Voya Financial announces second-quarter 2023 results
- Voya Financial reports strong second-quarter 2023 financial results with a 30% increase in adjusted operating EPS compared to the prior-year period. The company deployed $0.2 billion in excess capital, including $162 million in share repurchases and $21 million in common stock dividends. The board of directors authorized the doubling of the common stock dividend to $0.40 per share and the repurchase of an additional $500 million of common stock.
- None.
-
Net income available to common shareholders of
per diluted share.$1.41 -
After-tax adjusted operating earnings1 of
per diluted share (EPS).$2.21 -
Strong excess capital generation and continued commitment to capital return:
-
Approximately
in excess capital deployed in second-quarter 2023 — including$0.2 billion in share repurchases and$162 million in common stock dividends.$21 million -
Board of directors authorizes doubling of common stock dividend to
per share.$0.40 -
Board of directors authorizes the repurchase of an additional
of common stock.$500 million
-
Approximately
"In the second quarter of 2023, adjusted operating EPS grew
"In addition to having a strong leadership position in our industry, Voya continues to distinguish itself through our high free-cash-flow businesses. During the second quarter, we generated and deployed approximately
"Our purpose and vision — which continue to underpin our strong culture and set Voya apart in our industry — are enabling us to drive positive outcomes for our clients; support our colleagues; and serve the communities in which we live and work. For example, we are growing adoption of myVoyage — our first-of-its-kind, personalized financial-guidance and workplace-benefits platform — across our client base. And our employees continued to give back to our communities, volunteering more than 13,000 hours and helping over 2,600 non-profits across the
_________________________
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
Consolidated Results
Second-quarter 2023 net income available to common shareholders was
Second-quarter 2023 after-tax adjusted operating earnings were
Business Segment Results
Wealth Solutions
Wealth Solutions second-quarter 2023 pre-tax adjusted operating earnings were
For the trailing 12 months (TTM) ended June 30, 2023, full-service recurring deposits grew
Excluding notables, net revenues for the TTM ended June 30, 2023, grew
Health Solutions
Health Solutions second-quarter 2023 pre-tax adjusted operating earnings were
Health Solutions second-quarter 2023 annualized in-force premiums and fees grew
Excluding notables, net revenues for the TTM ended June 30, 2023, grew
Investment Management
Investment Management second-quarter 2023 pre-tax adjusted operating earnings, excluding Allianz's noncontrolling interest, were
Investment Management had net outflows (excluding divested businesses) of
Excluding notables, net revenues for the TTM ended June 30, 2023 grew
Capital
During the TTM ended June 30, 2023, Voya deployed approximately
Voya announced today that its board of directors has increased the company’s authorization to repurchase common stock under the company’s share repurchase program by
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, Aug. 2, 2023, at 10 a.m. ET, to discuss the company’s second-quarter 2023 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 at investors.voya.com starting at 1 p.m. ET on Aug. 2, 2023.
About Voya Financial
Voya Financial, Inc. (NYSE: VOYA), is a leading health, wealth and investment company with 7,200 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 14.7 million individual, workplace and institutional clients become well planned, well invested and well protected. Benefitfocus, a Voya company, extends the reach of Voya’s workplace benefits and savings offerings by providing benefits administration capabilities to 16.5 million individual subscription employees across employer and health plan clients. Certified as a “Great Place to Work” by the Great Place to Work® Institute, Voya is purpose-driven and committed to conducting business in a way that is economically, ethically, socially and environmentally responsible. Voya has earned recognition as: one of the World’s Most Ethical Companies® by the Ethisphere Institute; a member of the Bloomberg Gender-Equality Index; and a “Best Place to Work for Disability Inclusion” on the Disability Equality Index. For more information, visit voya.com. Follow Voya Financial on Facebook, LinkedIn and Instagram.
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) general economic conditions, particularly economic conditions in our core markets, (ii) performance of financial markets, (iii) the frequency and severity of insured loss events, (iv) the effects of natural or man-made disasters, including pandemic events, (v) mortality and morbidity levels, (vi) persistency and lapse levels, (vii) interest rates, (viii) currency exchange rates, (ix) general competitive factors, (x) changes in laws and regulations, such as those relating to Federal taxation, state insurance regulations and NAIC regulations and guidelines, (xi) changes in the policies of governments and/or regulatory authorities, (xii) our ability to successfully manage the separation of the Individual Life business that we sold to Resolution Life US on Jan. 4, 2021, and (xiii) our ability to realize the expected benefits from acquisitions, including the transactions with Allianz Global Investors
VOYA-IR VOYA-CF
Reconciliation of Net Income (Loss) to Adjusted Operating Earnings and Earnings Per Share (Diluted) |
|||||||||||||
|
Three Months Ended |
||||||||||||
($ in millions, except per share) |
6/30/2023 |
|
6/30/2022 |
||||||||||
|
After-tax (1) |
Per share |
|
After-tax (1) |
Per share |
||||||||
|
|
|
|
|
|
||||||||
Net Income (loss) available to Voya Financial, Inc.'s common shareholders |
$ |
154 |
|
$ |
1.41 |
|
|
$ |
64 |
|
$ |
0.57 |
|
Less: |
|
|
|
|
|
||||||||
Net investment gains (losses) |
|
(30 |
) |
|
(0.27 |
) |
|
|
(47 |
) |
|
(0.42 |
) |
Income (loss) related to businesses exited or to be exited through reinsurance or divestment |
|
(17 |
) |
|
(0.15 |
) |
|
|
(44 |
) |
|
(0.39 |
) |
Other adjustments (2) |
|
(41 |
) |
|
(0.38 |
) |
|
|
(34 |
) |
|
(0.31 |
) |
Adjusted operating earnings |
$ |
243 |
|
$ |
2.21 |
|
|
$ |
188 |
|
$ |
1.70 |
|
Less: |
|
|
|
|
|
||||||||
Alternative investment income and prepayment fees above (below) long-term expectations net of variable and incentive compensation |
|
(11 |
) |
|
(0.10 |
) |
|
|
(7 |
) |
|
(0.06 |
) |
Adjusted operating earnings excluding notable items |
$ |
253 |
|
$ |
2.31 |
|
|
$ |
195 |
|
$ |
1.76 |
|
(1) The adjusted operating effective tax rate is based on the actual income tax expense for the current period related to Income (loss), adjusted for estimated taxes on non-operating items and non-operating tax impacts, such as those related to restructuring, changes in a tax valuation allowance and changes to tax law. For non-operating items, we apply a |
|
(2) “Other adjustments” primarily consists of an impairment to a vacated leased property and ongoing integration costs associated with the Allianz Global Investors transaction and Benefitfocus acquisition for the three months ended June 30, 2023. “Other adjustments” primarily consists of an impairment on owned real estate for the three months ended June 30, 2022. |
Adjusted Operating Earnings and Notable Items |
|||||||||
Three Months Ended June 30, 2023 |
|||||||||
(in millions) |
Amounts including
|
Investment
|
Amounts excluding
|
||||||
|
|
|
|
||||||
Adjusted operating earnings |
|
|
|
||||||
Wealth Solutions |
$ |
174 |
|
$ |
(14 |
) |
$ |
188 |
|
Health Solutions |
|
124 |
|
|
— |
|
|
125 |
|
Investment Management |
|
63 |
|
|
1 |
|
|
62 |
|
Corporate |
|
(54 |
) |
|
— |
|
|
(54 |
) |
Adjusted operating earnings before income taxes, including Allianz noncontrolling interest |
|
307 |
|
|
(14 |
) |
|
321 |
|
Less: Earnings (loss) attributable to Allianz noncontrolling interest |
|
13 |
|
|
— |
|
|
13 |
|
Adjusted operating earnings before income taxes |
|
294 |
|
|
(14 |
) |
|
308 |
|
Income taxes (2) |
|
52 |
|
|
(3 |
) |
|
54 |
|
Adjusted operating earnings after income taxes |
$ |
243 |
|
$ |
(11 |
) |
$ |
253 |
|
Adjusted operating earnings per share |
|
2.21 |
|
|
(0.10 |
) |
|
2.31 |
|
(1) The amount by which Investment income from alternative investments and prepayments exceeds or is less than our long-term expectations, net of variable and incentive compensation. |
(2) The adjusted operating effective tax rate is based on the actual income tax expense for the current period related to Income (loss), adjusted for estimated taxes on non-operating items and non-operating tax impacts, such as those related to restructuring, changes in a tax valuation allowance and changes to tax law. For non-operating items, we apply a |
Net Revenue, Adjusted Operating Margin, and Notable Items |
||||||||||||
Twelve Months Ended June 30, 2023 |
||||||||||||
(in millions) |
Amounts
|
Investment
|
Other (2) |
Amounts
|
||||||||
|
a |
b |
c |
d = a - b - c |
||||||||
Net revenue |
|
|
|
|
||||||||
Wealth Solutions |
$ |
1,812 |
|
$ |
(167 |
) |
$ |
— |
|
$ |
1,979 |
|
Health Solutions |
|
1,183 |
|
|
(15 |
) |
|
57 |
|
|
1,142 |
|
Investment Management |
|
862 |
|
|
(27 |
) |
|
— |
|
|
889 |
|
Total net revenue |
$ |
3,857 |
|
$ |
(209 |
) |
$ |
57 |
|
$ |
4,010 |
|
|
|
|
|
|
||||||||
Adjusted operating margin |
|
|
|
|
||||||||
Wealth Solutions |
|
31.9 |
% |
|
(5.8 |
)% |
|
— |
|
|
37.7 |
% |
Health Solutions |
|
38.0 |
% |
|
(0.8 |
)% |
|
3.0 |
% |
|
35.8 |
% |
Investment Management |
|
24.7 |
% |
|
(1.7 |
)% |
|
— |
|
|
26.4 |
% |
Adjusted operating margin, excluding Corporate |
|
32.2 |
% |
|
(3.4 |
)% |
|
1.0 |
% |
|
34.6 |
% |
(1) The amount by which Investment income from alternative investments and prepayments exceeds or is less than our long-term expectations. |
(2) Includes changes in certain other reserves not expected to recur at the same level. |
Net Revenue, Adjusted Operating Margin, and Notable Items |
|||||||||||||||
Twelve Months Ended June 30, 2022 |
|||||||||||||||
(in millions) |
Amounts
|
Investment
|
COVID-19
|
Other (2) |
Amounts
|
||||||||||
|
a |
b |
c |
d |
e = a - b - c - d |
||||||||||
Net revenue |
|
|
|
|
|
||||||||||
Wealth Solutions |
$ |
2,225 |
|
$ |
274 |
|
$ |
— |
|
$ |
— |
|
$ |
1,951 |
|
Health Solutions |
|
736 |
|
|
28 |
|
|
(102 |
) |
|
10 |
|
|
800 |
|
Investment Management |
|
750 |
|
|
33 |
|
|
— |
|
|
— |
|
|
717 |
|
Total net revenue |
$ |
3,711 |
|
$ |
335 |
|
$ |
(102 |
) |
$ |
10 |
|
$ |
3,468 |
|
|
|
|
|
|
|
||||||||||
Adjusted operating margin |
|
|
|
|
|
||||||||||
Wealth Solutions |
|
44.5 |
% |
|
7.8 |
% |
|
— |
|
|
(1.0 |
)% |
|
37.7 |
% |
Health Solutions |
|
23.4 |
% |
|
3.0 |
% |
|
(10.0 |
)% |
|
0.8 |
% |
|
29.6 |
% |
Investment Management |
|
26.8 |
% |
|
2.7 |
% |
|
— |
|
|
— |
|
|
24.1 |
% |
Adjusted operating margin, excluding Corporate |
|
36.7 |
% |
|
6.1 |
% |
|
(2.1 |
)% |
|
(0.3 |
)% |
|
33.0 |
% |
(1) The amount by which Investment income from alternative investments and prepayments exceeds or is less than our long-term expectations. |
(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/20230801364204/en/
Media Contact:
Christopher Breslin
212-309-8941
Christopher.Breslin@voya.com
Investor Contact:
Michael Katz
212-309-8999
IR@voya.com
Source: Voya Financial, Inc.
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