Voya Financial Inc. (NYSE: VOYA) has announced impressive results for the third quarter of 2025, showcasing strong year-over-year growth, strategic acquisitions, and positive momentum across its key business segments. These achievements underscore Voya's disciplined execution and strategic focus, positioning the company well for future growth and shareholder value creation.
Voya Financial Inc Earnings Summary
For the third quarter of 2025, Voya Financial reported net income available to common shareholders of $176 million, or $1.80 per diluted share. Additionally, the company's after-tax adjusted operating earnings were $239 million, equating to $2.45 per diluted share. This reflects a nearly 30% increase in adjusted operating earnings per share (EPS) year-over-year. This growth was mainly driven by the strong performance across all operating segments, alongside a strategic reduction in share count thanks to the resumption of share repurchase activity.
Voya Financial Inc Results
Below is a detailed table of Voya Financial's key financial metrics, highlighting year-over-year comparisons:
| Financial Metric | Q3 2025 Amount | Q3 2024 Amount | YoY Change (%) |
|---|---|---|---|
| Net Income Available to Shareholders | $176 million | $98 million | 79.6% |
| Net Income per Diluted Share | $1.80 | $0.98 | 83.7% |
| Adjusted Operating Earnings | $239 million | $190 million | 25.8% |
| Adjusted Operating Earnings per Share | $2.45 | $1.90 | 28.9% |
The robust growth in income and EPS is a testament to Voya's strategic executions and continuous improvements in operational efficiency across its business lines.
Revenue Breakdown
Here is a breakdown of Voya’s revenue performance by major segments:
| Segment | Pre-tax Adjusted Operating Earnings (Q3 2025) | Pre-tax Adjusted Operating Earnings (Q3 2024) | YoY Change (%) |
|---|---|---|---|
| Retirement | $261 million | $211 million | 23.7% |
| Investment Management | $62 million | $55 million | 12.7% |
| Employee Benefits | $47 million | $23 million | 104.3% |
In-depth Analysis of Segment Performance
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Retirement : The Retirement segment's earnings rose to $261 million, attributed to strategic business acquisitions from OneAmerica and enriched alternative investment income. The segment experienced a 14.9% increase in net revenues over the trailing twelve months (TTM), indicating strong market momentum and effective capital utilization.
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Investment Management : This segment saw a 12.7% increase in earnings, propelled by improved net revenues and margin expansions due to heightened fee-based revenues. The segment notably achieved net inflows of $3.9 billion, reflecting an organic quarterly growth rate of 1.2%.
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Employee Benefits : The segment reported a 104.3% increase in earnings to $47 million, driven by improved Stop Loss underwriting margins. However, net revenues for the TTM declined by 10.9%, mainly due to previous negative Stop Loss claim developments.
Key Developments
A significant development during the quarter was Voya's acquisition of business from OneAmerica, contributing positively to the Retirement segment's performance. Additionally, Voya generated over $200 million in excess capital, of which $80 million was returned to shareholders via share repurchases, while $43 million was distributed as dividends.
Comments from Company Officers
Heather Lavallee, the CEO of Voya Financial, highlighted the growth saying, "Voya delivered nearly 30% growth in adjusted operating EPS in the third quarter, a clear reflection of our team's focus and disciplined execution of near-term priorities." She emphasized Voya's strategic investments positioning the company for sustained commercial momentum and long-term growth.
Dividends and Share Repurchases
The Board of Directors authorized a $0.02 increase in the quarterly common stock dividend to $0.47 per share, effective from the fourth quarter of 2025. This move underscores Voya's commitment to delivering shareholder value through consistent capital returns. With an accelerated share repurchase (ASR) agreement established, Voya repurchased $80 million worth of common stock in the third quarter, with an additional $20 million to be delivered in the fourth quarter.
Voya Financial Inc Stock Forecast
Based on the robust financial performance and strategic developments, the stock forecast for Voya Financial appears promising. With a current market cap of approximately $7.18 billion, projections suggest a high target of $95 per share, driven by strategic acquisitions and improved operational efficiencies. The low target, considering potential market volatilities and external economic factors, might hover around $75 per share.
In summary, Voya Financial's third-quarter results highlight their effective strategy execution, capital management, and operational discipline, suggesting solid prospects for future growth and shareholder returns. As the company continues to leverage its strengths and strategic investments, it remains well-positioned to navigate the complexities of the financial landscape.
