.6B
Founded
1879
How Did Principal Financial Start and Grow?
Principal Financial Group, Inc. (Nasdaq: PFG) is a Des Moines-based retirement, asset management, and workplace benefits company. It reported FY2025 revenue of $15.63 billion and net income of $1.19 billion, and ended Q2 2026 with $808 billion of assets under management. Deanna Strable is chair, president and CEO.
Recorded annual revenue change
Principal Financial Group, Inc. had $16.1B of annual revenue in FY2024 and $15.6B in FY2025. Revenue fell 3.1% between those fiscal years.
Source for FY2025How Much Revenue Does Principal Financial Generate?
Principal Financial Group, Inc. had $15.6B in annual revenue for fiscal year 2025, with a market capitalization of $19.5B, employing 20K+ people globally.
Principal reported FY2025 revenue of $15.63 billion, down 3.1% from $16.13 billion in 2024, with net income attributable to the company of $1.19 billion versus $1.57 billion a year earlier. Reported revenue swings with investment gains, losses and pension risk transfer premiums, so management focuses on non-GAAP operating earnings: in 2025 adjusted EPS rose 12%, operating margin expanded about 80 basis points to roughly 31%, and operating ROE reached 15.7%. Principal returned more than $1.5 billion in 2025, including about $850 million of buybacks and $685 million of dividends. In Q2 2026 revenue was $3.99 billion, net income $403.4 million, non-GAAP operating earnings $547 million and adjusted EPS $2.50, up 17% year over year, with $1.6 billion of excess and available capital. Principal Financial Group is a monumental American global financial investment management and insurance company, commanding a market valuation generally exceeding $20 billion.
Historical Revenue Chart
Principal Financial Group, Inc. Annual Revenue History
All figures in USD.
| Fiscal Year | Revenue Figure | YoY Change |
|---|---|---|
| FY2016 | $12.4B | N/A |
| FY2017 | $14.1B | +13.7% |
| FY2018 | $14.2B | +1.0% |
| FY2019 | $16.2B | +13.9% |
| FY2020 | $14.7B | -9.1% |
| FY2021 | $14.4B | -2.1% |
| FY2022 | $17.5B | +21.5% |
| FY2023 | $13.7B | -22.1% |
| FY2024 | $16.1B | +18.0% |
| FY2025 | $15.6B | -3.1% |
The source for each year is listed on the Principal Financial Group, Inc. financials page.
How Principal Financial Makes Money
Principal reports four operating segments. Retirement and Income Solutions earns recordkeeping, administration and asset-based fees on employer 401(k), pension and nonqualified plans, plus spread income on pension risk transfer and other guaranteed products. Principal Asset Management earns management fees on public and private market strategies for institutional, retail and internal clients, and runs Principal International, which sells pension and investment products in Latin America and Asia (including Brasilprev in Brazil and Cuprum in Chile). Benefits and Protection collects premiums and fees from group dental, vision, life, disability and supplemental coverage (Specialty Benefits) and from business-owner and executive life insurance. Investment income on the general account supports the insurance and guaranteed businesses.
Explore Principal Financial Group, Inc. In Depth
SWOT Analysis: Principal Financial Group, Inc.
Strengths
- Principal reaches employers and employees through retirement, benefits, and protection relationships that can compound over time.
- Principal absolutely dominates the highly lucrative market for providing 401(k) and retirement plans specifically to small and medium-sized businesses (SMBs), a sector largely ignored by massive Wall Street firms.
Weaknesses
- Revenue and earnings can move with equity markets, interest rates, investment spreads, credit conditions, and actuarial assumptions.
- Because the vast majority of Principal's revenue is derived from asset management fees (AUM), any severe, prolonged crash in the global stock market instantly and catastrophically compresses its earnings.
Opportunities
- The Beam Benefits agreement points to a broader opportunity in small-business benefits, digital enrollment, and ancillary insurance growth.
- By aggressively forming massive joint ventures in high-growth regions (like its partnership with China Construction Bank), Principal captures massive demographic wealth creation outside the US.
Threats
- Large asset managers, retirement platforms, and insurers can pressure fees and distribution economics across Principal's core markets.
- The massive, unstoppable global migration of investor capital out of expensive active mutual funds and into cheap, passive index funds (like Vanguard) severely threatens Principal's core fee structures.
Risks & Weaknesses
Analytical AssessmentPrimary Risk Factor
The biggest risk is interest-rate volatility, equity market swings, insurance claims, credit losses, regulation, fee compression, and competition from larger insurers and asset managers.
Risk assessment based on public filings, SWOT analysis, and verified industry data. Not financial advice.
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Explore Principal Financial In Depth
Detailed research across every dimension of Principal Financial — history, financials, leadership, and strategy.
Company History
Principal Financial Group is a Des Moines, Iowa, financial services company that serves employers, plan participants and institutional investors rather than retail traders.
Full Principal Financial history →Revenue & Financials
Principal Financial had $15.6B in revenue for fiscal year 2025. Data covers 10 fiscal years. Market capitalization stands at approximately $20B.
Principal Financial financials →Founders
Principal Financial was founded by Edward Temple in 1879. Explore each founder's background, motivations, and their role in building the company.
Principal Financial founders →CEO & Leadership
Principal Financial is currently led by Deanna Strable. Explore the full CEO history — leadership transitions, tenures, and the strategic decisions of each chief executive.
Principal Financial CEO history →Business Model
Principal reports four operating segments. Retirement and Income Solutions earns recordkeeping, administration and asset-based fees on employer 401(k), pension and nonqualified plans, plus spread income on pension risk…
How Principal Financial makes money →Acquisitions
Principal Financial has completed 7 documented acquisitions. Explore the full acquisition history and strategic rationale behind each deal.
Principal Financial acquisitions →Competitive Strategy
Principal's strategy under Deanna Strable centers on three areas: retirement leadership, the small and midsize business market, and a global asset management platform with growing private markets, ETF and international…
Principal Financial strategy →Related Company Comparisons
Our analysts compile business strategy profiles from public financial filings, press releases, and analyst reports. Each profile is reviewed for accuracy before publication by our editorial desk and updated on a rolling basis.
Sources & References
- [1]SEC EDGAR: Principal Financial Group, Inc. filings search (10-K, 8-K)
- [2]Principal Financial Group, Inc. Corporate Website
- [3]Principal Financial Group, Inc. 2025 revenue figure: PRINCIPAL FINANCIAL GROUP, INC annual report (Form 10-K, SEC EDGAR, filed 2026-02-18)
- [4]sec.gov
- [5]investors.principal.com
- [6]principal.com
- [7]principal.com
- [8]nasdaq.com
- [9]principal.com
Financial data on this page is sourced from SEC EDGAR filings, official earnings releases, and verified press statements. Revenue figures are reviewed and updated periodically. Read our full data methodology ->
Editorial Methodology
We use company filings, annual reports, company statements and press reports, with primary sources preferred where available. Each financial row shows its recorded source. Full-year figures are separated from annualized run-rates, partial periods and forecasts; unaudited figures carry a label. Source detail varies by company, so check the linked material when the reporting basis matters.
Public companies may provide filings and annual reports. Private-company figures may come from statements or press coverage. A missing figure stays missing, and a source link should identify where its number came from.
We organize company records and review claims for strategic context, source quality and clarity. Pages show a review date where one is recorded.
Technical checks flag inconsistent figures and missing links. Editorial review of the underlying source remains necessary for claims those checks cannot verify.
Frequently Asked Questions About Principal Financial
How does Principal Financial Group make money?
Principal earns fees for administering employer retirement plans and managing investments ($808 billion of AUM at the end of Q2 2026), premiums from group dental, disability, life and vision coverage sold to employers, and investment spread on pension risk transfer and other guaranteed products.
Who owns Principal Financial Group?
Principal is a publicly traded company listed on Nasdaq under the ticker PFG, so it is owned by its shareholders, mostly institutional investors such as index fund managers. It has been public since its 2001 demutualization.
Who is the CEO of Principal Financial Group?
Deanna Strable is chair, president and CEO. She joined Principal in 1990 as an actuarial assistant, served as CFO, became CEO effective January 7, 2025, succeeding Dan Houston, and later added the board chair role.
Who are Principal Financial Group's competitors?
In retirement it competes with Fidelity, Empower, Vanguard, Voya and Transamerica; in asset management with BlackRock, T. Rowe Price and Nuveen; and in group benefits with MetLife, Unum, Lincoln Financial and Guardian.
What was Principal Financial Group's revenue in 2025?
Principal reported total revenue of $15.63 billion for FY2025, down 3.1% from $16.13 billion in 2024, with net income attributable to the company of $1.19 billion. In Q2 2026 revenue was $3.99 billion.
Where is Principal Financial Group headquartered and how many employees does it have?
Principal is headquartered in Des Moines, Iowa, and has roughly 19,500 employees.
What is Beam Benefits and why did Principal buy it?
Beam Benefits is a digital employee benefits company serving more than 25,000 small businesses. Principal announced the deal in July 2026 and completed it on September 1, 2026, to accelerate growth in its Specialty Benefits business.
What ticker does Principal Financial Group trade under?
Principal trades on the Nasdaq Global Select Market under the ticker PFG and is a member of the S&P 500.
What does Principal Financial Group do?
Principal is one of the absolute largest providers of 401(k) and corporate retirement plans in the United States, managing trillions in assets alongside its life insurance business.
Who founded Principal Financial Group?
The company was founded in 1879 by Edward Temple as the Bankers Life Association, originally providing life insurance strictly to bankers and their families.
Head-to-Head Comparisons
How does Principal Financial Group, Inc. stack up against its biggest rivals? Compare revenue, business models, SWOT, and competitive moats side by side.
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