Latest news with #DeannaStrable
Fast Company
3 days ago
- Business
- Fast Company
Deanna Strable's journey from intern to CEO of Principal Financial Group is inspiring—but may become increasingly rare
Hello and welcome to Modern CEO! I'm Stephanie Mehta, CEO and chief content officer of Mansueto Ventures. Each week this newsletter explores inclusive approaches to leadership drawn from conversations with executives and entrepreneurs, and from the pages of Inc. and Fast Company. If you received this newsletter from a friend, you can sign up to get it yourself every Monday morning. As a new crop of summer interns arrive at your company, it's worth considering: Will one of them rise to CEO? Deanna Strable, who became CEO of Principal Financial Group in January, interned at the company during college. After graduating from Northwestern University, she joined Principal as an actuarial assistant, the start of a 35-year journey that included a stint abroad and senior roles including chief financial officer (CFO) and president and chief operating officer (COO). (Disclosure: Principal is a longtime Inc. advertising and sponsorship partner.) 'People love to ask, 'Why'd you originally come to Principal?' but I think a fundamental question is, 'Why did you stay here for 35 years?'' Strable says of the insurance and benefits company, which last year reported $16.2 billion in revenue, up 18% from 2023. 'It ultimately comes back to the work, the company, and the people.' From entry-level to executive The intern-to-CEO path isn't unheard of, especially at family-led companies. Comcast chairman and CEO Brian Roberts, whose father founded the cable company, first interned at its Storecast marketing unit in 1974. J. Patrick Gallagher Jr., CEO of Arthur J. Gallagher and Co., a global insurance brokerage founded by his grandfather, interned at the business in 1972. Some prominent CEOs are 'lifers,' having spent their whole careers at one company. Tricia Griffith, CEO of the insurer Progressive, started as an entry-level claims representative, and Mary Barra, CEO of GM, started at the carmaker as a co-op student. And while research suggests that CEOs hired from within an organization slightly outperformed external hires during the pandemic, and performed on par with one another before the pandemic, more boards are turning to outsiders to run companies. Spencer Stuart's ' 2024 CEO Transitions ' report found that 44% of all new S&P 1500 CEO appointments last year were external hires, up from 32% in 2023 and the highest rate since 2000, when the executive search firm started tracking the data. 'The CEO role has never been harder or more complex, and I do believe that you really need multiple experiences to be an effective leader in today's world,' says Janice Ellig, CEO of executive search firm Ellig Group. 'I don't want to predict that the intern-to-CEO [trend] is going to decrease, but I'm not sure it's going to increase.' Many roles, one vision Ellig says boards and investors want their chief executives to bring a range of relevant experiences to the role. Insiders who get the top job have typically led different departments and excelled in areas that are important to the company. GM's Barra, for example, led manufacturing engineering, global human resources, and global product development—critical divisions at a major automaker with 90,000 employees in the U.S. alone. Principal's Strable helped build and lead the company's benefits and protection business, which encompasses employee benefits, business owner solutions (life insurance and disability insurance), and nonqualified deferred compensation. As CFO, she worked alongside previous CEO Daniel Houston to develop a growth strategy that included discontinuing the sale of consumer life insurance products and focusing on higher-growth businesses such as retirement and global asset management. As a result, Strable says, she was 'able to hit the ground running,' adding: 'You know the people, you know the products, you know the business, you know the strategy.' The insider's double-edge sword Strable, who retains the president title at Principal, counts the familiarity and support of longtime colleagues as a 'plus' of being an internal candidate. But 'where it can be hard is there are times that people just expect that you're comfortable with things the way they are today,' she says. Strable says she encourages the company to 'lean into' its strengths but also evaluate the areas where Principal has not been effective. She strives to find ways to learn from people outside the company. 'I reinforce that with a lot of our leaders, too,' she says. 'You need to have a network of peers outside of the organization, both within and outside the industry.' At a lunch meeting in New York shortly after she became CEO, Strable reflected on the corporate milestones she's observed throughout her three-decades-plus at Principal. Of note: Some of the first 'graduates' of Principal's on-site daycare center at its Des Moines headquarters, which opened 17 years ago, will soon be eligible for internships at the company. Perhaps one of them might even become CEO someday. Are you an 'insider' CEO? Are you a company lifer who has ascended to the CEO role? What unique insights do you possess that outsiders or newcomers don't have? Please send your experiences to me at stephaniemehta@ And while I have your attention, please spread the word that Fast Company's annual Brands That Matter program is extending its deadline to June 6. If your brand excels in making emotional connections, communicating purpose, and maintaining cultural relevance, consider applying via this link.
Yahoo
20-05-2025
- Business
- Yahoo
Principal® Names Joel Pitz Executive Vice President and Chief Financial Officer
Pitz fills role previously held by Deanna Strable, President & CEO DES MOINES, Iowa, May 20, 2025--(BUSINESS WIRE)--Principal Financial Group® (Nasdaq: PFG) today announced the appointment of Joel Pitz as executive vice president and chief financial officer, effective immediately. Pitz steps into the role after 30 years with Principal and brings extensive experience in successfully aligning financial strategy to business goals. "Joel has demonstrated strong leadership throughout his time at Principal and during his tenure as interim CFO which will continue to serve the company well," said Deanna Strable, Principal president and CEO. "Not only is his expertise highly valued by the organization, but he has also proven to be a trusted advisor to me personally." Pitz served Principal as senior vice president and controller prior to his appointment to interim CFO in August 2024. Before taking on the role of controller, he served as the CFO for international businesses, where he oversaw global finance and strategy for emerging market operations. He's held several leadership positions during his tenure with Principal, including chief accounting officer. "I'm honored to step into the role of chief financial officer," said Pitz. "I look forward to working alongside our talented teams as we continue to drive sustainable growth and create value for our stakeholders now and into the future." Pitz succeeds Deanna Strable, who was named president and chief operating officer in August of 2024 and president and chief executive officer in January 2025. About Principal Financial Group® Principal Financial Group® (Nasdaq: PFG) is a global financial company with approximately 20,000 employees1 passionate about improving the wealth and well-being of people and businesses. In business for 145 years, we're helping approximately 70 million customers1 plan, protect, invest, and retire, while working to support the communities where we do business. Principal is proud to be recognized as one of the 2024 World's Most Ethical Companies2 and named as a Best Places to Work in Money Management3. Learn more about Principal and our commitment to building a better future at 1 As of March 31, 20252 Ethisphere, 20253 Pensions & Investments, 2024 View source version on Contacts Media contact: Sara Bonney, 515-878-0835, Investor contact: Humphrey Lee, 515-235-9500, Sign in to access your portfolio
Business Wire
20-05-2025
- Business
- Business Wire
Principal ® Names Joel Pitz Executive Vice President and Chief Financial Officer
DES MOINES, Iowa--(BUSINESS WIRE)-- Principal Financial Group ® (Nasdaq: PFG) today announced the appointment of Joel Pitz as executive vice president and chief financial officer, effective immediately. Pitz steps into the role after 30 years with Principal and brings extensive experience in successfully aligning financial strategy to business goals. 'Joel has demonstrated strong leadership throughout his time at Principal and during his tenure as interim CFO which will continue to serve the company well,' said Deanna Strable, Principal president and CEO. 'Not only is his expertise highly valued by the organization, but he has also proven to be a trusted advisor to me personally.' Pitz served Principal as senior vice president and controller prior to his appointment to interim CFO in August 2024. Before taking on the role of controller, he served as the CFO for international businesses, where he oversaw global finance and strategy for emerging market operations. He's held several leadership positions during his tenure with Principal, including chief accounting officer. 'I'm honored to step into the role of chief financial officer,' said Pitz. 'I look forward to working alongside our talented teams as we continue to drive sustainable growth and create value for our stakeholders now and into the future.' Pitz succeeds Deanna Strable, who was named president and chief operating officer in August of 2024 and president and chief executive officer in January 2025. About Principal Financial Group® Principal Financial Group® (Nasdaq: PFG) is a global financial company with approximately 20,000 employees 1 passionate about improving the wealth and well-being of people and businesses. In business for 145 years, we're helping approximately 70 million customers 1 plan, protect, invest, and retire, while working to support the communities where we do business. Principal is proud to be recognized as one of the 2024 World's Most Ethical Companies 2 and named as a Best Places to Work in Money Management 3. Learn more about Principal and our commitment to building a better future at 1 As of March 31, 2025 2 Ethisphere, 2025 3 Pensions & Investments, 2024
Yahoo
26-04-2025
- Business
- Yahoo
Principal Financial Group Inc (PFG) Q1 2025 Earnings Call Highlights: Strong EPS Growth Amid ...
Adjusted Non-GAAP Earnings: $439 million or $1.92 per diluted share, a 10% increase in EPS over the first quarter of 2024. Capital Returned to Shareholders: $370 million, including $200 million of share repurchases. Total Company Managed AUM: Increased to $718 billion at the end of the quarter. Net Cash Flow: Negative $4 billion, driven by two low fee institutional fixed income withdrawals. Retirement Account Value Net Cash Flow: Positive $400 million after adjustments. Pension Risk Transfer Volume: Reached $800 million in the quarter. Specialty Benefits Premium Fees Growth: 4% compared to the year ago quarter. Non-GAAP Operating ROE: 14%, a 100-basis point improvement from a year ago. RAS Margin: 41%, a 120-basis point improvement over the prior year quarter. Recurring Deposit Growth: 9% in the quarter. Investment Management Revenue: Increased 4% compared to the year ago quarter. International Pension Net Revenue: Increased 4% year over year on a constant currency basis. SPD Loss Ratio: Improved by 40 basis points year over year to 60.7%. Excess and Available Capital: $1.8 billion at the end of the quarter. Common Stock Dividend: $0.76, a $0.01 increase over the prior quarter's dividend. Warning! GuruFocus has detected 1 Warning Sign with PFG. Release Date: April 25, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Principal Financial Group Inc (NASDAQ:PFG) reported a 10% increase in EPS over the first quarter of 2024, demonstrating strong financial performance. The company returned $370 million of capital to shareholders, including $200 million in share repurchases and an increase in common stock dividends. Total company managed AUM increased to $718 billion, reflecting positive market performance and favorable exchange rates. Strong local investment management flows were observed in Mexico and Southeast Asia, reinforcing the company's global business reach. Principal Financial Group Inc (NASDAQ:PFG) was named one of the 2025 world's most ethical companies by Ethisphere, highlighting its commitment to ethical practices. Market volatility is expected to persist, impacting fee revenue in retirement and asset management, making future quarters difficult to predict. Net cash flow was negative $4 billion in the quarter, driven by low fee institutional fixed income withdrawals. The company experienced elevated seasonal expenses in investment management, impacting first quarter earnings. Lower dental sales and the absence of new PFML markets impacted growth in specialty benefits. The company faced a $6 million FX headwind in international pension, affecting net revenue. Q: How does Principal Financial Group feel about their 9% to 12% EPS growth target given the current macroeconomic environment? A: Deanna Strable, President and CEO, emphasized the dynamic and unpredictable market environment, but highlighted the company's diverse and resilient business portfolio. Joel Pitz, Interim CFO, noted a strong start to the year with 10% EPS growth in Q1, aligning with their guidance. They remain focused on expense management and are confident in their ability to achieve the target, depending on market conditions. Q: What flexibility does Principal Financial Group have on the expense side, and what actions have been taken in Q2? A: Deanna Strable stated that aligning expenses with revenue is critical, especially given recent volatility. Joel Pitz added that they focus on expense management activities such as travel restrictions, delayed hiring, and consulting spend to align expenses with revenue, reflecting a 40-basis point improvement in margins year over year. Q: How is client behavior in the asset management business amidst market volatility? A: Kamal Bhatia, CEO of Principal Asset Management, noted increased volatility due to rebalancing but highlighted a material improvement in their pipeline. Clients are improving business fundamentals, with mandates bringing higher net revenue rates, particularly in private markets and international strategies. Q: Are there any changes in participant behavior in the retirement segment, particularly regarding hardship withdrawals? A: Christopher Littlefield, President of Retirement and Income Solutions, reported no significant increase in loans or hardship withdrawals. Participant withdrawal rates have stabilized, and while the dollar amount of withdrawals is up, it aligns with increased average account values. Q: What were the drivers of mortality in the life business, and how does it compare to industry trends? A: Amy Friedrich, President of U.S. Insurance Solutions, explained that individual life business can be volatile, with recent results driven by severity and a single large claim. Group life, covering working-age populations, showed strong results. Over a longer term, mortality aligns with expectations. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Sign in to access your portfolio
