Segment Information

Reconciliation of Operating Revenues and Pre-tax Operating Earnings (Losses) by Segment (Table)


	For the three months ended				For the six months ended
	June 30,				June 30,
	2024		2023		2024		2023

	(in millions)
Operating revenues by segment:
Retirement and Income Solutions (1)	$	2,194.3	$	1,673.7	$	4,126.7	$	3,289.8
Principal Asset Management:
Principal Global Investors		410.3		390.1		815.1		782.8
Principal International		279.0		302.3		535.7		607.4
Eliminations		(4.5)		(5.5)		(10.7)		(10.8)
Total Principal Asset Management (2)		684.8		686.9		1,340.1		1,379.4
Benefits and Protection:
Specialty Benefits		858.3		792.2		1,706.6		1,574.4
Life Insurance		329.1		333.2		666.9		654.6
Eliminations		(0.2)		(0.1)		(0.4)		(0.3)
Total Benefits and Protection		1,187.2		1,125.3		2,373.1		2,228.7
Corporate		6.4		14.6		37.5		42.2
Total segment operating revenues		4,072.7		3,500.5		7,877.4		6,940.1
Net realized capital gains (losses), net of related revenue adjustments		23.2		(45.4)		54.2		(84.6)
Revenues from exited business (3)		244.8		130.9		487.1		(416.7)
Adjustments related to equity method investments		(18.5)		(16.8)		(31.9)		(39.4)
Market risk benefit derivative settlements		(11.4)		(11.9)		(22.7)		(23.1)
Total revenues per consolidated statements of operations	$	4,310.8	$	3,557.3	$	8,364.1	$	6,376.3

Pre-tax operating earnings (losses) by segment:
Retirement and Income Solutions	$	267.8	$	232.3	$	530.0	$	482.1
Principal Asset Management		189.4		188.2		376.5		376.0
Benefits and Protection		132.3		124.9		244.1		224.2
Corporate		(103.4)		(97.4)		(192.3)		(193.5)
Total segment pre-tax operating earnings		486.1		448.0		958.3		888.8
Pre-tax net realized capital losses, as adjusted (4)		(21.6)		(61.1)		(53.2)		(85.4)
Pre-tax income (loss) from exited business (5)		(3.9)		81.4		193.7		(526.9)
Adjustments related to equity method investments and noncontrolling interest		(16.7)		(14.7)		(27.8)		(35.4)
Income before income taxes per consolidated statements of operations	$	443.9	$	453.6	$	1,071.0	$	241.1

(1)	Reflects inter-segment revenues of $117.3 million and $97.0 million for the three months ended June 30, 2024 and 2023, respectively, $226.0 million and $191.8 million for the six months ended June 30, 2024 and 2023, respectively.

(2)	Reflects inter-segment revenues of $72.1 million and $69.9 million for the three months ended June 30, 2024 and 2023, respectively, $146.2 million and $140.6 million for the six months ended June 30, 2024 and 2023, respectively.

(3)	Revenues from exited business is derived as follows:

Pre-tax net realized capital gains (losses), as adjusted from exited business (Table)


	For the three months ended				For the six months ended
	June 30,				June 30,
	2024		2023		2024		2023

	(in millions)
Net realized capital losses:
Net realized capital losses	$	(15.2)	$	(72.8)	$	(16.1)	$	(138.8)
Derivative and hedging-related revenue adjustments		17.0		(5.0)		35.1		(2.9)
Market value adjustments to fee revenues		0.1		0.2		0.1		0.2
Certain variable annuity fees		18.0		18.4		36.2		36.8
Equity method investments		(3.6)		8.1		(13.9)		8.3
Sponsored investment funds and other adjustments		6.9		5.7		12.8		11.8
Net realized capital gains (losses), net of related revenue adjustments		23.2		(45.4)		54.2		(84.6)
Amortization of actuarial balances		(0.1)		0.1		(0.3)		0.1
Capital (gains) losses distributed		(31.7)		(16.8)		(92.0)		1.6
Derivative and hedging-related expense adjustments		1.1		0.1		(0.2)		0.1
Market value adjustments of market risk benefits		(8.1)		(4.4)		(4.8)		(10.9)
Market value adjustments of embedded derivatives		(6.0)		5.3		(10.1)		8.3
Pre-tax net realized capital losses, as adjusted (a)	$	(21.6)	$	(61.1)	$	(53.2)	$	(85.4)

(a)	As adjusted before noncontrolling interest capital gains (losses).