RETIREMENT ASSET MANAGEMENT BENEFITS & PROTECTION Fourth Quarter 2025 Earnings and 2026 Outlook PRINCIPAL FINANCIAL GROUP February 9, 2026 Audience disclosure Key takeaways | | 12% | 92% | 15.7% | | --- | --- | --- | --- | | Delivered on 2025 outlook | FY EPS growth1 | FY FCF %2 | ROE3 | | | (9-12% target) | (75-85% target) | (14-16% target) | | | | 2025 Highlights4 Capital • Returned $448M capital to shareholders during 4Q25, including $275M of share repurchases and $172M of common stock dividends; bringin ...

Financial Performance - The company's non-GAAP operating earnings were $489 million, a 27% increase compared to Q2 2024[3] - Non-GAAP EPS reached $2.16, up 33% from Q2 2024[3] - Investment Management revenue increased 6% over 2Q24, with operating margin improving 250 bps to 36%[2] - Specialty Benefits incurred loss ratio improved 130 basis points from 2Q24[2] Capital Management - The company returned $320 million of excess capital to shareholders, including $150 million in share repurchases and $170 million in common stock dividends during 2Q25[2, 4] - The common stock dividend was raised to $0.78 for 3Q25, an 8% increase from both 3Q24 and TTM[2] - Excess and available capital position stands at $1.4 billion[2, 3] Business Segment Highlights - Retirement and Income Solutions (RIS) saw pre-tax operating earnings increase by 8%[9] - Principal Asset Management's AUM increased to $723 billion, up 8% year-over-year[18] - Life Insurance premium and fees growth of 5% over 2Q24 driven by 17% growth in the business market segment[2] Investment Performance - 56% of fund-level AUM has a 4 or 5-star rating from Morningstar[26]