Ameriprise Authorizes Additional $5.5 Billion in Share Buybacks Through 2028
Key Facts
Ameriprise Financial’s board authorized an additional $5.5 billion for repurchases of common stock on September 29, 2026, with the authorization remaining in effect through September 30, 2028, the company said. Ameriprise reported third-quarter results on October 29, a month after announcing the authorization, separating the timing of the decision from the period’s results. GAAP net income was $1.126 billion, up 23% from $912 million in the same quarter of 2025. GAAP diluted earnings per share rose to $12.32 from $9.33, an increase of 32%. The figures show earnings growth alongside an expanded authorization to return capital to shareholders, without the company attributing the decision to third-quarter results that had not yet been reported when it was announced.
On an adjusted operating basis, earnings per share were $11.26, up 14% year over year, and reached $12.07, up 22%, excluding the impact of the annual review of insurance assumptions known as unlocking. The company said the review reduced third-quarter results by $72 million after tax, or $0.79 per share on a GAAP basis, and by $74 million, or $0.81 per share on an adjusted operating basis. Return on equity, excluding AOCI, was 55.2% on a GAAP basis for the twelve months ended September 30. Adjusted operating return on equity rose to 55.3%, and reached 56.2% excluding the impact of unlocking. These levels measure returns over the preceding twelve months, while the difference between the percentages reflects the basis used in the calculation.
Ameriprise’s assets under management, administration and advisement reached $1.8 trillion at the end of the third quarter, up 8% year over year. Adjusted operating net revenues, excluding the impact of unlocking, rose 10% to $5.1 billion. The company attributed the increase primarily to asset growth and strong client engagement. Chief Executive Officer Jim Cracchiolo said the company “generates significant free cash flow, supported by the strength of our balance sheet and capital generation.” Cracchiolo linked these resources to the company’s ability to invest in its business and return capital to shareholders, according to his comment in the results release.
The company returned more than $1 billion to shareholders during the third quarter through share repurchases and dividends, equivalent to 93% of adjusted operating earnings. At the same time, the Asset Management segment recorded net outflows of $9.3 billion in assets under management and advisement, compared with outflows of $3.4 billion in the same quarter of 2025. The company said institutional outflows of $5.5 billion were primarily related to client asset allocation decisions. These flows present two concurrent aspects of performance: growth in assets and revenues, and money leaving the asset management business. The company said returning capital is part of its strategy, alongside investing in the business, according to its chief executive’s comments.
The new authorization adds to a previous $4.5 billion program announced in April 2025, of which about $1.1 billion remained available on June 30, 2026, with the authorization in effect through June 30, 2027. In its announcement of the previous authorization, the company raised its quarterly cash dividend by 8% to $1.60 per share. Ameriprise said it intends to fund repurchases with existing working capital, future cash flows and other customary financing sources. The program does not require the company to purchase a minimum number of shares, and it may begin or suspend repurchases at any time without prior notice, depending on market conditions and other factors. The company had set October 29, 2026, as the date for reporting third-quarter results, with an investor call the same day at about 9 a.m. Eastern time.