Client Assets and Deposits - Client Assets in Corporate markets increased to $111,254 million as of 6/30/2024, up from $102,522 million at 3/31/2024, representing a growth of 1.3%[1] - Client Assets at the end of the period reached $580,567 million, an increase from $518,941 million year-over-year, representing a growth of 11.9%[1] - Total Deposits for Full Service reached $5,811 million for the three months ended 6/30/2024, compared to $5,562 million for the previous quarter, reflecting a 4.5% increase[1] - Total Deposits for the quarter amounted to $12,927 million, compared to $14,935 million in the same quarter last year, reflecting a decrease of 7.5%[1] - The company’s total defined contribution client assets at the end of the period were $519,015 million, an increase from $458,068 million year-over-year, reflecting a growth of 13.3%[1] Financial Performance - Adjusted operating earnings before income taxes for the three months ended June 30, 2024, were $60 million, compared to $59 million for the previous quarter[5] - Net revenue for the three months ended June 30, 2024, was $301 million, an increase from $293 million in the prior quarter[5] - The company reported a net margin of $175 million for the quarter, consistent with the previous quarter, indicating stable performance[1] - Adjusted operating earnings before income taxes for Q2 2024 were $271 million, up from $224 million in Q1 2024, reflecting a positive trend in operational performance[22] - Net income available to common shareholders for Q2 2024 was $201 million, compared to $234 million in Q1 2024, indicating a decrease in profitability[22] - The company reported a diluted earnings per share of $1.96 for Q2 2024, down from $2.24 in Q1 2024, reflecting a decline in earnings performance[22] - Adjusted operating earnings before income taxes for the six months ended June 30, 2024, were $494 million, compared to $486 million in the same period of 2023, showing a 1.6% increase[30] - The company reported net income of $563 million for the six months ended June 30, 2024, compared to $404 million for the same period in 2023, representing a 39.3% increase[84] Revenue and Premiums - Total gross premiums and deposits in Health Solutions amounted to $904 million for the three months ended 6/30/2024, compared to $766 million for the same period last year, indicating a year-over-year increase of 18.1%[4] - Total sales by product line in Health Solutions reached $78 million for the three months ended 6/30/2024, compared to $50 million in the previous quarter, indicating a growth of 56%[4] - Full Service Fee-Based Revenue increased to $168 million, compared to $143 million in the same quarter last year, representing a growth of 17.5%[1] - Premiums collected in the quarter reached $791 million, compared to $669 million in the same quarter of the previous year, reflecting an 18.3% increase[23] - Wealth Solutions Net Revenue reached $525 million for the three months ended June 30, 2024, compared to $502 million in the previous quarter, reflecting a growth of 4.6%[75] - Health Solutions Net Revenue increased to $304 million for the three months ended June 30, 2024, up from $277 million in the previous quarter, marking a growth of 9.7%[75] Operating Expenses and Margins - The fee-based margin decreased to 54% for the three months ended June 30, 2024, down from 59% in the previous quarter[5] - Adjusted operating margin TTM was 19.1% for the three months ended June 30, 2024, compared to 23.9% in the previous quarter[5] - Adjusted operating margin for the trailing twelve months (TTM) was 26.2% as of June 30, 2024, compared to 26.4% a year prior[47] - Total Administrative Expenses for the three months ended June 30, 2024, were reported at $(520) million, compared to $(549) million in the previous quarter[76] Investment Performance - Interest credited and investment performance for Full Service was $3,186 million for the three months ended 6/30/2024, compared to $15,114 million for the previous quarter, showing a significant decrease[1] - Interest credited and other benefits to contract owners/policyholders totaled $(804) million for the quarter, up from $(656) million in the same quarter of 2023[23] - The gross investment income from public corporate assets was $133 million for the quarter ended June 30, 2024, with an earned rate of 5.1%[86] Client Flows and Market Trends - Net Flows for Full Service were negative at $(597) million for the three months ended 6/30/2024, a decline from positive net flows of $22 million in the previous quarter[1] - Net Flows for the quarter were $(1,625) million, a decline from $3,120 million in the same quarter last year, indicating a negative shift in client asset inflows[1] - Total net flows for the company were $4,151 million, a significant recovery from a net outflow of $76 million in the previous quarter[58] - Organic growth for institutional net flows was 2.1%, compared to -0.8% in the previous quarter, indicating a positive trend[58] Debt and Equity - Debt-to-capital ratio increased to 34.2% in Q2 2024 from 33.6% in Q1 2024, indicating a rise in leverage[22] - Debt-to-capital ratio improved to 34.2% as of June 30, 2024, compared to 40.1% in the previous quarter[35] - Common equity (excluding AOCI) increased to $6,014 million as of June 30, 2024, from $5,981 million as of December 31, 2023[35] - Total shareholders' equity as of June 30, 2024, was $5,686 million, down from $5,878 million as of December 31, 2023[35] Future Outlook - The company plans to continue expanding its market presence and investing in new technologies to enhance service offerings and drive future growth[102] - The company plans to reclassify $3.6 billion from certain separately managed accounts to AUM as of January 1, 2024, which may affect future reporting[16]

Financial Performance - Total revenues for the three months ended March 31, 2024, increased to $2,051 million, up from $1,835 million in the same period of 2023, representing a growth of 11.8%[20] - Net income available to Voya Financial, Inc.'s common shareholders for Q1 2024 was $234 million, compared to $69 million in Q1 2023, reflecting a significant increase of 238.8%[20] - Basic earnings per share for Q1 2024 was $2.29, compared to $0.70 for Q1 2023, indicating a substantial rise of 227.1%[20] - Net income for the three months ended March 31, 2024, was $251 million, compared to $83 million for the same period in 2023, representing a significant increase[31] - Total comprehensive income for Q1 2024 was $212 million, up from $637 million in Q1 2023, indicating a decrease primarily due to other comprehensive losses[28] - Adjusted operating earnings before income taxes for Q1 2024 totaled $224 million, up from $192 million in Q1 2023, representing a 16.7% increase[143] Assets and Liabilities - Total assets as of March 31, 2024, were $161,631 million, an increase from $157,085 million as of December 31, 2023, marking a growth of 2.9%[18] - Total liabilities increased to $155,760 million as of March 31, 2024, from $151,032 million as of December 31, 2023, which is an increase of 3.8%[18] - The balance of shareholders' equity as of March 31, 2024, was $5,697 million, a decrease from $5,521 million as of March 31, 2023[28] - As of March 31, 2024, total discretionary rate setting products amounted to $35,155 million, a decrease from $35,856 million as of December 31, 2023[128] Cash Flow and Investments - Cash flows from operating activities increased to $231 million in Q1 2024, compared to $156 million in Q1 2023, reflecting improved operational efficiency[31] - Cash and cash equivalents increased to $995 million as of March 31, 2024, from $937 million as of December 31, 2023, reflecting a growth of 6.2%[18] - The company reported net gains of $43 million in Q1 2024, compared to a loss of $16 million in Q1 2023, indicating a turnaround in performance[20] - The company’s total investments decreased to $35,687 million as of March 31, 2024, from $36,600 million as of December 31, 2023, a decline of 2.5%[16] Shareholder Returns - The company repurchased $172 million worth of common stock in Q1 2024, reflecting a commitment to returning value to shareholders[31] - Dividends paid on common stock increased to $41 million in Q1 2024, up from $20 million in Q1 2023, indicating a stronger dividend policy[31] - The Company declared dividends of $0.40 per share for Q1 2024, compared to $0.20 per share in Q1 2023, representing a 100% increase[150] Segment Performance - Wealth Solutions segment reported adjusted operating revenues of $719 million in Q1 2024, up from $684 million in Q1 2023, a growth of 5.1%[145] - Health Solutions segment adjusted operating revenues increased to $905 million in Q1 2024 from $774 million in Q1 2023, marking a significant rise of 16.9%[145] - Investment Management segment adjusted operating earnings before income taxes rose to $53 million in Q1 2024, compared to $42 million in Q1 2023, an increase of 26.2%[143] Regulatory and Compliance - The Company is currently assessing the impact of the SEC's new climate-related disclosure rules, which will be phased in starting with the annual report for the year ending December 31, 2025[48] - The Company intends to adopt ASU 2024-01 regarding stock compensation on January 1, 2025, without expecting a material impact on financial results[43] - The Company is in the process of determining the impacts of adopting ASU 2023-09 on income tax disclosures, effective after December 15, 2024[44] Risk Management - The company has determined that no allowance for credit losses is warranted for its securities, as unrealized losses are interest rate related and the company does not intend to sell these investments[62] - The company continuously evaluates mortgage loans based on current information, ensuring properties perform at acceptable levels to secure debt[66] - The company reported a total of $5,118 million in delinquent commercial mortgage loans as of March 31, 2024, compared to $5,218 million as of December 31, 2023, indicating a decrease in overall delinquency[77] Legal and Litigation - The Company continues to deny allegations in a class action lawsuit regarding breaches of fiduciary duties and intends to defend the case vigorously[187] - The company estimates the aggregate range of reasonably possible losses from litigation and regulatory matters to be up to approximately $100 million as of March 31, 2024[185]

Exhibit 99.2 Quarterly Investor Supplement March 31, 2024 This report should be read in conjunction with Voya Financial, Inc.'s Quarterly Report on Form 10-Q for the Three Months Ended March 31, 2024. Voya Financial's Annual Reports on Form 10-K, and Quarterly Reports on Form 10-Q, can be accessed upon filing at the Securities and Exchange Commission's website at www.sec.gov, and at our website at investors.voya.com. All information is unaudited. Corporate Offices: Investor Contact: Voya Financial Michael K ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 —————————————————————— Commission File Number: 001-35897 FORM 10-K Voya Financial, Inc. ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to | (Exact name of registrant as specified in its charter) | | | | --- | --- | --- | | Delaware ...

Financial Data and Key Metrics Changes - For Q4 2023, the company reported adjusted operating earnings of $1.63 per share, contributing to a full-year adjusted operating earnings of $7.02 per share, reflecting a 7% increase excluding alternative and prepayment income [8][25][26] - The company generated approximately $800 million of excess capital in 2023, with expectations to generate at least $800 million in 2024 [14][47] - Cash generation for Q4 and the full year was approximately $200 million and $800 million respectively, with a consistent track record of generating cash above the 90% target [26][47] Business Line Data and Key Metrics Changes - Wealth Solutions generated $187 million of adjusted operating earnings in Q4 and $742 million for the full year, with net revenues driven by fee-based revenues and recordkeeping net inflows [30][28] - Health Solutions achieved record adjusted operating earnings of $341 million in 2023, with net revenues growing nearly 36% year-over-year [36][33] - Investment Management delivered adjusted operating earnings of $47 million in Q4 and $180 million for the full year, with net revenues growing approximately 17% [44][39] Market Data and Key Metrics Changes - In Health Solutions, annualized in-force premiums and fees grew 20% in 2023, with expectations for at least 15% growth in 2024 [13][38] - The company ended 2023 with $544 billion of total client assets, including $185 billion in full-service AUM [28] - The Investment Management pipeline includes over $10 billion for 2024, with strong demand in international markets, particularly in Asia-Pacific [46][23] Company Strategy and Development Direction - The company aims for annual EPS growth exceeding 10% starting in 2025, supported by a diversified capital-light business model [11][50] - The strategy focuses on integrating new capabilities, expanding distribution, and enhancing customer experience through technology investments [15][49] - The company is committed to returning capital to shareholders through share repurchases and dividends, with a focus on maintaining excess capital until macro conditions improve [48][74] Management's Comments on Operating Environment and Future Outlook - Management acknowledged challenges in the investment management sector but expressed confidence in returning to positive flows in 2024 due to strong investment performance and improved client confidence [42][60] - The company expects a more consistent performance in Health Solutions throughout 2024, following a year of record growth [56][57] - Management remains focused on disciplined expense management while investing in growth initiatives across all business lines [51][49] Other Important Information - The company recognized the retirement of key executives, including Rod Martin and Christine Hurtsellers, and expressed confidence in the leadership transition [6][7] - The integration of Benefitfocus has been successful, with significant improvements in customer experience metrics [18][17] Q&A Session Summary Question: Increased strategic spend in Corporate - Management highlighted investments in technology for asset management, distribution teams in Health, and mid-market sales in Wealth to drive revenue growth [51] Question: International opportunity for the pipeline - Management expressed excitement about the international pipeline, noting $4 billion of flows from overseas and the potential for further expansion [52] Question: Weaker supplemental health margins - Management attributed the weaker margins to seasonal claims activity and expressed confidence in returning to expected loss ratios in 2024 [54][55] Question: EPS guidance changes - Management indicated that the pace of growth in 2024 is slightly lower than previously anticipated due to various factors, including health and wealth business dynamics [60][61] Question: Investment Management margins - Management remains confident in achieving margins of 25% to 27% as the business grows and the pipeline develops [62] Question: Asset Management pipeline and negative flows - Management acknowledged the transformation of partnerships and expressed confidence in the pipeline translating into positive flows moving forward [64][65] Question: Cash generation outlook - Management expects stable cash generation in the future, with growth proportional to business growth [67] Question: Operating margin expectations - Management indicated that while margins may appear flat in the near term, there are opportunities for improvement through expense discipline and innovation [68][69] Question: Capital return outlook - Management confirmed a focus on returning capital through share repurchases and dividends, with expectations for strong cash generation in 2024 [74]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 —————————————————————— FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-35897 Voya Financial, Inc. (Exact name of registrant as specified in its charter) Delaware 52-122282 ...

Financial Data and Key Metrics Changes - The company generated $1.74 per share of adjusted operating earnings in Q3 2023, including notable items, and is on track to achieve an EPS target of 12% to 17% for the three-year period ending in 2024 [6][7][38] - Adjusted operating EPS was $2.07, compared to $2.24 in the prior-year quarter, reflecting a decrease [20] - GAAP net income was $248 million, and free cash flow generation was over $200 million, exceeding the 90% target [21][36] Business Line Data and Key Metrics Changes - In Wealth Solutions, full-service recurring deposits increased by 10%, with total client assets rising to $510 billion, including $3 billion in net flows for Q3 [7][22] - Health Solutions saw annualized in-force premiums and fees grow by 21%, with total aggregate loss ratio at 66% on a trailing 12-month basis [8][27] - Investment Management experienced net outflows of $4.3 billion in Q3, primarily due to the transition from the former international distribution partnership [32] Market Data and Key Metrics Changes - The international retail segment contributed over $1 billion in positive net flows, indicating strong market performance [9] - The company anticipates premium growth at the high end of the 7% to 10% target range in Health Solutions for 2024 [9][31] - Investment Management's unfunded pipeline is over $10 billion, with expectations of returning to at least 2% organic growth [10][33] Company Strategy and Development Direction - The company is focused on successful integration of strategic acquisitions, including AllianzGI and Benefitfocus, to diversify revenues and enhance market presence [13][15] - The acquisition of Voya India is expected to enhance technology and customer experience, driving growth in workplace and investment management businesses [16][17] - The company aims to maintain expense discipline while investing for growth, with a strong pipeline supporting future expansion [11][38] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving the EPS growth target despite macroeconomic headwinds and moderating stop-loss favorability [46] - The company is optimistic about the growth pipeline across all business segments, with a focus on capital return to shareholders [43][63] - Management highlighted the importance of mental health offerings and community support initiatives as part of their strategic vision [18] Other Important Information - The company maintained a strong exit capital position of approximately $400 million and generated $200 million of excess capital in Q3 [12][36] - The company plans to return approximately $200 million in capital in Q4, focusing on share repurchases and dividends [43][36] Q&A Session All Questions and Answers Question: Additional color on investment management pipeline and NNIP relationship - Management expects outflows from the NNIP relationship in Q4 of $0.5 billion to $1 billion, with a pipeline over 3x the size compared to the previous year [40][41] Question: EPS CAGR expectations - Management remains confident in the 12% to 17% EPS growth guidance, though recent macro headwinds may affect reaching the top end of the range [45][46] Question: Benefitfocus cross-selling and growth expectations - Management indicated that cross-selling efforts are ongoing, but significant changes may take time due to the technology-driven sales cycle [52][56] Question: Impact of Department of Labor fiduciary rule - Management acknowledged it is early to assess the impact but is focused on delivering for participants [57] Question: Confidence in wealth solutions pipeline - Management expressed high confidence in the $12 billion pipeline, indicating clients are in implementation [59][60] Question: Capital deployment strategy - Management plans to continue deploying capital generated in prior quarters while returning excess capital to shareholders [62][63] Question: Voya India and expense discipline - Management emphasized ongoing expense discipline and opportunities for savings through automation and technology [66][68] Question: Alternative investment income performance - Management plans to pre-release alternative investment performance to provide better guidance [72] Question: Legal reserve details - Management indicated that the legal reserve is not yet at a stage for detailed disclosure but is considered a non-repeatable item [75][76] Question: Medical stop-loss business volatility - Management acknowledged the volatility in the medical stop-loss business and emphasized a disciplined approach to underwriting [86][88]

[PART I. FINANCIAL INFORMATION (UNAUDITED)](index=3&type=section&id=PART%20I.%20FINANCIAL%20INFORMATION%20(UNAUDITED)) [Item 1. Financial Statements](index=4&type=section&id=Item%201.%20Financial%20Statements%3A) This section presents Voya Financial, Inc.'s unaudited condensed consolidated financial statements and detailed notes for Q2 2023 and FY 2022 [Condensed Consolidated Balance Sheets](index=5&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) The balance sheets show Voya Financial, Inc.'s financial position, with increased assets, liabilities, and shareholders' equity | Metric | June 30, 2023 (Millions) | December 31, 2022 (Millions) | Change (Millions) | % Change | | :-------------------------------- | :------------------------- | :--------------------------- | :---------------- | :------- | | Total Assets | $154,616 | $146,606 | $8,010 | 5.46% | | Total Liabilities | $149,088 | $141,609 | $7,479 | 5.28% | | Total Shareholders' Equity | $5,357 | $4,831 | $526 | 10.89% | - Assets held in separate accounts increased by **$8,677 million (10.82%)** from **$80,174 million** as of December 31, 2022, to **$88,851 million** as of June 30, 2023[15](index=15&type=chunk) - Goodwill increased significantly by **$319 million (97.55%)** from **$327 million** to **$646 million**, primarily due to business combinations[15](index=15&type=chunk) [Condensed Consolidated Statements of Operations](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) The statements of operations show significant net income improvement for Q2 2023, driven by higher revenues and gains | Metric | 3 Months Ended June 30, 2023 (Millions) | 3 Months Ended June 30, 2022 (Millions) | YoY Change (Millions) | YoY % Change | | :---------------------------------------------- | :-------------------------------------- | :-------------------------------------- | :-------------------- | :----------- | | Total Revenues | $1,871 | $1,524 | $347 | 22.77% | | Net Investment Income | $545 | $581 | $(36) | -6.20% | | Fee Income | $474 | $413 | $61 | 14.77% | | Premiums | $677 | $597 | $80 | 13.40% | | Net Gains (Losses) | $(56) | $(226) | $170 | 75.22% | | Total Benefits and Expenses | $1,608 | $1,372 | $236 | 17.20% | | Income (Loss) Before Income Taxes | $263 | $152 | $111 | 73.03% | | Net Income (Loss) Available to Common Shareholders | $154 | $64 | $90 | 140.63% | | Basic EPS | $1.50 | $0.62 | $0.88 | 141.94% | | Diluted EPS | $1.41 | $0.57 | $0.84 | 147.37% | | Metric | 6 Months Ended June 30, 2023 (Millions) | 6 Months Ended June 30, 2022 (Millions) | YoY Change (Millions) | YoY % Change | | :---------------------------------------------- | :-------------------------------------- | :-------------------------------------- | :-------------------- | :----------- | | Total Revenues | $3,706 | $3,030 | $676 | 22.31% | | Net Investment Income | $1,090 | $1,211 | $(121) | -9.99% | | Fee Income | $938 | $846 | $92 | 10.87% | | Premiums | $1,362 | $1,205 | $157 | 13.03% | | Net Gains (Losses) | $(72) | $(514) | $442 | 86.00% | | Total Benefits and Expenses | $3,302 | $2,756 | $546 | 19.81% | | Income (Loss) Before Income Taxes | $404 | $274 | $130 | 47.45% | | Net Income (Loss) Available to Common Shareholders | $223 | $118 | $105 | 88.98% | | Basic EPS | $2.22 | $1.13 | $1.09 | 96.46% | | Diluted EPS | $2.03 | $1.03 | $1.00 | 97.09% | [Condensed Consolidated Statements of Comprehensive Income](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Comprehensive%20Income) Comprehensive income shifted from a loss to income for H1 2023, primarily due to improved unrealized gains on securities | Metric | 3 Months Ended June 30, 2023 (Millions) | 3 Months Ended June 30, 2022 (Millions) | YoY Change (Millions) | YoY % Change | | :---------------------------------------------- | :-------------------------------------- | :-------------------------------------- | :-------------------- | :----------- | | Net Income (Loss) | $235 | $143 | $92 | 64.34% | | Other Comprehensive Income (Loss), After Tax | $(246) | $(1,885) | $1,639 | 86.95% | | Comprehensive Income (Loss) Attributable to Voya Financial, Inc. | $(88) | $(1,817) | $1,729 | 95.16% | | Metric | 6 Months Ended June 30, 2023 (Millions) | 6 Months Ended June 30, 2022 (Millions) | YoY Change (Millions) | YoY % Change | | :---------------------------------------------- | :-------------------------------------- | :-------------------------------------- | :-------------------- | :----------- | | Net Income (Loss) | $364 | $254 | $110 | 43.31% | | Other Comprehensive Income (Loss), After Tax | $264 | $(3,852) | $4,116 | 106.85% | | Comprehensive Income (Loss) Attributable to Voya Financial, Inc. | $505 | $(3,716) | $4,221 | 113.59% | [Condensed Consolidated Statements of Changes in Shareholders' Equity](index=9&type=section&id=Condensed%20Consolidated%20Statements%20of%20Changes%20in%20Shareholders%27%20Equity) Shareholders' equity increased from **$4,831 million** to **$5,357 million**, driven by comprehensive income and noncontrolling interest | Metric | June 30, 2023 (Millions) | January 1, 2023 (Millions) | Change (Millions) | % Change | | :----------------------------------- | :----------------------- | :------------------------- | :---------------- | :------- | | Total Shareholders' Equity | $5,357 | $4,831 | $526 | 10.89% | | Net Income (Loss) | $241 | N/A | N/A | N/A | | Other Comprehensive Income (Loss) | $264 | N/A | N/A | N/A | | Common Stock Acquired - Share Repurchase | $(162) | N/A | N/A | N/A | | Dividends on Preferred Stock | $(18) | N/A | N/A | N/A | | Dividends on Common Stock | $(41) | N/A | N/A | N/A | - Voya Financial, Inc. shareholders' equity increased from **$3,349 million** to **$3,697 million** for the six months ended June 30, 2023, primarily due to net income and other comprehensive income[30](index=30&type=chunk) [Condensed Consolidated Statements of Cash Flows](index=13&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Cash flows show a net increase in cash for H1 2023, reversing a prior year decrease, driven by operating and investing activities | Metric | 6 Months Ended June 30, 2023 (Millions) | 6 Months Ended June 30, 2022 (Millions) | YoY Change (Millions) | YoY % Change | | :---------------------------------------------- | :-------------------------------------- | :-------------------------------------- | :-------------------- | :----------- | | Net Cash Provided by Operating Activities | $871 | $715 | $156 | 21.82% | | Net Cash Provided by (Used in) Investing Activities | $1,269 | $(1,574) | $2,843 | 180.62% | | Net Cash Provided by (Used in) Financing Activities | $(1,798) | $325 | $(2,123) | -653.23% | | Net Increase (Decrease) in Cash and Cash Equivalents | $342 | $(534) | $876 | 164.04% | | Cash and Cash Equivalents, End of Period | $1,349 | $1,039 | $310 | 29.84% | - Payments for business acquisitions, net of cash acquired, amounted to **$534 million** for the six months ended June 30, 2023, compared to **$2 million** in the prior year, reflecting significant acquisition activity[39](index=39&type=chunk) [Notes to Condensed Consolidated Financial Statements](index=14&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements%3A) [1. Business, Basis of Presentation and Significant Accounting Policies](index=14&type=section&id=1.%20Business%2C%20Basis%20of%20Presentation%20and%20Significant%20Accounting%20Policies) This note outlines Voya Financial, Inc.'s business, strategic acquisitions, accounting policies, and new pronouncement adoption - Voya Financial, Inc. operates through three segments: Wealth Solutions, Health Solutions, and Investment Management, offering a broad range of financial services and products primarily in the United States[40](index=40&type=chunk) - The Company completed the acquisition of Benefitfocus, Inc. on January 24, 2023, for a total purchase consideration of **$595 million** (**$583 million** paid in cash), expanding its capacity for comprehensive benefits and savings solutions[45](index=45&type=chunk) - On August 1, 2023, the Company acquired the remaining equity interest in VFI SLK Global Services Private Limited (VFISLK) for approximately **$50 million**, making it a wholly-owned subsidiary to improve strategic and operational flexibility[46](index=46&type=chunk)[47](index=47&type=chunk) - Effective January 1, 2023, the Company adopted ASU 2018-12, which changed the measurement and disclosures of insurance liabilities and DAC for long-duration contracts, resulting in a **$158 million** increase in Total Shareholders' Equity as of January 1, 2021[53](index=53&type=chunk)[80](index=80&type=chunk)[83](index=83&type=chunk) [2. Investments (excluding Consolidated Investment Entities)](index=21&type=section&id=2.%20Investments%20(excluding%20Consolidated%20Investment%20Entities)) This note details Voya's investment portfolio, including fixed maturities, mortgage loans, credit losses, and net investment income | Investment Type | June 30, 2023 (Millions) | December 31, 2022 (Millions) | Change (Millions) | % Change | | :-------------------------------------------- | :----------------------- | :--------------------------- | :---------------- | :------- | | Total Fixed Maturities (Amortized Cost) | $30,902 | $32,353 | $(1,451) | -4.48% | | Total Fixed Maturities (Fair Value) | $28,045 | $29,195 | $(1,150) | -3.94% | | Mortgage Loans on Real Estate (Net) | $5,339 | $5,427 | $(88) | -1.62% | | Allowance for Credit Losses (Fixed Maturities) | $16 | $12 | $4 | 33.33% | | Allowance for Credit Losses (Mortgage Loans) | $27 | $18 | $9 | 50.00% | - Gross unrealized capital losses on fixed maturities decreased by **$278 million**, from **$3,481 million** to **$3,203 million**, for the six months ended June 30, 2023, primarily due to tighter credit spreads[101](index=101&type=chunk) | Metric | 3 Months Ended June 30, 2023 (Millions) | 3 Months Ended June 30, 2022 (Millions) | YoY Change (Millions) | YoY % Change | | :----------------------------------- | :-------------------------------------- | :-------------------------------------- | :-------------------- | :----------- | | Net Investment Income | $545 | $581 | $(36) | -6.20% | | Net Gains (Losses) | $(56) | $(226) | $170 | 75.22% | | Proceeds on Sales (Fixed Maturities) | $2,331 | $971 | $1,360 | 140.06% | - Net gains (losses) improved by **$170 million** for the three months ended June 30, 2023, primarily due to favorable changes in derivative valuations and mark-to-market adjustments on FVO securities, partially offset by higher impairments and bond sale losses[118](index=118&type=chunk)[119](index=119&type=chunk) [3. Derivative Financial Instruments](index=34&type=section&id=3.%20Derivative%20Financial%20Instruments) This note details Voya's use of derivatives for hedging market risks and managing insurance liabilities, including fair values | Derivative Type (Non-Qualifying) | June 30, 2023 Notional (Millions) | June 30, 2023 Asset Fair Value (Millions) | June 30, 2023 Liability Fair Value (Millions) | Dec 31, 2022 Notional (Millions) | Dec 31, 2022 Asset Fair Value (Millions) | Dec 31, 2022 Liability Fair Value (Millions) | | :------------------------------- | :-------------------------------- | :---------------------------------------- | :------------------------------------------ | :------------------------------- | :---------------------------------------- | :------------------------------------------ | | Interest Rate Contracts | $27,506 | $374 | $390 | $18,304 | $341 | $376 | | Foreign Exchange Contracts | $249 | $4 | $1 | $160 | $9 | $2 | | Equity Contracts | $255 | $11 | $2 | $248 | $1 | $1 | | Credit Contracts | $177 | $0 | $4 | $174 | $0 | $2 | | Embedded Derivatives (Reinsurance) | N/A | $78 | $47 | N/A | $95 | $46 | - The majority of the Company's derivative positions were not designated or did not qualify for hedge accounting as of June 30, 2023, and December 31, 2022[126](index=126&type=chunk) | Impact on Statements of Operations (Non-Qualifying) | 3 Months Ended June 30, 2023 (Millions) | 3 Months Ended June 30, 2022 (Millions) | 6 Months Ended June 30, 2023 (Millions) | 6 Months Ended June 30, 2022 (Millions) | | :-------------------------------------------------- | :-------------------------------------- | :-------------------------------------- | :-------------------------------------- | :-------------------------------------- | | Interest Rate Contracts (Net Gains (Losses)) | $114 | $52 | $58 | $152 | | Equity Contracts (Net Gains (Losses)) | $5 | $(20) | $8 | $(28) | | Embedded Derivatives (Reinsurance) (Policyholder Benefits) | $8 | $84 | $(18) | $176 | [4. Fair Value Measurements (excluding Consolidated Investment Entities)](index=40&type=section&id=4.%20Fair%20Value%20Measurements%20(excluding%20Consolidated%20Investment%20Entities)) This note details Voya's fair value measurements for assets and liabilities, categorized by input observability (Level 1, 2, 3) | Asset Category (June 30, 2023) | Level 1 (Millions) | Level 2 (Millions) | Level 3 (Millions) | Total (Millions) | | :----------------------------- | :----------------- | :----------------- | :----------------- | :--------------- | | Fixed Maturities | $367 | $26,558 | $2,268 | $29,193 | | Equity Securities | $117 | $0 | $192 | $309 | | Derivatives | $0 | $444 | $0 | $444 | | Assets Held in Separate Accounts | $83,005 | $5,502 | $344 | $88,851 | | Total Assets | $85,786 | $32,618 | $2,804 | $121,208 | | Liability Category (June 30, 2023) | Level 1 (Millions) | Level 2 (Millions) | Level 3 (Millions) | Total (Millions) | | :--------------------------------- | :----------------- | :----------------- | :----------------- | :--------------- | | Contingent Consideration | $0 | $0 | $112 | $112 | | Stabilizer and MCGs | $0 | $0 | $3 | $3 | | Derivatives | $4 | $385 | $58 | $447 | | Total Liabilities | $4 | $385 | $173 | $562 | - For the three and six months ended June 30, 2023, transfers in and out of Level 3 for fixed maturities were due to variations in valuation inputs[163](index=163&type=chunk) [5. Deferred Policy Acquisition Costs and Value of Business Acquired](index=51&type=section&id=5.%20Deferred%20Policy%20Acquisition%20Costs%20and%20Value%20of%20Business%20Acquired) This note provides a rollforward of Deferred Policy Acquisition Costs (DAC) and Value of Business Acquired (VOBA) balances | Category | June 30, 2023 (Millions) | December 31, 2022 (Millions) | Change (Millions) | % Change | | :---------------------------------------- | :----------------------- | :--------------------------- | :---------------- | :------- | | DAC: Wealth Solutions Deferred and Individual Annuities | $692 | $691 | $1 | 0.14% | | DAC: Businesses Exited | $990 | $1,043 | $(53) | -5.08% | | DAC: Other | $200 | $190 | $10 | 5.26% | | VOBA | $422 | $439 | $(17) | -3.87% | | Total DAC and VOBA | $2,304 | $2,363 | $(59) | -2.49% | - For the six months ended June 30, 2023, amortization expense for DAC and VOBA totaled **$100 million** (**$28 million** for Wealth Solutions, **$53 million** for Businesses Exited, and **$19 million** for VOBA)[168](index=168&type=chunk) - No loss recognition for VOBA occurred during 2023 and 2022[169](index=169&type=chunk) [6. Reserves for Future Policy Benefit and Contract Owner Account Balances](index=52&type=section&id=6.%20Reserves%20for%20Future%20Policy%20Benefit%20and%20Contract%20Owner%20Account%20Balances) This note details Voya's reserves for future policy benefits and contract owner account balances, including rollforwards | Category | June 30, 2023 (Millions) | December 31, 2022 (Millions) | Change (Millions) | % Change | | :---------------------------------------- | :----------------------- | :--------------------------- | :---------------- | :------- | | Net Liability for Future Policy Benefits (after reinsurance) | $517 | $521 | $(4) | -0.77% | | Total Liability for Future Policy Benefits | $9,653 | $9,719 | $(66) | -0.68% | | Total Contract Owner Account Balances | $40,930 | $42,455 | $(1,525) | -3.59% | - The weighted average duration of the liability for future policy benefits for Health Solutions Group, Health Solutions Voluntary, and Businesses Exited remained stable at **7, 14, and 8 years**, respectively, from December 31, 2022, to June 30, 2023[172](index=172&type=chunk) - The weighted-average crediting rate for Wealth Solutions Deferred Group and Individual Annuity was **2.7%** as of June 30, 2023, up from **2.6%** at December 31, 2022, while the net amount at risk decreased from **$199 million** to **$135 million**[173](index=173&type=chunk) [7. Reinsurance](index=55&type=section&id=7.%20Reinsurance) This note details Voya's reinsurance activities, including impact on financial statements and collateral management practices | Metric (Balance Sheet) | June 30, 2023 (Millions) | December 31, 2022 (Millions) | Change (Millions) | % Change | | :------------------------------------- | :----------------------- | :--------------------------- | :---------------- | :------- | | Reinsurance Recoverable, Net | $12,169 | $12,455 | $(286) | -2.30% | | Future Policy Benefits & Contract Owner Account Balances (Total, Net of Reinsurance) | $50,583 | $52,174 | $(1,591) | -3.05% | | Metric (Statements of Operations) | 3 Months Ended June 30, 2023 (Millions) | 3 Months Ended June 30, 2022 (Millions) | YoY Change (Millions) | YoY % Change | | :-------------------------------- | :-------------------------------------- | :-------------------------------------- | :-------------------- | :----------- | | Net Premiums | $677 | $597 | $80 | 13.40% | | Net Fee Income | $474 | $413 | $61 | 14.77% | | Net Interest Credited & Other Benefits | $682 | $654 | $28 | 4.28% | - For the six months ended June 30, 2023, ceded premiums increased to **$463 million** from **$433 million** in the prior year, while ceded interest credited and other benefits decreased to **$719 million** from **$804 million**[177](index=177&type=chunk) [8. Separate Accounts](index=58&type=section&id=8.%20Separate%20Accounts) This note provides a rollforward of Separate account liabilities and assets, detailing impact of investment performance and fees | Metric | June 30, 2023 (Millions) | December 31, 2022 (Millions) | Change (Millions) | % Change | | :-------------------------------------- | :----------------------- | :--------------------------- | :---------------- | :------- | | Total Separate Account Liabilities | $88,851 | $80,174 | $8,677 | 10.82% | | Wealth Solutions Stabilizer Annuity | $7,211 | $7,196 | $15 | 0.21% | | Wealth Solutions Deferred Annuity | $77,582 | $69,152 | $8,430 | 12.19% | | Cash Surrender Value (Deferred Annuity) | $77,548 | $69,121 | $8,427 | 12.19% | - Investment performance contributed **$8,465 million** to the increase in separate account liabilities for the six months ended June 30, 2023, compared to a decrease of **$16,838 million** in the prior year[178](index=178&type=chunk) - Equity securities (including mutual funds) represent the largest component of assets supporting separate accounts, increasing from **$72,309 million** to **$81,063 million**[179](index=179&type=chunk) [9. Segments](index=58&type=section&id=9.%20Segments) This note details Voya's operating segments, adjusted earnings, revenues, and total assets, with reconciliation to GAAP figures - Effective Q1 2023, the Company excludes amortization of acquisition-related intangible assets and the expected return on plan assets net of interest costs from Adjusted operating earnings before income taxes to better reflect core operating performance[184](index=184&type=chunk) | Segment (Adjusted Operating Earnings Before Income Taxes) | 3 Months Ended June 30, 2023 (Millions) | 3 Months Ended June 30, 2022 (Millions) | YoY Change (Millions) | YoY % Change | | :-------------------------------------------------------- | :-------------------------------------- | :-------------------------------------- | :-------------------- | :----------- | | Wealth Solutions | $174 | $197 | $(23) | -11.68% | | Health Solutions | $124 | $50 | $74 | 148.00% | | Investment Management (incl. Allianz noncontrolling interest) | $63 | $40 | $23 | 57.50% | | Corporate (incl. Allianz noncontrolling interest) | $(54) | $(60) | $6 | 10.00% | | Total (incl. Allianz noncontrolling interest) | $307 | $228 | $79 | 34.65% | | Segment (Adjusted Operating Revenues) | 3 Months Ended June 30, 2023 (Millions) | 3 Months Ended June 30, 2022 (Millions) | YoY Change (Millions) | YoY % Change | | :------------------------------------ | :-------------------------------------- | :-------------------------------------- | :-------------------- | :----------- | | Wealth Solutions | $705 | $709 | $(4) | -0.56% | | Health Solutions | $775 | $641 | $134 | 20.91% | | Investment Management | $226 | $171 | $55 | 32.16% | | Corporate | $15 | $17 | $(2) | -11.76% | | Total | $1,721 | $1,537 | $184 | 11.97% | | Segment (Total Assets) | June 30, 2023 (Millions) | December 31, 2022 (Millions) | Change (Millions) | % Change | | :--------------------- | :----------------------- | :--------------------------- | :---------------- | :------- | | Wealth Solutions | $118,943 | $111,701 | $7,242 | 6.48% | | Health Solutions | $3,378 | $2,668 | $710 | 26.61% | | Investment Management | $1,648 | $1,611 | $37 | 2.30% | | Corporate | $26,241 | $26,712 | $(471) | -1.76% | | Total Assets | $154,616 | $146,606 | $8,010 | 5.46% | [10. Share-based Incentive Compensation Plans](index=62&type=section&id=10.%20Share-based%20Incentive%20Compensation%20Plans) This note details Voya's equity-based compensation awards, expense, and activity for RSUs, PSUs, and stock options | Metric | 3 Months Ended June 30, 2023 (Millions) | 3 Months Ended June 30, 2022 (Millions) | YoY Change (Millions) | YoY % Change | | :----------------------------------- | :-------------------------------------- | :-------------------------------------- | :-------------------- | :----------- | | Total Share-based Compensation Expense | $26 | $15 | $11 | 73.33% | | After-tax Share-based Compensation Expense | $19 | $12 | $7 | 58.33% | | Award Type (June 30, 2023) | Number of Awards (Millions) | Weighted Average Grant Date Fair Value | | :------------------------- | :-------------------------- | :------------------------------------- | | RSU Awards Outstanding | 2.2 | $67.06 | | PSU Awards Outstanding | 2.3 | $61.27 | | Stock Options Outstanding | 1.2 | $44.55 | - As of June 30, 2023, **8,881,340 shares** of common stock were reserved and available for issuance under the Omnibus Plans[194](index=194&type=chunk) [11. Shareholders' Equity](index=63&type=section&id=11.%20Shareholders%27%20Equity) This note provides an overview of Voya's shareholders' equity, including common shares, preferred stock, and share repurchases | Metric (Common Shares) | June 30, 2023 (Millions) | December 31, 2022 (Millions) | Change (Millions) | % Change | | :--------------------- | :----------------------- | :--------------------------- | :---------------- | :------- | | Issued | 109.3 | 97.8 | 11.5 | 11.76% | | Held in Treasury | 3.6 | 0.6 | 3.0 | 500.00% | | Outstanding | 105.7 | 97.2 | 8.5 | 8.74% | - On May 10, 2023, warrants to purchase **26,050,846 shares** were net share settled, resulting in the issuance of **9.6 million** common shares[203](index=203&type=chunk) - On July 27, 2023, the Board of Directors authorized an additional **$500 million** for share repurchases, increasing the total authorized amount to **$609 million**, expiring on September 30, 2024[200](index=200&type=chunk) | Metric (Dividends) | 3 Months Ended June 30, 2023 | 3 Months Ended June 30, 2022 | 6 Months Ended June 30, 2023 | 6 Months Ended June 30, 2022 | | :----------------- | :--------------------------- | :--------------------------- | :--------------------------- | :--------------------------- | | Common Stock | $0.200 per share | $0.200 per share | $0.400 per share | $0.400 per share | | Preferred Stock | $4 million aggregate | $4 million aggregate | $18 million aggregate | $18 million aggregate | [12. Earnings per Common Share](index=65&type=section&id=12.%20Earnings%20per%20Common%20Share) This note reconciles net income and shares for basic and diluted EPS, showing significant increases for Q2 and H1 2023 | Metric | 3 Months Ended June 30, 2023 | 3 Months Ended June 30, 2022 | YoY Change | YoY % Change | | :---------------------------------------------- | :--------------------------- | :--------------------------- | :--------- | :----------- | | Net Income (Loss) Available to Common Shareholders | $154 million | $64 million | $90 million | 140.63% | | Basic EPS | $1.50 | $0.62 | $0.88 | 141.94% | | Diluted EPS | $1.41 | $0.57 | $0.84 | 147.37% | | Weighted Average Common Shares Outstanding (Basic) | 103.0 million | 101.7 million | 1.3 million | 1.28% | | Weighted Average Common Shares Outstanding (Diluted) | 109.8 million | 110.8 million | -1.0 million | -0.90% | | Metric | 6 Months Ended June 30, 2023 | 6 Months Ended June 30, 2022 | YoY Change | YoY % Change | | :---------------------------------------------- | :--------------------------- | :--------------------------- | :--------- | :----------- | | Net Income (Loss) Available to Common Shareholders | $223 million | $118 million | $105 million | 88.98% | | Basic EPS | $2.22 | $1.13 | $1.09 | 96.46% | | Diluted EPS | $2.03 | $1.03 | $1.00 | 97.09% | | Weighted Average Common Shares Outstanding (Basic) | 100.4 million | 103.9 million | -3.5 million | -3.37% | | Weighted Average Common Shares Outstanding (Diluted) | 109.7 million | 113.9 million | -4.2 million | -3.69% | [13. Accumulated Other Comprehensive Income (Loss)](index=66&type=section&id=13.%20Accumulated%20Other%20Comprehensive%20Income%20(Loss)) This note details Accumulated Other Comprehensive Income (AOCI) components and changes, driven by unrealized gains/losses | Component (Millions) | June 30, 2023 | December 31, 2022 | Change (Millions) | % Change | | :------------------- | :------------ | :---------------- | :---------------- | :------- | | Fixed Maturities | $(2,963) | $(1,926) | $(1,037) | -53.84% | | Derivatives | $98 | $129 | $(31) | -24.03% | | Change in Current Discount Rate | $(827) | $(951) | $124 | 13.04% | | Deferred Income Tax Asset (Liability) | $898 | $700 | $198 | 28.29% | | Total AOCI | $(2,791) | $(2,045) | $(746) | -36.48% | - For the six months ended June 30, 2023, the change in AOCI was a positive **$264 million** (after-tax), a significant improvement compared to a loss of **$3,852 million** in the prior year[209](index=209&type=chunk)[210](index=210&type=chunk) - Approximately **$17 million** of AOCI from hedge transactions is expected to be reclassified into earnings within the next 12 months as of June 30, 2023[208](index=208&type=chunk) [14. Revenue from Contracts with Customers](index=68&type=section&id=14.%20Revenue%20from%20Contracts%20with%20Customers) This note disaggregates revenue from financial services and software subscriptions by type and segment, highlighting growth | Revenue Type (Millions) | 3 Months Ended June 30, 2023 | 3 Months Ended June 30, 2022 | YoY Change (Millions) | YoY % Change | | :---------------------- | :--------------------------- | :--------------------------- | :-------------------- | :----------- | | Wealth Solutions | $154 | $158 | $(4) | -2.53% | | Investment Management | $264 | $197 | $67 | 34.01% | | Health Solutions | $58 | $5 | $53 | 1060.00% | | Corporate | $5 | $17 | $(12) | -70.59% | | Total Financial Services & Software Subscriptions & Services Revenue | $481 | $377 | $104 | 27.59% | | Total Fee Income & Other Revenue | $560 | $457 | $103 | 22.54% | - Software subscriptions and services revenue in Health Solutions increased significantly from **$0** to **$54 million** for the three months ended June 30, 2023, primarily driven by the Benefitfocus acquisition[214](index=214&type=chunk) - Net receivables of **$357 million** (June 30, 2023) and **$299 million** (December 31, 2022) related to performance obligations satisfied in previous periods are included in Other assets[214](index=214&type=chunk) [15. Income Taxes](index=69&type=section&id=15.%20Income%20Taxes) This note discusses Voya's income tax provisions, effective tax rates, and the impact of the Inflation Reduction Act of 2022 | Metric (Effective Tax Rate) | 3 Months Ended June 30, 2023 | 3 Months Ended June 30, 2022 | 6 Months Ended June 30, 2023 | 6 Months Ended June 30, 2022 | | :-------------------------- | :--------------------------- | :--------------------------- | :--------------------------- | :--------------------------- | | Effective Tax Rate | 10.6% | 5.9% | 9.9% | 7.3% | - The effective tax rate differed from the statutory rate of **21%** primarily due to noncontrolling interest, the effect of the dividends received deduction, and tax credits[216](index=216&type=chunk) - The Inflation Reduction Act of 2022 (IRA of 2022) imposes a **15%** corporate alternative minimum tax (CAMT) and a **1%** excise tax on stock repurchases, effective for taxable years beginning after December 31, 2022[217](index=217&type=chunk) [16. Financing Agreements](index=70&type=section&id=16.%20Financing%20Agreements) This note summarizes Voya's financing agreements, including debt, credit facilities, and a significant senior notes issuance | Debt Type (Millions) | June 30, 2023 | December 31, 2022 | Change (Millions) | % Change | | :------------------- | :------------ | :---------------- | :---------------- | :------- | | Short-term Debt | $143 | $141 | $2 | 1.42% | | Long-term Debt | $2,095 | $2,094 | $1 | 0.05% | | Total Debt | $2,238 | $2,235 | $3 | 0.13% | - As of June 30, 2023, the Company was in compliance with its debt covenants[222](index=222&type=chunk) | Credit Facility (Millions) | Expiration | Committed Capacity | Utilization | Unused Commitment | | :------------------------- | :----------- | :----------------- | :---------- | :---------------- | | Voya Financial, Inc. (Other) | 05/01/2028 | $500 | $0 | $500 | | Voya Financial, Inc. (Other) | 04/07/2025 | $200 | $163 | $37 | | Total | | $700 | $163 | $537 | - On May 1, 2023, the Company exercised a put option to issue **$400 million** of **3.976%** Senior Notes due 2025, using the proceeds to redeem the **$393 million 5.650%** Fixed-to-Floating Rate Junior Subordinated Notes due 2053, resulting in a **$5 million** loss on debt extinguishment[228](index=228&type=chunk)[229](index=229&type=chunk) [17. Commitments and Contingencies](index=72&type=section&id=17.%20Commitments%20and%20Contingencies) This note details Voya's commitments and contingencies, including lease impairments, restricted assets, and litigation matters - During the three and six months ended June 30, 2023, the Company recorded impairment charges of **$12 million** and **$14 million**, respectively, on its right-of-use asset for leased office space[231](index=231&type=chunk) | Restricted Asset Type (Millions) | June 30, 2023 | December 31, 2022 | Change (Millions) | % Change | | :------------------------------- | :------------ | :---------------- | :---------------- | :------- | | Fixed Maturity Collateral Pledged to FHLB | $1,851 | $1,791 | $60 | 3.35% | | Securities Pledged | $1,148 | $1,162 | $(14) | -1.20% | | Total Restricted Assets | $3,139 | $3,085 | $54 | 1.75% | - As of June 30, 2023, the Company estimates the aggregate range of reasonably possible losses, in excess of any amounts accrued for litigation and regulatory matters, to be up to approximately **$25 million**[240](index=240&type=chunk) - The Company agreed to settle the Advance Trust & Life Escrow Services, LTA v. ReliaStar Life Insurance Company litigation for **$39 million** in cash consideration, which has been fully accrued as of June 30, 2023[246](index=246&type=chunk) [18. Consolidated and Nonconsolidated Investment Entities](index=74&type=section&id=18.%20Consolidated%20and%20Nonconsolidated%20Investment%20Entities) This note describes Voya's involvement with consolidated and nonconsolidated investment entities, including CLOs and LPs - The Company consolidates **7 CLOs** and **10 LPs** as of June 30, 2023, and December 31, 2022, where it is determined to be the primary beneficiary or has control through voting rights[252](index=252&type=chunk)[254](index=254&type=chunk) - Noncontrolling interest related to partnerships increased from **$1,482 million** at December 31, 2022, to **$1,660 million** at June 30, 2023, driven by net contributions and favorable market appreciation[255](index=255&type=chunk) | Asset Category (Consolidated Investment Entities, June 30, 2023) | Level 1 (Millions) | Level 2 (Millions) | Level 3 (Millions) | NAV (Millions) | Total (Millions) | | :--------------------------------------------------------------- | :----------------- | :----------------- | :----------------- | :------------- | :--------------- | | Cash and Cash Equivalents | $154 | $0 | $0 | $0 | $154 | | Corporate Loans | $0 | $1,432 | $0 | $0 | $1,432 | | Limited Partnerships/Corporations | $0 | $0 | $0 | $3,120 | $3,120 | | Total Assets | $154 | $1,432 | $0 | $3,120 | $4,706 | - As of June 30, 2023, the Company held **$371 million** in unconsolidated CLOs and **$1,800 million** in unconsolidated limited partnerships, representing its maximum exposure to loss in these entities[278](index=278&type=chunk)[279](index=279&type=chunk) [19. Goodwill and Other Intangible Assets](index=80&type=section&id=19.%20Goodwill%20and%20Other%20Intangible%20Assets) This note presents changes in goodwill and other intangible assets, primarily due to acquisitions in Health Solutions | Segment (Goodwill, Millions) | January 1, 2022 | December 31, 2022 | June 30, 2023 | Change (Dec 2022 to Jun 2023) | % Change | | :--------------------------- | :-------------- | :---------------- | :------------ | :---------------------------- | :------- | | Wealth Solutions | $17 | $17 | $17 | $0 | 0.00% | | Health Solutions | $24 | $24 | $343 | $319 | 1329.17% | | Investment Management | $31 | $286 | $286 | $0 | 0.00% | | Consolidated Total | $72 | $327 | $646 | $319 | 97.55% | | Intangible Asset Type (Net Carrying Amount, Millions) | June 30, 2023 | December 31, 2022 | Change (Millions) | % Change | | :---------------------------------------------------- | :------------ | :---------------- | :---------------- | :------- | | Total Indefinite-life Intangibles | $350 | $350 | $0 | 0.00% | | Total Finite-life Intangibles | $558 | $281 | $277 | 98.58% | | Total Other Intangible Assets | $908 | $631 | $277 | 43.90% | - Amortization expense related to intangible assets was **$42 million** for the six months ended June 30, 2023, compared to **$22 million** in the prior year[282](index=282&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=80&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) This section reviews Voya Financial, Inc.'s consolidated results, financial condition, strategic acquisitions, and key trends [Overview](index=81&type=section&id=Overview) Voya Financial, Inc. provides workplace savings, benefits, and investment management services, aiming for client financial security - Wealth Solutions generates revenue primarily from asset and participant-based recordkeeping and advisory fees, as well as investment income on general account assets[288](index=288&type=chunk) - Health Solutions generates revenue from premiums, investment income, mortality and morbidity income, and policy charges, with growth opportunities in voluntary benefits and Health Account Solutions[290](index=290&type=chunk)[291](index=291&type=chunk) - Investment Management generates revenue through management fees based on assets under management, with potential performance-based incentive fees and an enhanced international footprint[294](index=294&type=chunk)[295](index=295&type=chunk) [Business Update](index=82&type=section&id=Business%20Update) This section highlights Voya's recent strategic acquisitions, including VFISLK, Benefitfocus, and Czech Asset Management - On August 1, 2023, Voya acquired the remaining equity interest in VFI SLK Global Services Private Limited (VFISLK) for approximately **$50 million**, making it a wholly-owned subsidiary to improve strategic and operational flexibility[296](index=296&type=chunk)[297](index=297&type=chunk) - On January 24, 2023, Voya completed the acquisition of Benefitfocus, Inc. for approximately **$570 million** (cash paid at closing), expanding its capacity for comprehensive benefits and savings solutions, incurring **$27 million** in integration expenses[298](index=298&type=chunk) - The combination of Voya IM with AllianzGI assets and teams, completed on July 25, 2022, increased Voya's international scale and diversified investment strategies, incurring **$38 million** in integration expenses[300](index=300&type=chunk)[301](index=301&type=chunk) [Trends and Uncertainties](index=83&type=section&id=Trends%20and%20Uncertainties) This section discusses key trends and uncertainties, including interest rate environment impacts and Voya's ESG commitment - The interest rate environment continues to influence Voya's business, with new investments expected to yield higher returns, positively impacting earnings if product crediting rates do not rise proportionally[305](index=305&type=chunk) - Rising interest rates may lead to lower prices for fixed income investments sold on the secondary market and potentially higher lapses for policies with existing guarantees[305](index=305&type=chunk)[306](index=306&type=chunk) - Voya's ESG practices are integrated into its business and culture, focusing on long-term value creation for stakeholders and minimizing environmental impact[308](index=308&type=chunk)[309](index=309&type=chunk) [Operating Measures](index=84&type=section&id=Operating%20Measures) This section introduces Adjusted operating earnings and revenues as key non-GAAP measures for evaluating segment performance - Adjusted operating earnings before income taxes and Adjusted operating revenues are non-GAAP measures used by management to evaluate segment performance, focusing on core operating performance and trends by excluding highly variable items[311](index=311&type=chunk) [AUM and AUA](index=84&type=section&id=AUM%20and%20AUA) This section presents Voya's Assets Under Management (AUM) and Assets Under Administration (AUA) across its segments | Segment | June 30, 2023 (Millions) | June 30, 2022 (Millions) | YoY Change (Millions) | YoY % Change | | :---------------------- | :----------------------- | :----------------------- | :-------------------- | :----------- | | Wealth Solutions | $518,941 | $469,019 | $49,922 | 10.64% | | Health Solutions | $1,886 | $1,996 | $(110) | -5.51% | | Investment Management | $381,306 | $289,710 | $91,596 | 31.62% | | Total AUM and AUA | $789,028 | $647,250 | $141,778 | 21.90% | | AUM | $457,615 | $350,242 | $107,373 | 30.66% | | AUA | $331,413 | $297,008 | $34,405 | 11.58% | - Effective Q1 2023, AUM and AUA now include asset balances associated with non-qualified retirement plans for clients using only non-qualified solutions, with historical periods recast for conformity[312](index=312&type=chunk) [Results of Operations - Company Condensed Consolidated](index=85&type=section&id=Results%20of%20Operations%20-%20Company%20Condensed%20Consolidated) This section analyzes Voya's consolidated financial performance for Q2 2023, highlighting revenue growth and expense increases [Consolidated - Three Months Ended June 30, 2023 Compared to Three Months Ended June 30, 2022](index=85&type=section&id=Consolidated%20-%20Three%20Months%20Ended%20June%2030%2C%202023%20Compared%20to%20Three%20Months%20Ended%20June%2030%2C%202022) Voya Financial, Inc. reported increased net income for Q2 2023, driven by improved net gains, fee income, and premiums | Metric | 3 Months Ended June 30, 2023 (Millions) | 3 Months Ended June 30, 2022 (Millions) | YoY Change (Millions) | YoY % Change | | :---------------------------------------------- | :-------------------------------------- | :-------------------------------------- | :-------------------- | :----------- | | Total Revenues | $1,871 | $1,524 | $347 | 22.77% | | Net Investment Income | $545 | $581 | $(36) | -6.20% | | Fee Income | $474 | $413 | $61 | 14.77% | | Premiums | $677 | $597 | $80 | 13.40% | | Net Gains (Losses) | $(56) | $(226) | $170 | 75.22% | | Total Benefits and Expenses | $1,608 | $1,372 | $236 | 17.20% | | Income (Loss) Before Income Taxes | $263 | $152 | $111 | 73.03% | | Net Income (Loss) Available to Common Shareholders | $154 | $64 | $90 | 140.63% | - Operating expenses increased by **$165 million** to **$770 million**, driven by acquisitions (Benefitfocus, AllianzGI), business growth in Health Solutions and Wealth Solutions, and an increase in deferred compensation plan liability[321](index=321&type=chunk) - Net investment gains (losses) improved by **$21 million** to a loss of **$38 million**, primarily due to favorable mark-to-market adjustments on FVO securities and market risk benefits, partially offset by unfavorable derivative valuations and higher impairments[324](index=324&type=chunk)[325](index=325&type=chunk) [Consolidated - Six Months Ended June 30, 2023 Compared to Six Months Ended June 30, 2022](index=88&type=section&id=Consolidated%20-%20Six%20Months%20Ended%20June%2030%2C%202023%20Compared%20to%20Six%20Months%20Ended%20June%2030%2C%202022) Voya Financial, Inc. reported increased net income for H1 2023, driven by improved net gains, fee income, and premiums | Metric | 6 Months Ended June 30, 2023 (Millions) | 6 Months Ended June 30, 2022 (Millions) | YoY Change (Millions) | YoY % Change | | :---------------------------------------------- | :-------------------------------------- | :-------------------------------------- | :-------------------- | :----------- | | Total Revenues | $3,706 | $3,030 | $676 | 22.31% | | Net Investment Income | $1,090 | $1,211 | $(121) | -9.99% | | Fee Income | $938 | $846 | $92 | 10.87% | | Premiums | $1,362 | $1,205 | $157 | 13.03% | | Net Gains (Losses) | $(72) | $(514) | $442 | 86.00% | | Total Benefits and Expenses | $3,302 | $2,756 | $546 | 19.81% | | Income (Loss) Before Income Taxes | $404 | $274 | $130 | 47.45% | | Net Income (Loss) Available to Common Shareholders | $223 | $118 | $105 | 88.98% | - Operating expenses increased by **$369 million** to **$1,606 million**, primarily due to acquisitions (Benefitfocus, AllianzGI), business growth in Health Solutions and Wealth Solutions, and increased deferred compensation plan liability[331](index=331&type=chunk) - Net investment gains (losses) improved by **$124 million** to a loss of **$47 million**, driven by favorable mark-to-market adjustments on FVO securities, lower impairments, and favorable market risk benefits, partially offset by unfavorable derivative valuations[336](index=336&type=chunk) [Results of Operations - Segment by Segment](index=90&type=section&id=Results%20of%20Operations%20-%20Segment%20by%20Segment) This section analyzes the financial performance of Voya's core operating segments: Wealth Solutions, Health Solutions, and Investment Management [Wealth Solutions](index=91&type=section&id=Wealth%20Solutions) Wealth Solutions saw decreased adjusted operating earnings for Q2 and H1 2023, due to higher expenses and lower alternative investment income | Metric | 3 Months Ended June 30, 2023 (Millions) | 3 Months Ended June 30, 2022 (Millions) | YoY Change (Millions) | YoY % Change | | :---------------------------------------------- | :-------------------------------------- | :-------------------------------------- | :-------------------- | :----------- | | Adjusted Operating Earnings Before Income Taxes | $174 | $197 | $(23) | -11.68% | | Total Adjusted Operating Revenues | $705 | $709 | $(4) | -0.56% | | Net Revenue | $481 | $486 | $(5) | -1.03% | | Adjusted Operating Margin | 36.1% | 40.6% | -4.5% | -11.08% | | Metric | 6 Months Ended June 30, 2023 (Millions) | 6 Months Ended June 30, 2022 (Millions) | YoY Change (Millions) | YoY % Change | | :---------------------------------------------- | :-------------------------------------- | :-------------------------------------- | :-------------------- | :----------- | | Adjusted Operating Earnings Before Income Taxes | $306 | $425 | $(119) | -28.00% | | Total Adjusted Operating Revenues | $1,389 | $1,465 | $(76) | -5.19% | | Net Revenue | $944 | $1,024 | $(80) | -7.81% | | Adjusted Operating Margin | 32.5% | 41.5% | -9.0% | -21.69% | | Client Asset Type (Millions) | June 30, 2023 | June 30, 2022 | YoY Change (Millions) | YoY % Change | | :--------------------------- | :------------ | :------------ | :-------------------- | :----------- | | Total Client Assets | $518,941 | $469,019 | $49,922 | 10.64% | | Fee-based | $429,958 | $377,667 | $52,291 | 13.84% | | Spread-based | $32,699 | $34,220 | $(1,521) | -4.44% | | Investment-only Stable Value | $37,354 | $39,622 | $(2,268) | -5.72% | | Retail Client Assets | $26,570 | $24,892 | $1,678 | 6.74% | [Health Solutions](index=93&type=section&id=Health%20Solutions) Health Solutions demonstrated strong growth in adjusted operating earnings for Q2 and H1 2023, driven by higher premiums and acquisitions | Metric | 3 Months Ended June 30, 2023 (Millions) | 3 Months Ended June 30, 2022 (Millions) | YoY Change (Millions) | YoY % Change | | :---------------------------------------------- | :-------------------------------------- | :-------------------------------------- | :-------------------- | :----------- | | Adjusted Operating Earnings Before Income Taxes | $124 | $50 | $74 | 148.00% | | Total Adjusted Operating Revenues | $775 | $641 | $134 | 20.91% | | Net Revenue | $342 | $198 | $144 | 72.73% | | Adjusted Operating Margin | 36.2% | 25.5% | 10.7% | 41.96% | | Metric | 6 Months Ended June 30, 2023 (Millions) | 6 Months Ended June 30, 2022 (Millions) | YoY Change (Millions) | YoY % Change | | :---------------------------------------------- | :-------------------------------------- | :-------------------------------------- | :-------------------- | :----------- | | Adjusted Operating Earnings Before Income Taxes | $218 | $72 | $146 | 202.78% | | Total Adjusted Operating Revenues | $1,549 | $1,288 | $261 | 20.26% | | Net Revenue | $649 | $367 | $282 | 76.84% | | Adjusted Operating Margin | 33.6% | 19.6% | 14.0% | 71.43% | | Sales & In-force (Millions) | 3 Months Ended June 30, 2023 | 3 Months Ended June 30, 2022 | 6 Months Ended June 30, 2023 | 6 Months Ended June 30, 2022 | | :-------------------------- | :--------------------------- | :--------------------------- | :--------------------------- | :--------------------------- | | Total Sales by Product Line | $82 | $58 | $620 | $571 | | Total Gross Premiums & Deposits | $765 | $671 | $1,526 | $1,331 | | Total Annualized In-force Premiums & Fees | $3,327 | $2,722 | $3,327 | $2,722 | | Total Loss Ratio (Trailing 12-month) | 63.9% | 73.1% | 63.9% | 73.1% | [Investment Management](index=95&type=section&id=Investment%20Management) Investment Management reported increased adjusted operating earnings for Q2 and H1 2023, driven by AllianzGI acquisition and market performance | Metric | 3 Months Ended June 30, 2023 (Millions) | 3 Months Ended June 30, 2022 (Millions) | YoY Change (Millions) | YoY % Change | | :---------------------------------------------- | :-------------------------------------- | :-------------------------------------- | :-------------------- | :----------- | | Adjusted Operating Earnings Before Income Tax

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 —————————————————————— FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-35897 Voya Financial, Inc. | (Exact name of registrant as specified in its charter) | | | | | --- | --- ...

Financial Data and Key Metrics Changes - Voya Financial reported adjusted operating EPS of $1.44 for Q1 2023, down from $1.55 in the prior year quarter, but adjusted operating earnings per share excluding notable impacts was $1.69 [13] - GAAP net income for the first quarter was $69 million, which included approximately $50 million of cash impacts from the acquisition of Benefitfocus [13] - The company concluded the quarter with approximately $500 million of excess capital and a free cash flow conversion rate of over 90% [8][21] Business Line Data and Key Metrics Changes - Wealth Solutions saw full service recurring deposits grow nearly 10%, with adjusted operating earnings of $132 million in Q1 2023 [15][16] - Health Solutions achieved annualized enforced premiums and fees growth of 22%, with adjusted operating earnings of $94 million [8][18] - Investment Management experienced net outflows largely due to challenging market conditions, but total assets under management increased nearly 30% year-over-year [19][20] Market Data and Key Metrics Changes - The company reported that full service recurring deposits grew 9.6% on a trailing 12-month basis, with expectations for full year deposit growth to exceed 10% [16] - Annualized enforced premiums in Health Solutions grew 15% year-over-year, exceeding the long-term target of 7% to 10% [17][18] - Investment Management's organic growth is expected to be between 2% to 4% in 2023, despite experiencing negative flows in the first quarter [19][44] Company Strategy and Development Direction - Voya Financial aims to achieve a 12% to 17% annual compound growth in EPS over the three-year period ending in 2024, focusing on executing its plans and integrating acquired businesses [7][25] - The company plans to increase its dividend yield to approximately 2% in the second half of 2023, subject to board approval, and intends to resume share repurchases in Q2 2023 [8][23] - Recent acquisitions, including Benefitfocus and AllianzGI, are expected to drive revenue and earnings growth, enhancing Voya's market position [10][11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in capital generation capabilities, with a focus on maintaining a competitive dividend and managing expenses effectively [28][49] - The company remains optimistic about its growth trajectory, despite macroeconomic challenges, and is committed to delivering strong returns for shareholders [25][38] - Management highlighted the importance of addressing clients' growing health, wealth, and investment needs while maintaining a strong corporate culture [12] Other Important Information - Voya Financial has been recognized as one of the world's most ethical companies for the 10th consecutive year [12] - The company has generated $5.7 billion of capital since 2018, with a significant portion deployed in share repurchases [24] Q&A Session Summary Question: What conditions would prevent the resumption of buybacks? - Management indicated confidence in capital generation and plans to resume share repurchases in Q2, contingent on constructive market conditions [26][27] Question: What drove elevated surrenders in the full service business? - Management noted that a large case departure and higher participant surrenders impacted full service inflows, but expressed confidence in the long-term flow story [29][31] Question: Can you discuss the investment management pipeline? - Management affirmed a strong pipeline for investment management, with expectations for organic growth of 2% to 4% in 2023, despite some challenges in institutional flows [33][34] Question: How sustainable is the strong capital generation? - Management expressed confidence in their capital generation capabilities, supported by a capital-light business model and recent interest expense savings [36][38] Question: What drove the uptick in expenses this quarter? - Management explained that seasonal expenses and increased growth-related costs contributed to the uptick, but they expect a decline in expenses in future periods [40][41] Question: What is the outlook for the benefits ratio in the health business? - Management indicated that the strong first quarter experience would influence the full year outlook, but they expect the benefits ratio to revert to long-term targets [55][56] Question: How accurate are the LTVs in the commercial loan portfolio? - Management stated that they maintain a high-quality portfolio with rigorous internal underwriting processes, ensuring confidence in their LTV assessments [51][52]