Voya Financial Reports Strong Third-Quarter 2025 Results, Highlights Operational Momentum and Continued Capital Strength
Voya Financial, Inc. (NYSE: VOYA), a leading health, wealth, and investment company serving institutions, individuals, and workplace clients, announced its financial results for the third quarter of 2025. The quarter reflected strong performance across all business segments, disciplined expense management, increased operating earnings, and continued execution of the company’s strategic growth initiatives.
For the third quarter, net income available to common shareholders totaled $176 million, translating to $1.80 per diluted share. This marks a meaningful increase compared to the same period in 2024, when the company reported $98 million in net income and $0.98 per diluted share.
On a non-GAAP basis, after-tax adjusted operating earnings reached $239 million, or $2.45 per diluted share, compared with $190 million and $1.90 per share in the third quarter of 2024. The nearly 30% year-over-year growth in adjusted operating earnings per share underscores the continued strength and stability of Voya’s operating platform.
Additionally, the company generated more than $200 million in excess capital during the quarter, contributing to approximately $600 million in excess capital year-to-date. Excess capital is an important metric for financial institutions, reflecting both the resilience of the balance sheet and the capacity to reinvest or distribute cash to shareholders.
Reflecting this strong capital position and commitment to shareholder returns, the Board of Directors approved a quarterly common stock dividend increase of $0.02 per share, or 4%, bringing the dividend to $0.47 per share beginning in the fourth quarter of 2025.
CEO Commentary
Voya Financial CEO Heather Lavallee emphasized the company’s ongoing progress in operational effectiveness and its execution of strategic priorities.
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,” Lavallee stated. “Our results demonstrate the strength of our strategy and the complementary nature of our businesses.
Lavallee also highlighted the company’s long-term positioning:
Our targeted strategic investments position us well to drive continued commercial momentum and long-term profitable growth. Combined with a strong balance sheet and robust free cash flow, we remain confident in our ability to create lasting value for customers and shareholders.
Detailed Third-Quarter 2025 Results
The improved earnings performance was driven primarily by strong operating results across each of Voya’s major business segments—Retirement, Investment Management, and Employee Benefits. Lower acquisition and integration costs, along with reduced investment losses compared to the prior year, also contributed to the year-over-year improvement.
Segment Performance Overview
Retirement Segment
The Retirement business delivered pre-tax adjusted operating earnings of $261 million, up from $211 million in the same quarter last year. The increase was driven notably by:
- The acquisition of retirement business assets from OneAmerica, which contributed scale and expanded product offerings
- Higher-than-expected alternative investment income
- Favorable commercial momentum supported by strong institutional demand
Net revenues for the trailing twelve months (TTM) ending September 30, 2025 increased 14.9% year-over-year, reflecting positive market conditions and the expanded customer base from the acquisition.
The adjusted operating margin for the TTM reached 39.8%, up from 37.9% in the prior-year period, driven by disciplined expense control and revenue growth.
Total client assets under administration rose to $785 billion as of September 30, 2025—an increase of 29% compared to the prior year. This growth was attributable to a combination of acquired business, favorable equity market performance, and sustained sales momentum.
Investment Management Segment
The Investment Management business also showed solid performance. Pre-tax adjusted operating earnings, excluding noncontrolling interest, were $62 million, compared with $55 million in the third quarter of 2024.
Growth was supported by:
- Higher fee-based revenues
- Margin expansion from ongoing efficiency initiatives
- Continued strong performance in institutional and retail client channels
- International growth within insurance and advisory platforms
Net revenues for the trailing twelve months increased 7.6% year-over-year, while the adjusted operating margin improved to 28.5%, up from 26.3% the year prior.
During the quarter, the segment generated $3.9 billion in net inflows, representing 1.2% organic growth, excluding divested business lines. Assets under management totaled $366 billion at quarter-end.
Employee Benefits Segment
Employee Benefits generated pre-tax adjusted operating earnings of $47 million, doubling from $23 million in the third-quarter of 2024. The improvement was driven by:
- Stronger underwriting margins in Stop Loss
- Enhanced pricing strategies and disciplined risk selection
However, trailing twelve-month net revenues declined 10.9%, reflecting normalized Stop Loss claims following elevated claims experienced in the prior year. The adjusted operating margin for the TTM was 6.0%, compared to 16.6% the previous year, reflecting expected claims variability.
Annualized in-force premiums and fees declined 5% year-over-year to $3.7 billion, influenced by margin-focused underwriting optimization.
Corporate Segment
Corporate results reflected pre-tax adjusted operating losses of $80 million, compared with losses of $59 million in the prior-year period. The increase Voya primarily resulted from higher performance-based compensation accruals linked to the company’s strong overall financial performance.
Capital Strength and Shareholder Value
Voya continued to generate substantial capital, returning $80 million through share repurchases and $43 million through dividends during the quarter.
An accelerated share repurchase (ASR) program of $100 million was initiated, with $80 million executed in the third quarter and the remaining $20 million completed early in the fourth quarter.
As of September 30, 2025, Voya held:
- Approximately $350 million in excess capital
- $661 million remaining under its share repurchase authorization
On October 30, 2025, the repurchase authorization’s expiration date was extended to December 31, 2026, signaling ongoing confidence in long-term financial growth.
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