Voya Financial Q3 Earnings Surpass Estimates on Higher Premiums

Core Viewpoint - Voya Financial, Inc. reported strong third-quarter 2024 results with adjusted operating earnings of $2.12 per share, exceeding estimates and showing a year-over-year increase of 2.4% [1] Financial Performance - Adjusted operating revenues reached $1.97 billion, reflecting a 7.6% year-over-year increase driven by higher fee income, premiums, and other revenues [2] - Net investment income decreased by 7.5% year over year to $506 million [2] - Fee income rose to $489 million, up 10.4% year over year, while premiums totaled $796 million, marking a 16.7% increase from the previous year [2] - Total benefits and expenses were $1.8 billion, an increase of 11.4% year over year [2] Segment Performance - Wealth Solutions reported adjusted operating earnings of $211 million, a 17.8% increase year over year, primarily due to growth in fee-based revenues [4] - Health Solutions adjusted operating earnings were $23 million, down 56.6% year over year, despite annualized in-force premiums and fees growing 16% to $3.9 billion [5] - Investment Management posted adjusted operating earnings of $55 million, up 12.2% year over year, with net inflows of $3.8 billion during the quarter [6] - Corporate incurred pre-tax adjusted operating losses of $59 million, wider than the $52 million loss from the previous year [7] Financial Update - Voya Financial ended the quarter with cash and cash equivalents of $1.4 billion, a 75.7% increase year over year [8] - Total investments amounted to $36 billion, down 0.4% year over year [8] - Long-term debt was $2.1 billion, up 0.2% from the end of 2023, with a financial leverage ratio of 30.6%, deteriorating by 280 basis points year over year [8] - Book value per share increased by 5.9% year over year to $60.96 [8] Capital Deployment - Voya Financial returned $0.2 billion of excess capital in the third quarter through $149 million in share repurchases and $44 million in common stock dividends [10] Assets Under Management - As of September 30, 2024, Voya Financial's assets under management, administration, and advisement totaled $391.6 million [3]