Ameriprise advice unit reports 29% increase in pretax profit

Ameriprise Financial Inc.'s advice and wealth management unit reported pretax operating earnings of $194 million for the three months ended in June, an increase of 29% over the same period last year. The increase reflected “robust revenue growth and expense controls,” the company said in a statement after the close of the market on Tuesday afternoon. Financial adviser productivity also continued to improve. On a trailing 12 month basis, operating net revenue per adviser grew 14% in the quarter to reach $468,000. That excludes, however, results from former banking operations, according to the company's statement. The company had a solid quarter in recruiting new advisers, despite a recruiting slowdown in the first half of the year across the industry. Fifty-four experienced advisers joined Ameriprise during the quarter. However, the company did not state the number of advisers who left the company during the period. Ameriprise is home to about 10,000 registered reps and advisers across two broker-dealers – one for employees and the other for independent reps and advisers. Including its other business segments, Ameriprise Financial reported net income of $374 million for the most recent quarter, an increase of 16% from the same period last year. Earnings per share were $1.91 for the quarter that ended in June, compared with $1.54 per share in the same quarter in 2013.