Nov. 30 (Bloomberg) -- Principal Financial Group Inc., the seller of life insurance and retirement products, said 2012 operating profit may be $3.05 to $3.25 a share.
The forecast assumes the Standard & Poor’s 500 Index will average 1,275 next year, Des Moines, Iowa-based Principal said today in a statement distributed by Business Wire. The index has declined less than 1 percent this year to 1,246.96. Principal’s profit next year may be $3.14 a share, the average estimate of 19 analysts surveyed by Bloomberg.
Principal announced in July the acquisition of London-based Origin Asset Management LLP for $66 million. In April, the insurer said it took a majority stake in London-based hedge fund Finisterre Capital LLP and acquired the Mexican pension business of HSBC Holdings Plc.
Separately today, Principal announced a plan to repurchase as much as $100 million of its stock after buying back $450 million of shares this year. Principal said it plans to comment on the earnings forecast in a conference call tomorrow.
Principal rose 7.9 percent to $24.13 in regular New York trading today, and has declined 26 percent this year.
--Editors: Dan Reichl, Peter Eichenbaum
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