Voya Financial announces first-quarter 2025 results
-
First-quarter 2025 net income available to common shareholders of
$139 million $1.42 $195 million $2.00 - Results are driven by positive prior year Stop Loss reserve developments, the successful acquisition of OneAmerica Financial's full-service retirement plan business, disciplined spend, and strong commercial momentum.
-
The balance sheet is prudently positioned, and excess capital generation continues to be strong. In the quarter we:
-
returned
$43 million -
deployed approximately
$200 million
-
returned
“In the first quarter of 2025, adjusted operating EPS grew
“Despite the uncertainties in the current macroeconomic environment, our commitment to creating long-term value for our shareholders remains steadfast. We are focused on executing on our key priorities while maintaining a strong balance sheet as we balance capital return to shareholders with prudent investment in growth opportunities.”
| ______________________________ |
1 This press release includes certain non-GAAP financial measures, including adjusted operating earnings. More information on notable items in the company’s financial results, non-GAAP measures, and reconciliations to the most comparable |
First-Quarter 2025 Consolidated Results
First-quarter 2025 net income available to common shareholders was
First-quarter 2025 after-tax adjusted operating earnings were
Business Segment Results
Wealth Solutions
Wealth Solutions first-quarter 2025 pre-tax adjusted operating earnings were
Net revenues for the trailing twelve months (TTM) ended Mar. 31, 2025 grew
Adjusted operating margin for the TTM ended Mar. 31, 2025 was
Excluding notable items, for the TTM ended Mar. 31, 2025, net revenues grew
Total client assets as of Mar. 31, 2025 were
Health Solutions
Health Solutions first-quarter 2025 pre-tax adjusted operating earnings were
Net revenues for the TTM ended Mar. 31, 2025 declined
Excluding notable items, for the TTM ended Mar. 31, 2025, net revenues declined
The decline in margins and net revenues primarily reflects a higher loss ratio in Stop Loss in the current TTM period.
Health Solutions first-quarter 2025 annualized in-force premiums and fees declined
Investment Management
Investment Management first-quarter 2025 pre-tax adjusted operating earnings, excluding noncontrolling interest, were
Net revenues for the TTM ended Mar. 31, 2025 grew
Adjusted operating margin for the TTM ended Mar. 31, 2025 was
Excluding notable items, for the TTM ended Mar. 31, 2025, net revenues grew
Investment Management generated net inflows of
Corporate
Corporate first-quarter 2025 pre-tax adjusted operating losses, excluding noncontrolling interest, were
Capital
For the first-quarter 2025, the company generated approximately
As of Mar. 31, 2025, the company had approximately
Additional Financial Information and Earnings Call
More detailed financial information can be found in the company’s quarterly investor supplement, which is available on Voya’s investor relations website, investors.voya.com. In addition, Voya will host a conference call on Wednesday, May 7, 2025, at 10 a.m. ET, to discuss the company’s first-quarter 2025 results. The call and slide presentation can be accessed via the company’s investor relations website at investors.voya.com. A replay of the call will be available on the company’s investor relations website, investors.voya.com, starting at approximately 1 p.m. ET on May 7, 2025.
About Voya Financial
Voya Financial, Inc. (NYSE: VOYA) is a leading health, wealth and investment company with approximately 10,000 employees who are focused on achieving Voya’s aspirational vision: "Clearing your path to financial confidence and a more fulfilling life." Through products, solutions and technologies, Voya helps its approximately 15.7 million individual, workplace and institutional clients become well planned, well invested and well protected. Benefitfocus, a Voya company and a leading benefits administration provider, extends the reach of Voya’s workplace benefits and savings offerings by engaging directly with approximately 11.9 million employees in the
Use of Non-GAAP Financial Measures
We believe that Adjusted operating earnings before income taxes is a meaningful measure used by management to evaluate our business and segment performance. This measure enhances the understanding of our financial results by focusing on the operating performance and trends of the underlying core business segments. It excludes results from exited businesses and items that tend to be highly variable from period to period based on capital market conditions or other factors which distort the ability to make a meaningful evaluation of our segments. We use the same accounting policies and procedures to measure segment Adjusted operating earnings before income taxes as we do for the directly comparable
- Net investment gains (losses);
- Income (loss) related to businesses exited or to be exited through reinsurance or divestment;
- Income (loss) attributable to noncontrolling interests to which we are not economically entitled;
- Dividend payments made to preferred shareholders are included as reductions to reflect the Adjusted operating earnings before income taxes that are available to common shareholders;
-
Other adjustments may include the following items:
- Income (loss) related to early extinguishment of debt;
- Impairment of goodwill and intangible assets;
- Amortization of acquisition-related intangible assets as well as contingent consideration fair value adjustments;
- Expected return on plan assets net of interest costs associated with our qualified defined benefit pension plan and immediate recognition of net actuarial gains (losses) related to all of our pension and other postretirement benefit obligations and gains (losses) from plan amendments and curtailments; and
- Other items not indicative of normal operations or performance of our segments or that may be related to events such as capital or organizational restructurings, including certain costs related to debt and equity offerings, acquisition / merger integration expenses, severance and other third-party expenses associated with such activities, and expenses attributable to vacant real estate.
Sources of Earnings
We analyze our segment performance based on the sources of earnings. We believe that this supplemental information is useful because we use it to analyze our business and it can help investors understand the main drivers of Adjusted operating earnings before income taxes. The sources of earnings include:
- Investment spread and other investment income.
- Fee-based margin.
- Net underwriting gain (loss).
- Administrative expenses.
- Premium taxes, fees and assessments.
- Net commissions.
- DAC/VOBA and other intangibles amortization.
Net Revenue and Adjusted Operating Margin
- Adjusted operating margin is defined as Adjusted operating earnings before income taxes divided by net revenue.
- Net revenue is the sum of investment spread and other investment income, fee-based margin, and net underwriting gain (loss).
- We also report net revenue and adjusted operating margin excluding notable items, such as alternative investment income above or below our long-term expectations.
- We report net revenue and adjusted operating margin excluding notable items since they provide the main drivers for Adjusted operating earnings before income taxes excluding the effects of items that are not expected to recur at the same level.
Forward-Looking and Other Cautionary Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The company does not assume any obligation to revise or update these statements to reflect new information, subsequent events or changes in strategy. Forward-looking statements include statements relating to future developments in our business or expectations for our future financial performance and any statement not involving a historical fact. Forward-looking statements use words such as “anticipate,” “believe,” “estimate,” “expect,” “intend,” “plan,” and other words and terms of similar meaning in connection with a discussion of future operating or financial performance. Actual results, performance or events may differ materially from those projected in any forward-looking statement due to, among other things, (i) global market risks, including general economic conditions, interest rates, inflation, tariffs imposed or threatened by the
VOYA-IR VOYA-CF
Consolidated Statement of Operations |
||||||
|
Three Months Ended |
|||||
(in millions USD, except per share) |
3/31/2025 |
3/31/2024 |
||||
|
|
|
||||
Revenues |
|
|
||||
Net investment income |
$ |
560 |
|
$ |
529 |
|
Fee income |
|
570 |
|
|
513 |
|
Premiums |
|
737 |
|
|
800 |
|
Net gains (losses) |
|
(34 |
) |
|
43 |
|
Other revenues |
|
104 |
|
|
88 |
|
Income (loss) related to consolidated investment entities |
|
32 |
|
|
78 |
|
Total revenues |
|
1,969 |
|
|
2,051 |
|
Benefits and expenses |
|
|
||||
Interest credited and other benefits to contract owners/policyholders |
|
(835 |
) |
|
(851 |
) |
Operating expenses |
|
(824 |
) |
|
(799 |
) |
Net amortization of DAC/VOBA |
|
(62 |
) |
|
(56 |
) |
Interest expense |
|
(32 |
) |
|
(30 |
) |
Operating expenses related to consolidated investment entities |
|
(43 |
) |
|
(28 |
) |
Total benefits and expenses |
|
(1,796 |
) |
|
(1,764 |
) |
Income (loss) before income taxes |
|
173 |
|
|
287 |
|
Income tax expense (benefit) |
|
22 |
|
|
(1 |
) |
Net income (loss) |
|
151 |
|
|
288 |
|
Less: Net income (loss) attributable to noncontrolling interest and redeemable noncontrolling interest |
|
(5 |
) |
|
37 |
|
Net income (loss) available to Voya Financial, Inc. |
|
156 |
|
|
251 |
|
Less: Preferred stock dividends |
|
17 |
|
|
17 |
|
Net income (loss) available to Voya Financial, Inc.'s common shareholders |
$ |
139 |
|
$ |
234 |
|
Net income (loss) available to Voya Financial, Inc.'s common shareholders per common share: |
|
|
||||
Basic |
$ |
1.45 |
|
$ |
2.29 |
|
Diluted |
$ |
1.42 |
|
$ |
2.24 |
|
Reconciliation of Net Income (Loss) to Adjusted Operating Earnings and Earnings Per Share (Diluted) |
|||||||||||||
|
Three Months Ended |
||||||||||||
(in millions USD, except per share) |
3/31/2025 |
|
3/31/2024 |
||||||||||
|
After-tax (1) |
Per share |
|
After-tax (1) |
Per share |
||||||||
Net Income (loss) available to Voya Financial, Inc.'s common shareholders |
$ |
139 |
|
$ |
1.42 |
|
|
$ |
234 |
|
$ |
2.24 |
|
Less: |
|
|
|
|
|
||||||||
Net investment gains (losses) |
|
(1 |
) |
|
(0.02 |
) |
|
|
50 |
|
|
0.48 |
|
Income (loss) related to businesses exited or to be exited through reinsurance or divestment (2) |
|
(31 |
) |
|
(0.32 |
) |
|
|
13 |
|
|
0.12 |
|
Other adjustments (3) |
|
(24 |
) |
|
(0.24 |
) |
|
|
(14 |
) |
|
(0.13 |
) |
Adjusted operating earnings |
$ |
195 |
|
$ |
2.00 |
|
|
$ |
185 |
|
$ |
1.77 |
|
Less: |
|
|
|
|
|
||||||||
Alternative investment income and prepayment fees above (below) expectations net of variable compensation |
|
(15 |
) |
|
(0.15 |
) |
|
|
(12 |
) |
|
(0.11 |
) |
Adjusted operating earnings excluding notable items |
$ |
210 |
|
$ |
2.15 |
|
|
$ |
197 |
|
$ |
1.88 |
|
Note: Totals may not sum due to rounding. |
(1) For adjusted operating earnings, we apply a |
(2) Includes a tax benefit of |
(3) Primarily consists of acquisition and integration costs associated with recent transactions and amortization of acquisition-related intangible assets. For the three months ended Mar. 31, 2025, also includes |
Adjusted Operating Earnings and Notable Items |
|||||||||
Three Months Ended Mar. 31, 2025 |
|||||||||
(in millions USD, except per share) |
Amounts Including
|
Alternative investment income and prepayment fees above (below) expectations (1) |
Amounts Excluding
|
||||||
|
a |
b |
c = a - b |
||||||
Adjusted operating earnings |
|
|
|
||||||
Wealth Solutions |
$ |
207 |
|
$ |
(14 |
) |
$ |
222 |
|
Health Solutions |
|
46 |
|
|
(2 |
) |
|
48 |
|
Investment Management |
|
41 |
|
|
(2 |
) |
|
43 |
|
Corporate |
|
(62 |
) |
|
— |
|
|
(62 |
) |
Adjusted operating earnings before income taxes |
|
232 |
|
|
(19 |
) |
|
251 |
|
Less: Income taxes (2) |
|
37 |
|
|
(4 |
) |
|
41 |
|
Adjusted operating earnings after income taxes |
$ |
195 |
|
$ |
(15 |
) |
$ |
210 |
|
Adjusted operating earnings per share |
|
2.00 |
|
|
(0.15 |
) |
|
2.15 |
|
Note: Totals may not sum due to rounding. |
(1) Amount by which Investment income from alternative investments and prepayments exceeds or is less than our expectations, net of variable compensation. The long-term expectation for alternative investments is a |
(2) For adjusted operating earnings, we apply a |
Adjusted Operating Earnings and Notable Items |
|||||||||
Three Months Ended Mar. 31, 2024 |
|||||||||
(in millions USD, except per share) |
Amounts Including
|
Alternative investment income and prepayment fees above (below) expectations (1) |
Amounts Excluding
|
||||||
|
a |
b |
c = a - b |
||||||
Adjusted operating earnings |
|
|
|
||||||
Wealth Solutions |
$ |
186 |
|
$ |
(14 |
) |
$ |
200 |
|
Health Solutions |
|
59 |
|
|
— |
|
|
60 |
|
Investment Management |
|
42 |
|
|
(1 |
) |
|
42 |
|
Corporate |
|
(63 |
) |
|
— |
|
|
(63 |
) |
Adjusted operating earnings before income taxes |
|
224 |
|
|
(15 |
) |
|
238 |
|
Less: Income taxes (2) |
|
38 |
|
|
(3 |
) |
|
42 |
|
Adjusted operating earnings after income taxes |
$ |
185 |
|
$ |
(12 |
) |
$ |
197 |
|
Adjusted operating earnings per share |
|
1.77 |
|
|
(0.11 |
) |
|
1.88 |
|
Note: Totals may not sum due to rounding. |
(1) Amount by which Investment income from alternative investments and prepayments exceeds or is less than expectations, net of variable compensation. The long-term expectation for alternative investments is a |
(2) For adjusted operating earnings, we apply a |
Net Revenue, Adjusted Operating Margin, and Notable Items |
|||||||||
Twelve Months Ended Mar. 31, 2025 |
|||||||||
(in millions USD) |
Amounts Including
|
Alternative investment income and prepayment fees above (below) expectations (1) |
Amounts Excluding
|
||||||
|
a |
b |
c = a - b |
||||||
Net revenue |
|
|
|
||||||
Wealth Solutions |
$ |
2,119 |
|
$ |
(53 |
) |
$ |
2,173 |
|
Health Solutions |
|
972 |
|
|
(9 |
) |
|
981 |
|
Investment Management |
|
991 |
|
|
(11 |
) |
|
1,001 |
|
Total net revenue |
$ |
4,082 |
|
$ |
(73 |
) |
$ |
4,155 |
|
|
|
|
|
||||||
Adjusted operating margin |
|
|
|
||||||
Wealth Solutions |
|
39.7 |
% |
|
(1.5 |
)% |
|
41.2 |
% |
Health Solutions |
|
2.7 |
% |
|
(0.9 |
)% |
|
3.6 |
% |
Investment Management |
|
28.1 |
% |
|
(0.5 |
)% |
|
28.6 |
% |
Adjusted operating margin, excluding Corporate |
|
28.1 |
% |
|
(1.2 |
)% |
|
29.2 |
% |
Note: Totals may not sum due to rounding. |
(1) Amount by which Investment income from alternative investments and prepayments exceeds or is less than our expectations, net of variable compensation. Long-term expectation for alternative investments is a |
Net Revenue, Adjusted Operating Margin, and Notable Items |
||||||||||||
Twelve Months Ended Mar. 31, 2024 |
||||||||||||
(in millions USD) |
Amounts Including
|
Alternative investment income and prepayment fees above (below) expectations (1) |
Other (2) |
Amounts Excluding
|
||||||||
|
a |
b |
c |
d = a - b - c |
||||||||
Net revenue |
|
|
|
|
||||||||
Wealth Solutions |
$ |
1,922 |
|
$ |
(91 |
) |
$ |
— |
|
$ |
2,013 |
|
Health Solutions |
|
1,172 |
|
|
(8 |
) |
|
(16 |
) |
|
1,196 |
|
Investment Management |
|
921 |
|
|
(5 |
) |
|
— |
|
|
927 |
|
Total net revenue |
$ |
4,015 |
|
$ |
(104 |
) |
$ |
(16 |
) |
$ |
4,136 |
|
|
|
|
|
|
||||||||
Adjusted operating margin |
|
|
|
|
||||||||
Wealth Solutions |
|
35.7 |
% |
|
(2.9 |
)% |
|
— |
% |
|
38.6 |
% |
Health Solutions |
|
23.9 |
% |
|
(0.5 |
)% |
|
(1.0 |
)% |
|
25.4 |
% |
Investment Management |
|
25.7 |
% |
|
(0.4 |
)% |
|
— |
|
|
26.1 |
% |
Adjusted operating margin, excluding Corporate |
|
29.9 |
% |
|
(1.8 |
)% |
|
(0.3 |
)% |
|
32.0 |
% |
Note: Totals may not sum due to rounding. |
(1) Amount by which Investment income from alternative investments and prepayments exceeds or is less than our expectations, net of variable compensation. The long-term expectation for alternative investments is a |
(2) Includes changes in certain legal and other reserves not expected to recur at the same level. |
View source version on businesswire.com: https://www.businesswire.com/news/home/20250506966809/en/
Media Contact:
Donna Sullivan
Donna.Sullivan@voya.com
Investor Contact:
Mei Ni Chu
IR@voya.com
Source: Voya Financial, Inc.
