Voya Financial, Inc. · NYSE:VOYA
Voya Financial — Q2 2025 Earnings Presentation
26 slides from Voya Financial's earnings presentation, Aug 6, 2025
Slide 1: Second Quarter 2025 Call
Voya Financial Second Quarter 2025 Call August 6, 2025 Information contained herein is proprietary, confidential and non-public and is not for public release.
Slide 2: Forward-Looking and Other Cautionary Statements
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 stat
Slide 3: Key Themes & Strategic Priorities
Key Themes & Strategic Priorities Heather Lavallee, Chief Executive Officer Information contained herein is proprietary, confidential and non-public and is not for public release. 3
Slide 4: Investor Value Proposition
Investor Value Proposition Well positioned Retirement, Investment Management, and Employee Benefits company Diverse and complementary businesses with attractive returns Consistent strong free cash flow generation Healthy balance sheet 4
Slide 5: 2Q'25 Highlights
2Q’25 Highlights Continued progress on near-term execution priorities Retirement and Investment Management commercial results drive continued strong organic growth OneAmerica integration on track and driving higher earnings Stop Loss execution driving meaningful improvement in Employee Benefit margi
Slide 6: Financial Highlights & Business Segment Performance
Financial Highlights & Business Segment Performance Mike Katz, Chief Financial Officer Information contained herein is proprietary, confidential and non-public and is not for public release.
Slide 7: 2Q'25 Financial Results
2Q’25 Financial Results Strong financial results highlighting the accretive value across the business, while generating consistent free cash flows FY’24 Highlights (update) (Millions except EPS and excess capital generation) 2Q’24 2Q’25 Highlights Adjusted $1.40 Operating EPS $2.18 $2.46 2Q'25 resul
Slide 8: Retirement
Retirement OneAmerica integration and organic growth driving higher earnings Adjusted Operating Earnings 2Q’25 Highlights (Millions) • 2Q’25 TTM adjusted operating earnings increased 19% due to favorable equity markets, strong commercial momentum, disciplined expense +19% management, and OneAmerica
Slide 9: Investment Management
Investment Management Strong organic growth supports favorable financial performance Adjusted Operating Earnings 2Q’25 Highlights (Millions) Excludes Noncontrolling Interest +15% • 2Q’25 TTM adjusted operating earnings contributes to a 15% increase in earnings, $214 supported by commercial momentum,
Slide 10: Employee Benefits
Employee Benefits Positive claim development across all products Adjusted Operating Earnings 2Q’25 Highlights (Millions) • Loss ratio improvement in Stop Loss: o Jan-24 cohort: 93% at 1Q’25 to 91% at 2Q’25, reflecting positive claim development $216 o Jan-25 cohort: remains at 87% 2Q’25 • Favorable
Slide 11: Strong Balance Sheet
Strong Balance Sheet Prudent and well-positioned in current market dynamics RBC Financial Excess Ratio2 above Leverage $0.3B Capital1,2 401% target ratio of 27.4% Ratio within 375% target 25-30% 1. Excess Capital is defined as Statutory Total Adjusted Capital (TAC) in excess of 375% RBC level, Holdi
Slide 12: Track Record of Generating Consistent Free Cash Flow
Track Record of Generating Consistent Free Cash Flow Return on Equity ex. 18% 18% 17% 17% AOCI and NOL DTA2 $0.9 150% $0.8 $0.8 140% $0.7 $0.7 $0.6 130% $0.6 120% $0.5 100% 110% Target $0.4 $0.490% 95% FCF 90% › FY’25100% free cash 90% flows are on- $0.3 90% track to exceed $0.2 80% original guidanc
Slide 13: 2Q'25 Demonstrates Progress on Near Term Priorities
2Q’25 Demonstrates Progress on Near Term Priorities Retirement and Investment Management commercial results drive continued strong organic growth OneAmerica integration on track and driving higher earnings Stop Loss execution driving meaningful improvement in Employee Benefits margins 13
Slide 14: Appendix
VOYA. iss pass Appendix
Slide 15: FY'25 Modeling Considerations
FY’25 Modeling Considerations Investment Annualized Pre-tax Impact Total Retirement Employee Benefits Management ($ Millions) Earnings Earnings Earnings Earnings1 S&P 500 Change +/- 10% +/- $55 – $75 +/- $45 – $55 +/- $10 – $20 Interest Rate Changes +/- 100 bps2 +/- $15 – $35 +/- $30 – $40 -/+ $5 –
Slide 16: Seasonality
Seasonality Retirement IM Employee Benefits Corporate & Other All Segments ▪ Admin expenses tend to be ▪ Defined Contribution tends to have ▪ Group Life loss ratio the highest the highest recurring deposits tends to be highest ▪ Seasonally higher preferred ▪ Payroll taxes and long-term 1Q ▪ Withdraw
Slide 17: 2Q'25 Adjusted Operating to Net Income Walk
2Q’25 Adjusted Operating to Net Income Walk (Millions) Primarily Primarily Primarily Primarily Non-Cash Non-Cash Cash Non-Cash $18 $1 $7 $240 $223 -$9 -$23 -$24 $162 -$21 -$10 2Q'24 Adj. Op. Retirement Investment Employee Corporate 2Q'25 Adj. Op. Investment Loss on Severance and Amort. of 2Q'25 Earn
Slide 18: Retirement
Retirement Defined Contribution asset growth has outpaced industry1 over time Participant Accounts Have Grown at a 11% Defined Contribution Assets $800 CAGR (2020-2025) Nearing 10 Million2 13 (Billions) $690 12 Recordkeeping Full Service $700 11 $600 $549 9.7 $270 10 $467 $483 $500 9 $208 $413 $418
Slide 19: Retirement
Retirement Diversified retirement provider focused on driving profitable growth Contribution to Voya’s Earnings Key Priorities Scale provider in defined contribution market: Drive continued commercial momentum 63%1 • #5 in Plans2 Avg. Historical #5 in Participants2 Adj. Op. Earnings • • #6 in Total
Slide 20: Investment Management
Investment Management Diversified platform generating over $16 billion of net flows in the last twelve months, including nearly $10 billion year- to-date 2025 Assets Under Management $360 Billion Diversified Asset Manager (Billions) (% of AUM) $360 $339 Public $321 $322 Institutional Fixed 47% 42% $
Slide 21: Investment Management
Investment Management Strategically positioned to capitalize on growth opportunities through diversified platforms & solutions Contribution to Voya’s Earnings Key Priorities Market rankings: • Top 50 for worldwide Asset Scale and expand private asset strategies across Under Management2 distribution
Slide 22: Investment Management
Investment Management Long-term investment performance critical to future success – June 2025 Percent of AUM Above Benchmark or Peer Median(1) Represents ~60% 3rd Party AUM 92 92 95 83 83 87 80 81 82 82 81 70 73 71 67 68 59 51 50 25 Equity Multi-Asset Fixed Income & Growth Voya IM Income Total 1 Yea
Slide 23: Employee Benefits
Employee Benefits Stop Loss execution and focus on improving margins Loss Ratios for Stop Loss – Policy Year1 View Stop Loss Actions • Executed meaningful rate increases and strengthened risk selection on Jan-25, resulting in a smaller book 93% and better risk profile 2 87% • Achieved an average net
Slide 24: Employee Benefits
Employee Benefits Stop Loss stabilization of loss ratios and generating profitable margins Contribution to Voya’s Earnings Key Priorities Market ranking: • #3 largest direct writer2 Improve Stop Loss margins 20% 1 of Stop Loss with 50 Avg. Historical Adj. Op. years experience #3 by Group Earnings •
Slide 25: Well-Diversified Investment Portfolio Built for Through-the-Cycle Risk Adjusted Returns
Well-Diversified Investment Portfolio Built for Through-the-Cycle Risk Adjusted Returns $39 Billion General Account Investment Portfolio1 Fixed Maturity NAIC Rating Distribution 96%+ Investment Grade2 1% Commercial 3% Mortgage 1A (AAA) Limited 11% Loans Partnerships 4% 23% Private Credit 1B-G (AA-A)
Slide 26: Alternatives Portfolio Has Delivered Favorable Investment Performance Over Time
Alternatives Portfolio Has Delivered Favorable Investment Performance Over Time Calendar Year Net Returns 1,2 GA Alt Portfolio of $1.92 Billion As of 6/30/25 Long-Term Return Target: 9% 43% Hedge Funds Credit 1% 7% Secondary 9% Infrastructure 9% 17% Private Equity 15% 13% 52% 11% 12% 10% Average 12%