Principal Financial Group, Inc.

- The company expects continued strong earnings growth with a 13% adjusted non-GAAP EPS growth reported in Q1 2026, above their target range. - Full-year 2026 variable investment income is expected to improve relative to 2025 despite some timing impacts. - Operating margin expanded by 190 basis points to 30% in Q1, indicating ongoing margin improvement. - Investment Management anticipates net cash flow profile to improve as redemption activity normalizes. - International Pension expects a good run rate around mid-70s adjusted earnings, with some volatility due to performance fees and FX tailwinds. - Real estate transaction activity is expected to pick up in the remaining quarters, supporting better performance fees in 2026 versus 2025. - Dividend increased by 8% year-over-year, reflecting confidence in sustained earnings growth and capital generation. - Overall, disciplined execution, diversified business mix, and strong pipeline position the company well to meet 2026 financial targets and sustain growth beyond.

- The asset management pipeline is very strong, with a commitment pipeline exceeding $9 billion. - These mandates (pipeline) have been won but not yet funded, reflecting growth in both public and private markets and diversification across the global client base. - This $9 billion pipeline shows a significant scale-up compared to the historical $6 billion pipeline around real estate. - New product offerings continue to be introduced to the marketplace, supporting pipeline growth. - Setup for 2026 is considered very constructive regarding the asset management orderbook. - Regarding PRT (Pension Risk Transfer), the pipeline is described as a bit light in the first and second quarters, similar to last year's pattern, with expected acceleration in the second half of 2026. - Specialty Benefits M&A closed recently but did not contribute to Q1 results; benefits expected to show in Q2 and beyond.

- No explicit mention of current or planned new fundraising through debt or equity in the provided transcript. - The company ended the quarter with strong capital and liquidity positions: - Over $1.4 billion of excess and available capital. - $800 million at the holding company. - $300 million in subsidiaries. - Approximately 400% risk-based capital ratio, above the target of 375%. - Returned $374 million to shareholders in the first quarter via $200 million share repurchases and $174 million dividends. - Announced an 8% year-over-year dividend increase, indicating confidence in capital generation and no immediate need for capital raise. - Focus appears to be on organic growth and capital management rather than new equity or debt issuance at this time.

- The transcript does not explicitly mention any specific current or future capital expenditures (capex) or strategic capital investments. - However, there are references to ongoing investments in the business, including: - Investment in product innovation and expanded distribution capabilities, especially in private markets, ETFs, and emerging technologies like AI. - Acquisition of a small dental network in Alabama, expected to contribute to future Specialty Benefits growth starting in Q2 and beyond. - Continued deployment of data and emerging technologies aimed at improving productivity and customer engagement across the organization. - Capital position is strong with over $1.4 billion of excess and available capital, indicating the potential capacity for future strategic investments. - No detailed guidance or announcements on specific planned capex projects or major strategic investments were made during this call.

- Retirement Ecosystem: Holistic approach to fees and spreads to drive overall retirement revenue and Principal growth. Focus on profitable fee revenue supplemented by spread-based products for capital preservation (Page 14). - Capital Preservation Products: Significant flows into capital preservation options (WS/SGA), with over $400 million in flows in the recent quarter, indicating continued appetite and growth opportunities (Page 14). - Asset Management Pipeline: Strong and growing pipeline—commitment pipeline over $9 billion, diversified across public and private markets, signaling robust future sales opportunities and product expansion, especially heading into 2026 (Page 14). - Specialty Benefits: Record sales up 24% year-over-year, with premium fees expected to grow higher throughout 2026, particularly in the second half (Pages 4, 5). - Investment Management: Record gross sales up 21% year-over-year driven by new products and expanded distribution globally; strong inflows from Asia and international clients; positive outlook for net cash flow improvement as redemptions normalize (Pages 5-6). - SMB Market: Continued strong performance and growth driven by recurring deposits, positive net cash flow, and steady employment trends in diverse businesses (Pages 2, 8).