Principal Financial Group Inc. Files 2023 Annual Report on Form 10-K

TL;DR

<b>Principal Financial Group, Inc. has filed its 2023 annual report detailing its financial performance and business operations.</b>

AI Summary

PRINCIPAL FINANCIAL GROUP INC (PFG) filed a Annual Report (10-K) with the SEC on February 20, 2024. Principal Financial Group, Inc. filed its annual report on Form 10-K for the fiscal year ended December 31, 2023. The filing covers the company's financial performance and business operations. The company is classified under SIC code 6321 for Accident & Health Insurance. Principal Financial Group is incorporated in Delaware. The filing was submitted on February 20, 2024.

Why It Matters

For investors and stakeholders tracking PRINCIPAL FINANCIAL GROUP INC, this filing contains several important signals. This 10-K filing provides a comprehensive overview of Principal Financial Group's financial health, strategic initiatives, and risk factors for the fiscal year 2023, crucial for investors to assess the company's stability and future prospects. As a major player in the Accident & Health Insurance sector, the detailed financial disclosures in this report are essential for understanding market trends and competitive positioning within the insurance industry.

Risk Assessment

Risk Level: medium — PRINCIPAL FINANCIAL GROUP INC shows moderate risk based on this filing. The company operates in the highly regulated insurance industry, facing risks related to market fluctuations, interest rate changes, and evolving regulatory landscapes, as indicated by the extensive disclosures typical of a 10-K filing.

Analyst Insight

Investors should review the detailed financial statements and risk factors in this 10-K to understand Principal Financial Group's performance and outlook for the upcoming fiscal year.

Key Numbers

• 232 — Public Document Count (CONFORMED SUBMISSION TYPE)
• 20231231 — Fiscal Year End (CONFORMED PERIOD OF REPORT)
• 20240220 — Filing Date (FILED AS OF DATE)
• 6321 — SIC Code (STANDARD INDUSTRIAL CLASSIFICATION)
• 001-16725 — SEC File Number (FILM NUMBER)

Key Players & Entities

• PRINCIPAL FINANCIAL GROUP INC (company) — COMPANY CONFORMED NAME
• 0001104659-24-025516 (filing_id) — ACCESSION NUMBER
• 20231231 (date) — CONFORMED PERIOD OF REPORT
• 20240220 (date) — FILED AS OF DATE
• 6321 (sic_code) — STANDARD INDUSTRIAL CLASSIFICATION
• DE (state) — STATE OF INCORPORATION
• 5152475111 (phone) — BUSINESS PHONE
• 1934 Act (regulation) — SEC ACT

FAQ

Industry Context

Principal Financial Group operates within the Accident & Health Insurance industry, a sector characterized by regulatory oversight and sensitivity to economic conditions.

Regulatory Implications

The company is subject to the regulations of the Securities and Exchange Commission (SEC) as a publicly traded entity and operates within the insurance industry, which has specific state and federal regulatory frameworks.

What Investors Should Do

1. Review Principal Financial Group's detailed financial statements and management's discussion and analysis in the 10-K.
2. Analyze the identified risk factors to understand potential challenges and their impact on the company's operations.
3. Compare key financial metrics from this filing with previous periods and industry benchmarks.

Key Dates

• 2024-02-20: 10-K Filing — Submission of the annual report for the fiscal year ended December 31, 2023.

Year-Over-Year Comparison

This filing represents the annual report for the fiscal year 2023, providing updated financial and operational data compared to the previous year's filings.

Key Financial Figures

• $0.01 — of each class Common Stock, par value $0.01 Trading symbol(s) PFG Name of each
• $75.84 — 7 billion based on the closing price of $75.84 per share of Common Stock on June 30, 2
• $1,578.7 billion — of financial services companies. We had $1,578.7 billion in assets under administration ("AUA"),
• $694.5 billion — under administration ("AUA"), including $694.5 billion in assets under management ("AUM") as o
• $462.9 billion — 00 defined contribution plans including $462.9 billion in assets and covering approximately 11
• $17.9 billion — 1,700 defined benefit plans, including $17.9 billion in assets and covering over 418,000 eli
• $9.4 billion — nimums. As of December 31, 2023, of our $9.4 billion variable annuity account balances inves
• $6.5 billion — nt techniques. As of December 31, 2023, $6.5 billion of the $9.3 billion of variable annuity
• $9.3 billion — December 31, 2023, $6.5 billion of the $9.3 billion of variable annuity separate account va
• $8.2 billion — rly 708,000 customers and approximately $8.2 billion in assets. Principal Bank operates unde
• $499.5 billion — estors focused investment teams managed $499.5 billion in assets as of December 31, 2023. We
• $232.7 billion — bility Partnership and Claritas managed $232.7 billion in global equity assets. Our equity cap
• $192.3 billion — c. and Post Advisory Group, LLC managed $192.3 billion in global fixed income assets. Collecti
• $74.5 billion — as. As of December 31, 2023, we managed $74.5 billion in alternative asset classes. Principa

Filing Documents

• pfg-20231231x10k.htm (10-K) — 18861KB
• pfg-20231231xex4d5.htm (EX-4.5) — 24KB
• pfg-20231231xex10d18.htm (EX-10.18) — 122KB
• pfg-20231231xex21.htm (EX-21) — 170KB
• pfg-20231231xex23.htm (EX-23) — 10KB
• pfg-20231231xex31d1.htm (EX-31.1) — 11KB
• pfg-20231231xex31d2.htm (EX-31.2) — 11KB
• pfg-20231231xex32d1.htm (EX-32.1) — 4KB
• pfg-20231231xex32d2.htm (EX-32.2) — 4KB
• pfg-20231231xex97.htm (EX-97) — 25KB
• pfg-20231231x10k006.jpg (GRAPHIC) — 34KB
• 0001104659-24-025516.txt (&nbsp;) — 88170KB
• pfg-20231231.xsd (EX-101.SCH) — 287KB
• pfg-20231231_cal.xml (EX-101.CAL) — 300KB
• pfg-20231231_def.xml (EX-101.DEF) — 1644KB
• pfg-20231231_lab.xml (EX-101.LAB) — 2309KB
• pfg-20231231_pre.xml (EX-101.PRE) — 2182KB
• pfg-20231231x10k_htm.xml (XML) — 27941KB

Business

Business 4 Item 1A.

Risk Factors

Risk Factors 20 Item 1B. Unresolved Staff Comments 38 Item 1C. Cybersecurity 38 Item 2.

Properties

Properties 39 Item 3.

Legal Proceedings

Legal Proceedings 40 Information about our Executive Officers 40 PART II 41 Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 41 Item 7.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 42 Item 7A.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 77 Item 8.

Financial Statements and Supplementary Data

Financial Statements and Supplementary Data 83 Report of Independent Registered Public Accounting Firm on Internal Control Over Financial Reporting 84 Report of Independent Registered Public Accounting Firm 85 Consolidated Statements of Financial Position 88 Consolidated Statements of Operations 89 Consolidated Statements of Comprehensive Income 90 Consolidated Statements of Stockholders' Equity 91 Consolidated Statements of Cash Flows 92

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements 93 Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 247 Item 9A.

Controls and Procedures

Controls and Procedures 247 Item 9B. Other Information 247 PART III 248 Item 10. Directors, Executive Officers and Corporate Governance 248 Item 11.

Executive Compensation

Executive Compensation 248 Item 12.

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 248 Item 13. Certain Relationships and Related Transactions, and Director Independence 249 Item 14. Principal Accounting Fees and Services 249 PART IV 250 Item 15. Exhibits and Financial Statement Schedules 250

Signatures

Signatures 254 Schedule I — Summary of Investments — Other Than Investments in Related Parties 255 Schedule II — Condensed Financial Information of Registrant (Parent Only) 256 Schedule III — Supplementary Insurance Information 260 Schedule IV — Reinsurance 262 2 Table of Contents NOTE CONCERNING FORWARD-LOOKING STATEMENTS This Annual Report on Form 10-K, including the Management's Discussion and Analysis of Financial Condition and Results of Operations, contains statements that constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements relating to trends in operations and financial results and the business and the products of the Registrant and its subsidiaries, as well as other statements including words such as "anticipate," "believe," "plan," "estimate," "expect," "intend" and other similar expressions. Forward-looking statements are made based upon management's current expectations and beliefs concerning future developments and their potential effects on us. Such forward-looking statements are not guarantees of future performance. Actual results may differ materially from those included in the forward-looking statements as a result of risks and uncertainties. Those risks and uncertainties include, but are not limited to, the risk factors listed in Item 1A. "Risk Factors." 3 Table of Contents PART I

Business

Item 1. Business Principal Financial Group, Inc. ("PFG") is a leader in global financial services offering businesses, individuals and institutional clients a wide range of financial products and services, including retirement, asset management and workplace benefits and protection solutions through our diverse family of financial services companies. We had $1,578.7 billion in assets under administration ("AUA"), including $694.5 billion in assets under management ("AUM") as of December 31, 2023. Our global asset management businesses serve a broad range of institutional, retirement, high net worth, and retail investors worldwide. Our focused investment teams provide diverse, long-term investment capabilities including equity, fixed income, real estate, and other alternative investments, as well as fund offerings. Our international asset management and accumulation businesses focus on the opportunities created as aging populations around the world drive increased demand for retirement accumulation, retirement asset management and retirement income management solutions. In the U.S., we offer a broad array of retirement and employee benefit and insurance solutions to meet the needs of the business owner and their employees. We are a leading provider of defined contribution plans, nonqualified plans, defined benefit plans and pension risk transfer services. We are also a leading employee stock ownership plan ("ESOP") consultant. In addition, we are one of the largest providers of specialty benefits and insurance solutions for business owners and their employees. We believe small and medium-sized businesses are an underserved market, offering attractive growth opportunities in the retirement and employee benefit markets. Our Reportable Segments We organize our businesses into the following reportable segments: Retirement and Income Solutions; Principal Asset Management and Benefits and Protection. We also have a Corporate segment, which consists of the assets

View Full Filing

View this 10-K filing on SEC EDGAR