Financial Data and Key Metrics Changes - Voya Financial reported over $1 billion of pre-tax adjusted operating earnings for the full year 2025, which is $168 million higher than the previous year, and increased earnings per share by 22% to $8.85 [15][16] - The company generated $775 million of excess cash, significantly exceeding its target [7][16] - Adjusted return on equity expanded by over 200 basis points to 18.6% [26] Business Line Data and Key Metrics Changes - In the retirement segment, adjusted operating earnings reached nearly $1 billion, a 17% increase from 2024, with defined contribution net flows surpassing $28 billion, the highest in Voya's history [17][19] - Investment management achieved record net revenues exceeding $1 billion, with 4.8% organic growth, well above the long-term target [12][20] - Employee benefits saw adjusted operating earnings improve to $152 million from $40 million in the prior year, driven by better margins in Stop Loss [22] Market Data and Key Metrics Changes - Combined retirement and investment management assets surpassed $1 trillion, illustrating the scale and value of Voya's integrated business model [7][8] - The company reported a record $360 billion in assets under management (AUM) due to strong net flows [13] Company Strategy and Development Direction - Voya's strategic priorities for 2026 include growing excess cash generation, maintaining balance sheet strength, driving commercial momentum in retirement and investment management, and improving margins in employee benefits [31][32] - The integration of OneAmerica exceeded financial targets and expanded capabilities, contributing to the overall growth strategy [10][11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to continue generating excess capital and achieving financial targets in 2026, supported by strong commercial momentum and disciplined expense management [16][31] - The company anticipates meaningful defined contribution net inflows in 2026, underpinned by plans expected to fund in the latter half of the year [19] Other Important Information - Voya plans to repurchase $150 million of shares in the first quarter of 2026, with similar plans for the second quarter, subject to macro conditions [28] - The company is actively assessing opportunities for mergers and acquisitions in the retirement space while maintaining a high bar for such activities [94] Q&A Session Summary Question: Inquiry about Stop Loss reserves - Management clarified that the reserve increase was due to a combination of conservative estimates and modestly better claims experience compared to the previous year [34][35] Question: Follow-up on Stop Loss rate increases - Management indicated that the 24% rate increase for January 2026 is expected to be sufficient, given the current demand and pricing environment [39][41] Question: Outlook for full-service retirement organic growth - Management expects strong organic growth in retirement, building off the previous year's performance and high retention rates [90][92] Question: Strategic rationale for Stop Loss in relation to other business lines - Management emphasized that Stop Loss is a critical product that complements other offerings and helps clients manage volatile medical expenses [75][78] Question: Comments on artificial intelligence opportunities and risks - Management sees significant opportunities in leveraging AI for efficiency and client experience, while also being aware of potential disintermediation risks [105][106]

Financial Data and Key Metrics Changes - Voya Financial reported over $1 billion of pre-tax adjusted operating earnings for the full year 2025, which is $168 million higher than the previous year, and increased earnings per share by 22% to $8.85 [17][28] - The company generated $775 million of excess cash, exceeding its target, with approximately $175 million generated in the fourth quarter [17][28] - Adjusted return on equity expanded by over 200 basis points to 18.6% [28] Business Line Data and Key Metrics Changes - In the retirement segment, adjusted operating earnings reached nearly $1 billion, a 17% increase from 2024, with defined contribution net flows surpassing $28 billion, the highest in Voya's history [18][20] - Investment management achieved record net revenues exceeding $1 billion, with 4.8% organic growth, significantly above the long-term target [13][22] - Employee benefits saw adjusted operating earnings improve to $152 million from $40 million in the prior year, driven by improvements in Stop Loss [24][28] Market Data and Key Metrics Changes - Combined retirement and investment management assets surpassed $1 trillion, reflecting the scale and integrated business model of Voya [7][8] - The company reported a record $360 billion in assets under management (AUM) due to strong net flows [14] Company Strategy and Development Direction - Voya's strategic priorities for 2026 include growing excess cash generation, maintaining balance sheet strength, driving commercial momentum in retirement and investment management, and improving margins in employee benefits [32][33] - The integration of OneAmerica exceeded financial targets and expanded client capabilities, contributing to the growth strategy [11][12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ability to generate excess capital in 2026, supported by strong performance across all business segments [30][63] - The company anticipates continued strong defined contribution net inflows and margin expansion in employee benefits, particularly in Stop Loss [21][24] Other Important Information - The company plans to repurchase $150 million of shares in the first quarter of 2026, with similar plans for the second quarter, subject to macro conditions [30] - Voya is actively assessing opportunities for mergers and acquisitions in the retirement space while maintaining a high bar for such activities [95] Q&A Session Summary Question: Details on Stop Loss reserves - Management indicated that the reserve increase was due to a wider range of outcomes in claims experience, particularly related to cancer and high-cost therapies [35][82] Question: Future pricing for Stop Loss - Management believes the 24% rate increase for January 2026 is sufficient, given the current demand and supply dynamics in the market [40][41] Question: Outlook for retirement business growth - The company expects strong organic growth in retirement, building on the $28 billion in net flows from 2025 and a participant base of approximately 10 million [91][92] Question: Strategic rationale for Stop Loss - Management highlighted the importance of Stop Loss in controlling volatile medical expenses for self-insured employers, which complements other offerings in the employee benefits portfolio [75][78] Question: AI opportunities and risks - Management sees AI as an opportunity to improve client experience and operational efficiency, while also being aware of potential disintermediation risks [106][107]

Financial Data and Key Metrics Changes - Voya Financial reported over $1 billion in pre-tax adjusted operating earnings for 2025, which is $168 million higher than the previous year, and increased earnings per share by 22% to $8.85 [8][9] - The company generated $775 million in excess cash, exceeding its target of $700 million [8][14] - Adjusted return on equity expanded by over 200 basis points to 18.6% [14] Business Line Data and Key Metrics Changes - In the retirement segment, adjusted operating earnings reached nearly $1 billion, a 17% increase from 2024, with defined contribution net flows surpassing $28 billion, the highest in Voya's history [9][10] - Investment management achieved record net revenues exceeding $1 billion, with 4.8% organic growth, and AUM reached $360 billion [6][11] - Employee benefits saw adjusted operating earnings improve significantly to $152 million from $40 million in the prior year, driven by better margins in stop loss and group life [12][13] Market Data and Key Metrics Changes - The combined retirement and investment management assets surpassed $1 trillion, showcasing the scale of Voya's integrated business model [4] - The participant base in retirement is approaching 10 million accounts, indicating expanding reach and customer engagement [5][10] Company Strategy and Development Direction - Voya's strategic priorities for 2026 include growing excess cash generation, maintaining balance sheet strength, driving commercial momentum in retirement and investment management, and improving margins in employee benefits [15] - The integration of OneAmerica has exceeded financial targets and expanded capabilities, contributing to Voya's growth strategy [5][9] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in continued growth and margin expansion in 2026, supported by strong commercial momentum and disciplined capital deployment [14][15] - The company anticipates meaningful defined contribution net inflows in 2026, underpinned by plans expected to fund in the latter half of the year [10][59] Other Important Information - Voya plans to repurchase $150 million of shares in the first quarter of 2026, with similar plans for the second quarter, subject to macro conditions [14] - The company is actively assessing M&A opportunities in the retirement space but maintains a high bar for acquisitions, prioritizing share buybacks for capital deployment [61] Q&A Session Summary Question: Details on Stop Loss reserves - Management indicated that the reserve increase was due to a wider range of outcomes in claims experience, particularly with higher frequency and severity of claims related to cancer and gene therapy [17][53] Question: Sufficiency of the 24% rate increase for January 2026 - Management believes the 24% rate increase is sufficient given the current trend and demand for stop loss coverage, with expectations for further margin improvement [20][21] Question: Outlook for full service in retirement for 2026 - The company expects strong organic growth in retirement, building on 2025's performance, with high retention rates and increasing plan RFP activity [59] Question: Strategic rationale for Stop Loss in relation to other business lines - Stop Loss is viewed as a critical product that complements Voya's offerings in retirement and investment management, helping clients manage volatile medical expenses [48][50]

Core Insights - Voya Financial, Inc. (VOYA) reported fourth-quarter 2025 adjusted operating earnings of $1.94 per share, missing the Zacks Consensus Estimate by 8%, but showing a year-over-year increase of 38.5% [1][9] - The earnings growth was driven by higher earnings across all segments, partially offset by increased performance-based compensation accruals in Corporate [1] - The company’s adjusted operating revenues reached $2 billion, reflecting a 5.7% year-over-year increase [2] Financial Performance - Net investment income rose 13.4% year over year to $591 million, while fee income increased by 16.5% to $633 million [2][9] - Premiums totaled $738 million, down 6.5% from the previous year [2] - Total benefits and expenses were $1.9 billion, up 2.7% year over year [2] Segment Analysis - Retirement segment reported pre-tax adjusted operating earnings of $255 million, a 21.4% increase year over year, attributed to acquired business from OneAmerica and strong execution [4] - Employee Benefits segment narrowed its pre-tax adjusted operating loss to $10 million from a loss of $102 million in the prior year, driven by improved underwriting margins [5] - Investment Management posted pre-tax adjusted operating earnings of $72 million, a 9% increase year over year, with net inflows of $1.2 billion [6] Asset Management - As of December 31, 2025, Voya's assets under management and administration totaled $1.1 trillion [3] - Total client assets in the Retirement segment reached $797 billion, up 30% year over year [4] Capital and Debt - Voya Financial ended the quarter with cash and cash equivalents of $1.2 billion, a decrease of 12.2% year over year [8] - Long-term debt was reported at $1.5 billion, down 27.8% from the end of 2024 [10] - The financial leverage ratio improved by 330 basis points year over year to 27% [10] Capital Deployment - The company returned $120 million to shareholders through share repurchases and $44 million through common stock dividends in the reported quarter [11] - As of December 31, 2025, Voya had approximately $0.4 billion in excess capital and a remaining share repurchase authorization of $562 million [11] Full-Year Highlights - For the full year 2025, adjusted operating earnings per share were $8.85, a 22% increase year over year, although it missed the Zacks Consensus Estimate by 1.8% [12] - Adjusted operating revenues for the year increased by 3.3% to $7.7 billion [12]

Voya Financial Fourth Quarter and Full-Year 2025 Results February 4, 2026 Information contained herein is proprietary, confidential and non-public and is not for public release. Forward-Looking and Other Cautionary Statements This presentation and the remarks made orally contain forward-looking statements. 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 ...

Core Insights - Voya Financial reported a revenue of $316 million for Q4 2025, marking an 81.6% year-over-year increase, while EPS was $1.94 compared to $1.50 a year ago [1] - The reported revenue fell short of the Zacks Consensus Estimate of $332.41 million, resulting in a surprise of -4.94%, and the EPS also missed the consensus estimate of $2.11 by -7.97% [1] Financial Performance Metrics - Total Assets Under Management (AUM) and Assets Under Administration (AUA) in Retirement reached $796.51 billion, slightly above the estimated $795.27 billion [4] - Client Assets in Retirement - Full Service were reported at $281.02 billion, below the average estimate of $284.85 billion [4] - Client Assets in Retirement - Recordkeeping were $446.99 billion, exceeding the estimated $441.68 billion [4] - Total Defined Contribution Client Assets were $728.01 billion, slightly above the average estimate of $726.52 billion [4] - Net investment income revenue was $591 million, surpassing the average estimate of $529.72 million, reflecting a year-over-year increase of 13.4% [4] - Fee income revenue was $633 million, below the average estimate of $655.66 million, but showed a year-over-year increase of 16.6% [4] - Premiums revenue was $738 million, which is a decrease of 6.6% compared to the previous year and below the estimated $791.44 million [4] - Adjusted Operating Revenues for Investment Management totaled $290 million, exceeding the average estimate of $260.16 million, with a year-over-year increase of 7% [4] - Adjusted Operating Revenues for Investment Management - Fee income was $250 million, slightly above the average estimate of $248.31 million, reflecting a 5.5% year-over-year increase [4] - Adjusted Operating Revenues for Corporate - Net investment income and net gains were $5 million, below the average estimate of $5.75 million, showing a year-over-year decrease of 37.5% [4] - Adjusted Operating Revenues for Corporate - Total was $6 million, slightly above the average estimate of $5.75 million, but represented a 25% decrease compared to the year-ago quarter [4] Stock Performance - Voya's shares returned +0.2% over the past month, underperforming the Zacks S&P 500 composite's +1.8% change [3] - The stock currently holds a Zacks Rank 4 (Sell), indicating potential underperformance relative to the broader market in the near term [3]

分组1 - Voya Financial reported quarterly earnings of $1.94 per share, missing the Zacks Consensus Estimate of $2.11 per share, representing an earnings surprise of -7.97% [1] - The company posted revenues of $316 million for the quarter ended December 2025, missing the Zacks Consensus Estimate by 4.94%, compared to year-ago revenues of $174 million [2] - Voya has surpassed consensus EPS estimates three times over the last four quarters, indicating a generally positive trend in earnings performance [2] 分组2 - The current consensus EPS estimate for the coming quarter is $2.13 on revenues of $315.62 million, and for the current fiscal year, it is $10.02 on revenues of $1.38 billion [7] - The Zacks Industry Rank for Insurance - Life Insurance is currently in the top 12% of over 250 Zacks industries, suggesting a favorable outlook for the industry [8] - Voya shares have increased about 4% since the beginning of the year, outperforming the S&P 500's gain of 1.9% [3]

Financial Performance - Voya Financial reported Adjusted Operating Earnings Before Income Taxes for the year ended December 31, 2025, highlighting a focus on core business performance [4]. - The company emphasized the importance of Adjusted Operating Revenues, which are calculated by adjusting Total Revenues for specific items, providing a clearer view of segment performance [6]. - Adjusted Operating Return on Common Equity excluding AOCI was noted as a key measure for assessing returns for common shareholders, excluding variable components due to interest rate changes [11]. - The report included a detailed reconciliation of Adjusted Operating Earnings Before Income Taxes to the U.S. GAAP measure, ensuring transparency in financial reporting [5]. - Voya Financial reported a net income of $136 million for Q4 2025, up from $93 million in Q4 2024, representing a 46% year-over-year increase [12]. - Adjusted operating earnings before income taxes for Q4 2025 were $226 million, compared to $147 million in Q4 2024, marking a 54% increase [14]. - The effective tax rate for Q4 2025 was 17.1%, up from 6.1% in Q4 2024 [12]. - Voya Financial's total shareholders' equity reached $4.953 billion as of December 31, 2025, compared to $4.005 billion a year earlier, reflecting a 24% increase [12]. - The company reported a TTM return on equity of 13.3% as of December 31, 2025, compared to 14.7% a year earlier [12]. - For the twelve months ended December 31, 2025, Voya Financial reported adjusted operating earnings of $1,038 million, an increase from $870 million in the previous year, resulting in an adjusted operating earnings per share of $8.85 compared to $7.25 [48]. Revenue and Expenses - The company reported a significant focus on net revenue, which includes investment spread and other investment income, fee-based margin, and net underwriting gain or loss [11]. - Adjusted Operating Benefits and Expenses were analyzed, excluding items related to exited businesses and early extinguishment of debt, to provide a clearer picture of operational efficiency [8]. - Total revenues for Q4 2025 were $2.111 billion, slightly down from $2.010 billion in Q4 2024, while year-to-date revenues increased to $8.189 billion from $8.050 billion [13]. - Total benefits and expenses for the year-to-date ending December 31, 2025, were $7,352 million, compared to $7,251 million in 2024 [49]. - Operating expenses for the twelve months ended December 31, 2025, totaled $3,168 million, compared to $2,822 million in 2024, indicating an increase of 12.3% [18]. Investment Performance - The company is actively managing its investment portfolio, with a focus on net investment gains and losses, which are critical for overall financial performance [7]. - Net investment income for Q4 2025 was $591 million, up from $521 million in Q4 2024, indicating a 13% increase [13]. - Net investment income and net gains for the twelve months ended December 31, 2025, were $2,123 million, up from $1,928 million in 2024, marking a growth of 10.1% [18]. - Voya Financial's alternative investment income for the twelve months ended December 31, 2025, was $205 million, up from $148 million in the previous year [45]. Capital Structure and Assets - Voya Financial's capital structure and assets under management were highlighted, indicating a robust financial position and growth potential [13]. - Total assets as of December 31, 2025, reached $178,859 million, up from $163,889 million as of December 31, 2024, indicating a growth of 9.1% [19]. - Total liabilities increased to $171,820 million as of December 31, 2025, compared to $157,882 million a year earlier, representing an increase of 8.8% [19]. - The company's total financial debt decreased to $2,104 million as of December 31, 2025, down from $2,502 million a year earlier, reflecting a reduction of 15.9% [21]. - Total shareholders' equity as of December 31, 2025, was $6,817 million, an increase from $5,788 million a year earlier, representing a growth of 17.7% [19]. Segment Performance - Adjusted operating earnings before income taxes for the Retirement segment were $959 million for the twelve months ended December 31, 2025, compared to $820 million in 2024, showing a growth of 17% [18]. - Adjusted operating earnings before income taxes for the Retirement segment reached $959 million for the twelve months ended December 31, 2025, up from $820 million in 2024, indicating a growth of 17% [41]. - The adjusted return on capital for the Retirement segment was 21.9% for the three months ended December 31, 2025, compared to 20.6% in the same period of 2024, showing an improvement of 1.3 percentage points [41]. - The adjusted operating earnings before income taxes for the Employee Benefits segment increased significantly to $152 million for the three months ended December 31, 2025, compared to $40 million in the same period of 2024, marking a growth of 280% [41]. Client Assets and Flows - Total client assets reached $796,508 million as of December 31, 2025, compared to $612,205 million a year earlier, reflecting a significant increase of 30.1% [24]. - Client Assets in Recordkeeping increased to $446,988 million as of December 31, 2025, from $340,254 million a year earlier, indicating a growth of 31.3% [25]. - Total Deposits for Full Service in Q4 2025 were $7,468 million, an increase from $6,699 million in Q4 2024, marking a rise of 11.5% [25]. - The total net flows for the company in the fourth quarter of 2025 were $1,151 million, compared to a negative flow of $(2,520) million in the previous quarter [30]. Future Outlook - Future outlook includes strategic initiatives aimed at market expansion and potential acquisitions to enhance growth opportunities [11]. - The company achieved an Adjusted Operating Margin of 39.8% for the three months ended December 31, 2025, consistent with the previous quarter, indicating stable operational efficiency [24].

Core Viewpoint - Voya Financial, Inc. will participate in a fireside chat at the UBS Financial Services Conference on February 9, 2026, featuring CEO Heather Lavallee and CFO Mike Katz [1]. Company Overview - Voya Financial, Inc. is a prominent company in retirement, employee benefits, and investment management, serving approximately 15.7 million individual, workplace, and institutional clients [2]. - The company is recognized as a "Great Place to Work" by the Great Place to Work® Institute, emphasizing a culture of customer centricity, integrity, accountability, agility, and inclusivity [2].

Core Viewpoint - Wall Street anticipates a year-over-year increase in earnings for Voya Financial, with a focus on how actual results compare to estimates impacting stock price [1][2]. Earnings Expectations - Voya is expected to report quarterly earnings of $2.11 per share, reflecting a year-over-year increase of +40.7% [3]. - Revenues are projected to reach $332.41 million, representing a 91% increase from the same quarter last year [3]. Estimate Revisions - The consensus EPS estimate has been revised 1.27% lower in the last 30 days, indicating a reassessment by analysts [4]. - The Most Accurate Estimate for Voya is higher than the Zacks Consensus Estimate, resulting in an Earnings ESP of +0.10% [12]. Earnings Surprise Prediction - A positive Earnings ESP is a strong indicator of an earnings beat, especially when combined with a Zacks Rank of 1, 2, or 3 [10]. - Voya currently holds a Zacks Rank of 3, suggesting a likelihood of beating the consensus EPS estimate [12]. Historical Performance - Voya has consistently beaten consensus EPS estimates, achieving this in the last four quarters [14]. - In the last reported quarter, Voya exceeded expectations by delivering earnings of $2.45 per share against an expected $2.22, resulting in a surprise of +10.36% [13]. Conclusion - Voya is positioned as a compelling candidate for an earnings beat, but investors should consider additional factors before making investment decisions [17].