Le Lézard
Classified in: Business, Covid-19 virus
Subjects: EARNINGS, Conference Call, Webcast, Stock Sale/Buyback

Voya Financial announces first-quarter 2022 results


Voya Financial, Inc. (NYSE: VOYA), announced today financial results for the first quarter of 2022:

"During the first quarter, we generated $1.47 per diluted share in after-tax adjusted operating earnings, which reflects solid alternative investment income as well as further client demand for our products and solutions," said Rodney O. Martin, Jr., chairman and CEO, Voya Financial, Inc. "For the trailing twelve months ended March 31, 2022, Wealth Solutions full service recurring deposits grew 11.2% compared with the prior-year period to $12.4 billion. In Health Solutions, annualized in-force premiums in the first quarter of 2022 increased 9.7% compared with the prior-year period. In addition, Investment Management generated $1.3 billion of net inflows in the first quarter of 2022 and achieved 4.5% organic growth for the trailing twelve months ended March 31, 2022. In short, we continue to see demand for the valuable health, wealth and investment solutions that meet the current and growing needs of our workplace and institutional clients.

"In addition to organic growth, we continue to benefit from our high free-cash-flow businesses. During the first quarter, we deployed more than $700 million in excess capital through a combination of share repurchases, debt redemption and common stock dividends. This now brings our total excess capital deployed for the trailing twelve months ended March 31, 2022 to approximately $2 billion. We also concluded the quarter with approximately $900 million of excess capital. With the additional $500 million share repurchase authorization we have received from the board, we will build upon our capital deployment track record and continue to be disciplined and balanced with our use of capital," added Martin.

_______________________________
1 This press release includes certain non-GAAP financial measures, including adjusted operating earnings. More information on non-GAAP measures and reconciliations to the most comparable U.S. GAAP measures can be found in the "Use of Non-GAAP Financial Measures" section of this release and in the company's Quarterly Investor Supplement.
2 First-quarter 2022 results include the following notable items: $0.40 of investment income from alternative investments and prepayments above long-term expectations, net of variable and incentive compensation; $(0.24) of COVID-19 impacts; and $(0.11) of unfavorable deferred acquisition costs and value of business acquired ("DAC/VOBA") and other intangibles unlocking. Please see the tables at the end of this press release for more details on notable items.

HIGHLIGHTS

CONSOLIDATED RESULTS

First-quarter 2022 net income available to common shareholders was $27 million, or $0.24 per diluted share, compared with $1,086 million, or $8.29 per diluted share, in the first quarter of 2021. The decline was primarily due to first-quarter 2021 results benefiting from $725 million of income in businesses exited or to be exited through reinsurance or divestment, which was driven by investment gains related to the closing of Voya's sale of substantially all of its Individual Life and legacy annuities businesses. In addition, first-quarter 2022 results reflect $87 million of investment losses (compared with $38 million of investment gains in the prior-year period) as well as lower adjusted operating earnings.

First-quarter 2022 after-tax adjusted operating earnings were $172 million, or $1.47 per diluted share, compared with $223 million, or $1.70 per diluted share in the first quarter of 2021. The decline was primarily due to lower alternative investment income; lower investment capital revenues in Investment Management; an unfavorable change in DAC/VOBA and other intangibles unlocking and lower fee-based margin in Wealth Solutions (driven by the sale of the independent financial planning channel of Voya Financial Advisors (FPC) in the second quarter of 2021); and higher Group Life claims in Health Solutions, in each case compared with first-quarter 2021. On a per-share basis, first-quarter 2022 results reflect the benefit of share repurchases in 2021 and in the first quarter of 2022.

SEGMENT DISCUSSIONS

The following segment discussions compare the first quarter of 2022 with the first quarter of 2021, unless otherwise noted. All figures are presented before income taxes.

Wealth Solutions

Wealth Solutions adjusted operating earnings were $205 million, compared with $255 million. The change primarily reflects:

 

Trailing 12

months ended

Trailing 12

months ended

($ in millions)

3/31/2022

3/31/2021

Net revenue

$

2,322

 

$

1,886

 

Net revenue, excluding notables

 

1,934

 

 

1,735

 

Adjusted operating margin

 

45.7

%

 

30.5

%

Adjusted operating margin, excluding notables

 

35.5

%

 

34.2

%

Full Service recurring deposits

$

12,438

 

$

11,184

 

Full Service net flows

$

155

 

$

2,143

 

 

 

 

 

Three months

ended or as of

Three months

ended or as of

($ in millions)

3/31/2022

3/31/2021

Total client assets

$

514,972

 

$

540,383

 

 

 

 

Full Service recurring deposits

$

3,604

 

$

3,222

 

Full Service net flows

$

446

 

$

868

 

Full Service client assets

$

178,161

 

$

171,179

 

Total client assets as of March 31, 2022 were $515 billion, down from March 31, 2021 as growth in the business, including positive net flows over the period, was more than offset by lower retail assets due to the second-quarter 2021 sale of the FPC.

Health Solutions

Health Solutions adjusted operating earnings were $22 million, compared with $37 million. The change primarily reflects:

 

Trailing 12

months ended

Trailing 12

months ended

($ in millions)

3/31/2022

3/31/2021

Net revenue

$

732

 

$

640

 

Net revenue, excluding notables

 

791

 

 

693

 

Adjusted operating margin

 

25.8

%

 

28.0

%

Adjusted operating margin, excluding notables

 

31.2

%

 

33.5

%

Total aggregate loss ratio

 

73.1

%

 

71.8

%

 

 

 

 

Three months

ended

Three months

ended

($ in millions)

3/31/2022

3/31/2021

Group Life, Disability and Other

$

807

 

$

730

 

Stop Loss

 

1,220

 

 

1,182

 

Voluntary

 

678

 

 

554

 

Total annualized in-force premiums

$

2,705

 

$

2,466

 

Investment Management

Investment Management adjusted operating earnings were $39 million, compared with $52 million. The change primarily reflects:

 

Trailing 12

months ended

Trailing 12

months ended

($ in millions)

3/31/2022

3/31/2021

Net revenue

$

771

 

$

727

 

Net revenue, excluding notables

 

731

 

 

662

 

Adjusted operating margin

 

29.4

%

 

28.7

%

Adjusted operating margin, excluding notables

 

25.9

%

 

24.3

%

 

 

 

Institutional net flows

$

11,424

 

$

8,652

 

Retail net flows

 

(1,945

)

 

(1,583

)

Total net flows*

 

9,479

 

 

7,069

 

 

 

 

 

Three months

ended or as of

Three months

ended or as of

($ in millions)

3/31/2022

3/31/2021

Institutional net flows

$

2,221

 

$

(128

)

Retail net flows

 

(893

)

 

(252

)

Total net flows*

 

1,328

 

 

(380

)

 

 

 

Fixed income - public and other

$

114,695

 

$

114,388

 

Privates and alternatives

 

79,340

 

 

74,824

 

Equity

 

59,174

 

 

59,337

 

Total AUM

$

253,208

 

$

248,550

 

* Excludes sub-advisor replacements and divested businesses.

Total AUM were $253 billion as of March 31, 2022, up 2% from March 31, 2021. The increase reflects strong positive Institutional net flows for the TTM ended March 31, 2022, including several new private credit mandates in the first quarter of 2022.

Corporate

Corporate adjusted operating losses were $58 million compared with adjusted operating losses of $71 million. The change reflects lower net stranded costs associated with the Individual Life transaction as well as lower interest expense due to the redemption of debt in 2021.

Share Repurchases

During the first quarter of 2022, Voya repurchased $500 million of its common stock. During the quarter, Voya entered into an accelerated share repurchase (ASR) agreement to repurchase $275 million of common stock ? $220 million, or 3,305,786 shares, of which were delivered during the first quarter; the remaining $55 million will be delivered in the second quarter of 2022. In addition to the previously mentioned ASR, Voya repurchased an additional $225 million, or 3,295,800 shares, of its common stock during the first quarter of 2022.

Voya announced today that its board of directors has increased the amount of the company's common stock authorized for repurchase under the company's share repurchase program by an additional $500 million. Under its share repurchase program, the company may, from time to time, purchase shares of its common stock through various means, including open market transactions, repurchase programs pursuant to rule 10b5-1, privately negotiated transactions, forward, derivative, accelerated repurchase, automatic repurchase transactions, or tender offers. The additional $500 million share repurchase authorization expires on June 30, 2023 (unless extended), and does not obligate the company to purchase any shares. The authorization for the share repurchase program may be terminated, increased or decreased by the board of directors at any time.

Including the additional $500 million repurchase authorization and accounting for the previously mentioned $275 million ASR that Voya entered into in the first quarter, the company had approximately $521 million remaining under its share repurchase authorization.

Supplementary Financial Information

More detailed financial information can be found in the company's Quarterly Investor Supplement, which is available on Voya's investor relations website, investors.voya.com.

Earnings Call and Slide Presentation

Voya will host a conference call on Wednesday, May 4, 2022, at 10 a.m. ET, to discuss the company's first-quarter 2022 results. The call and slide presentation can be accessed via the company's investor relations website at investors.voya.com. A replay of the call will be available on the company's investor relations website at investors.voya.com starting at 1 p.m. ET on May 4, 2022.

About Voya Financial

Voya Financial, Inc. (NYSE: VOYA) is a leading health, wealth and investment company that provides products, solutions and technologies that help Americans become well planned, well invested and well protected. Serving the needs of 14.3 million individual, workplace and institutional clients, Voya is a Fortune 500 company that had $4.2 billion in revenue in 2021 and $707 billion in total assets under management and administration as of March 31, 2022. Certified as a "Great Place to Work" by the Great Place to Work® Institute, Voya is purpose-driven and is equally committed to conducting business in a way that is socially, environmentally, economically and ethically responsible. Voya has earned recognition as: one of the World's Most Ethical Companies® by the Ethisphere Institute; a member of the Bloomberg Gender-Equality Index; and a "Best Place to Work for Disability Inclusion" on the Disability Equality Index. For more information, visit voya.com. Follow Voya Financial on Facebook, LinkedIn and Twitter @Voya.

Use of Non-GAAP Financial Measures

We believe that Adjusted operating earnings before income taxes provides a meaningful measure of its business and segment performance and enhances the understanding of our financial results by focusing on the operating performance and trends of the underlying business segments and excluding items that tend to be highly variable from period to period based on capital market conditions or other factors. We use the same accounting policies and procedures to measure segment Adjusted operating earnings before income taxes as we do for the directly comparable U.S. GAAP measure, which is Income (loss) from continuing operations before income taxes.

Adjusted operating earnings before income taxes does not replace Income (loss) from continuing operations before income taxes as a measure of our consolidated results of operations. Therefore, we believe that it is useful to evaluate both Income (loss) from continuing operations before income taxes and Adjusted operating earnings before income taxes when reviewing our financial and operating performance. Each segment's Adjusted operating earnings before income taxes is calculated by adjusting Income (loss) from continuing operations before income taxes for the following items:

The adjusted operating earnings, after tax, is adjusted for tax expense. The adjusted operating tax expense is based on the actual income tax expense for the current period related to Income (loss) from continuing operations, adjusted for estimated taxes on non-operating items and non-operating tax impacts, such as those related to restructuring, changes in a tax valuation allowance and changes to tax law. For non-operating items, we apply a 21% tax rate.

Income (loss) related to businesses exited or to be exited through reinsurance or divestment (including net investment gains (losses) on securities sold and expenses directly related to these transactions, and insignificant number of Individual Life, and non-Wealth Solutions annuities policies that were not part of the divested businesses) are excluded from Adjusted operating earnings before income taxes. When we present the adjustments to Income (loss) from continuing operations before income taxes on a consolidated basis, each adjustment excludes the relative portions attributable to businesses exited or to be exited through reinsurance or divestment.

The most directly comparable U.S. GAAP measure to Adjusted operating earnings before income taxes is Income (loss) from continuing operations before income taxes. For a reconciliation of Adjusted operating earnings before income taxes to Income (loss) from continuing operations before income taxes, see the tables that accompany this release, as well as our Quarterly Investor Supplement.

As a result of the Individual Life Transaction, the historical revenues and certain expenses of the divested businesses have been classified as discontinued operations. Historical revenues and certain expenses of the businesses that have been divested via reinsurance at closing of the Individual Life Transaction (including an insignificant amount of Individual Life and non-Wealth Solutions annuities that are not part of the transaction) are reported within continuing operations, but are excluded from adjusted operating earnings as businesses exited or to be exited through reinsurance or divestment. Expenses classified within discontinued operations and businesses exited or to be exited through reinsurance include only direct operating expenses incurred by these businesses and then only to the extent that the nature of such expenses was such that we ceased to incur such expenses upon the close of the Individual Life Transaction. Certain other direct costs of these businesses, including those which relate to activities for which we provide transitional services and for which we are reimbursed under transition services agreements ("TSAs") are reported within continuing operations along with the associated revenues from the TSAs. Additionally, indirect costs, such as those related to corporate and shared service functions that were previously allocated to the businesses sold or divested via reinsurance, are reported within continuing operations. These costs ("Stranded Costs") and the associated revenues from the TSAs are reported within continuing operations in Corporate, since we do not believe they are representative of the future run-rate of revenues and expenses of the continuing operations of our business segments. We have implemented a cost reduction strategy to address Stranded Costs.

In addition to Net income (loss) per common share, we report Adjusted operating earnings per common share (diluted) because we believe that Adjusted operating earnings before income taxes provides a meaningful measure of its business and segment performances and enhances the understanding of our financial results by focusing on the operating performance and trends of the underlying business segments and excluding items that tend to be highly variable from period to period based on capital market conditions and/or other factors.

Net Revenue and Adjusted Operating Margin

Forward-Looking and Other Cautionary Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. 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 statements include statements relating to future developments in our business or expectations for our future financial performance and any statement not involving a historical fact. Forward-looking statements use words such as "anticipate," "believe," "estimate," "expect," "intend," "plan," and other words and terms of similar meaning in connection with a discussion of future operating or financial performance. Actual results, performance or events may differ materially from those projected in any forward-looking statement due to, among other things, (i) general economic conditions, particularly economic conditions in our core markets, (ii) performance of financial markets, (iii) the frequency and severity of insured loss events, (iv) the effects of natural or man-made disasters, including pandemic events and specifically the current COVID-19 pandemic event, (v) mortality and morbidity levels, (vi) persistency and lapse levels, (vii) interest rates, (viii) currency exchange rates, (ix) general competitive factors, (x) changes in laws and regulations, such as those relating to Federal taxation, state insurance regulations and NAIC regulations and guidelines, (xi) changes in the policies of governments and/or regulatory authorities, and (xii) our ability to successfully manage the separation of our individual life business on the expected timeline and economic terms. Factors that may cause actual results to differ from those in any forward-looking statement also include those described under "Risk Factors" and "Management's Discussion and Analysis of Results of Operations and Financial Condition ("MD&A") ? Trends and Uncertainties" in our Annual Report on Form 10-K for the year ended Dec. 31, 2021, which the Company filed with the SEC on Feb. 22, 2022, and in our Quarterly Report on Form 10-Q for the three months ended March 31, 2022, which the Company expects to file with the SEC on or before May 10, 2022.

VOYA-IR VOYA-CF

Reconciliation of Net Income (Loss) to Adjusted Operating Earnings and Earnings Per Share (Diluted)

 

Three Months Ended

($ in millions, except per share)

3/31/2022

 

3/31/2021

 

Pre-

tax

Tax

Effect (1)

After-

tax

Per

share

 

Pre-

tax

Tax

Effect (1)

After-

tax

Per

share

 

 

 

 

 

 

 

 

 

 

Net Income (loss) available to Voya Financial, Inc.'s common shareholders

 

 

$

27

 

$

0.24

 

 

 

 

$

1,086

 

$

8.29

 

Less: Preferred stock dividends

 

 

 

(14

)

 

(0.12

)

 

 

 

 

(14

)

 

(0.11

)

Net Income (loss) available to Voya Financial, Inc.

 

 

$

41

 

$

0.36

 

 

 

 

$

1,100

 

$

8.40

 

Plus: Net income (loss) attributable to noncontrolling interest

 

 

 

43

 

 

0.36

 

 

 

 

 

?

 

 

?

 

Net Income (loss)

 

 

$

84

 

$

0.72

 

 

 

 

$

1,100

 

$

8.40

 

Less: Income (loss) from discontinued operations, net of tax

 

 

 

?

 

 

?

 

 

 

 

 

14

 

 

0.10

 

Income (loss) from continuing operations

$

91

 

$

7

 

$

84

 

$

0.72

 

 

$

1,038

 

$

(48

)

$

1,086

 

$

8.30

 

Less:

 

 

 

 

 

 

 

 

 

Net Investment gains (losses) and related charges and adjustments

 

(87

)

 

(18

)

 

(69

)

 

(0.59

)

 

 

38

 

 

8

 

 

30

 

 

0.23

 

Net guaranteed benefit gains (losses) and related charges and adjustments

 

(22

)

 

(5

)

 

(17

)

 

(0.15

)

 

 

10

 

 

2

 

 

8

 

 

0.06

 

Income (loss) related to businesses exited or to be exited through reinsurance or divestment

 

(47

)

 

(10

)

 

(37

)

 

(0.32

)

 

 

725

 

 

(79

)

 

804

 

 

6.14

 

Net income (loss) attributable to noncontrolling interest

 

43

 

 

?

 

 

43

 

 

0.36

 

 

 

?

 

 

?

 

 

?

 

 

?

 

Income (loss) on early extinguishment of debt

 

(5

)

 

(1

)

 

(4

)

 

(0.03

)

 

 

(10

)

 

(2

)

 

(8

)

 

(0.06

)

Immediate recognition of net actuarial gains (losses) related to pension and other postretirement benefit obligations and gains (losses) from plan amendments and curtailments

 

4

 

 

1

 

 

3

 

 

0.03

 

 

 

?

 

 

?

 

 

?

 

 

?

 

Dividend payments made to preferred shareholders

 

14

 

 

?

 

 

14

 

 

0.12

 

 

 

14

 

 

?

 

 

14

 

 

0.11

 

Other adjustments (2)

 

(17

)

 

3

 

 

(20

)

 

(0.17

)

 

 

(11

)

 

(27

)

 

15

 

 

0.12

 

Adjusted operating earnings

$

209

 

$

36

 

$

172

 

$

1.47

 

 

$

273

 

$

50

 

$

223

 

$

1.70

 

(1) The adjusted operating tax expense is based on the actual income tax expense for the current period related to Income (loss) from continuing operations, adjusted for estimated taxes on non-operating items and non-operating tax impacts, such as those related to restructuring, changes in a tax valuation allowance and changes to tax law. For non-operating items, we apply a 21% tax rate.
(2) "Other adjustments" primarily consists of restructuring expenses (severance, lease write-offs, etc.) and tax adjustments.

Reconciliation of Basic Weighted Average Shares to Adjusted Operating Diluted Weighted Average Shares

 

Three Months Ended

(in millions)

3/31/2022

3/31/2021

 

 

 

Weighted-average common shares outstanding - Basic

106

123

Dilutive effect of warrants

8

 

5

 

Other dilutive effects (1)

3

 

3

 

Weighted-average common shares outstanding - Diluted

117

 

131

 

Dilutive effect of the exercise or issuance of stock based awards

?

 

?

 

Weighted average common shares outstanding - Adjusted Diluted (2)

117

 

131

 

(1) Includes stock-based compensation awards such as restricted stock units (RSU), performance stock units (PSU), or stock options.
(2) For periods in which there is Net loss from continuing operations available to common shareholders, adjusted operating earnings per common share (EPS) calculation includes additional dilutive shares, as the inclusion of these shares for stock compensation plans would not be anti-dilutive to the adjusted operating EPS calculation.

Adjusted Operating Earnings, Net Revenue, Adjusted Operating Margin, and Notable Items

Three Months Ended March 31, 2022

(in millions)

Amounts

including

Notable

items

Investment

Income Net of

Variable and

Incentive

Compensation

Above (Below)

Expectations (1)

COVID-19

Impacts

Other (2)

Amounts

excluding

Notable

items

 

 

 

 

 

 

Adjusted operating earnings

 

 

 

 

 

Wealth Solutions

$

205

 

$

52

$

?

 

$

(16

)

$

169

 

Investment Management

 

39

 

 

2

 

 

?

 

 

?

 

 

37

 

Health Solutions

 

22

 

 

5

 

 

(35

)

 

?

 

 

52

 

Adjusted operating earnings, excluding Corporate

$

266

 

$

59

 

$

(35

)

$

(16

)

$

258

 

Corporate

 

(58

)

 

?

 

 

?

 

 

?

 

 

(58

)

Adjusted operating earnings, pre-tax

$

209

 

$

59

 

$

(35

)

$

(16

)

$

200

 

 

 

 

 

 

 

Net revenue

 

 

 

 

 

Wealth Solutions

$

538

 

$

52

 

$

?

 

$

?

 

$

486

 

Investment Management

 

178

 

 

3

 

 

?

 

 

?

 

 

175

 

Health Solutions

 

171

 

 

5

 

 

(35

)

 

?

 

 

201

 

Total Net revenue

$

887

 

$

60

 

$

(35

)

$

?

 

$

862

 

 

 

 

 

 

 

Adjusted operating margin

 

 

 

 

 

Wealth Solutions

 

38.1

%

 

 

 

 

34.8

%

Investment Management

 

21.9

%

 

 

 

 

21.1

%

Health Solutions

 

12.9

%

 

 

 

 

25.9

%

Adjusted operating margin, excluding Corporate & Notable items

 

30.0

%

 

 

 

 

29.9

%

Adjusted operating margin, including Corporate

 

23.6

%

 

 

 

 

23.2

%

(1) The amount by which Investment income from alternative investments and prepayments exceeds or is less than our long-term expectations, net of variable and incentive compensation.
(2) Includes DAC, VOBA, and other intangible unlocking.

Adjusted Operating Earnings, Net Revenue, Adjusted Operating Margin, and Notable Items

Three Months Ended March 31, 2021

(in millions)

Amounts

including

Notable

items

Investment

Income Net of

Variable and

Incentive

Compensation

Above (Below)

Expectations (1)

COVID-19

Impacts

Other (2)

Amounts

excluding

Notable

items

 

 

 

 

 

 

Adjusted operating earnings

 

 

 

 

 

Wealth Solutions

$

255

 

$

81

 

$

?

 

$

13

$

161

 

Investment Management

 

52

 

 

18

 

 

?

 

 

?

 

 

34

 

Health Solutions

 

37

 

 

6

 

 

(35

)

 

1

 

 

64

 

Adjusted operating earnings, excluding Corporate

$

344

 

$

105

 

$

(35

)

$

14

 

$

259

 

Corporate

 

(71

)

 

(6

)

 

?

 

 

?

 

 

(65

)

Adjusted operating earnings, pre-tax

$

273

 

$

99

 

$

(35

)

$

14

 

$

194

 

 

 

 

 

 

 

Net revenue

 

 

 

 

 

Wealth Solutions

$

563

 

$

81

 

$

?

 

$

18

 

$

464

 

Investment Management

 

190

 

 

22

 

 

?

 

 

?

 

 

168

 

Health Solutions

 

159

 

 

6

 

 

(35

)

 

1

 

 

186

 

Total Net revenue

$

912

 

$

109

 

$

(35

)

$

19

 

$

818

 

 

 

 

 

 

 

Adjusted operating margin

 

 

 

 

 

Wealth Solutions

 

45.3

%

 

 

 

 

34.7

%

Investment Management

 

27.4

%

 

 

 

 

20.2

%

Health Solutions

 

23.3

%

 

 

 

 

34.4

%

Adjusted operating margin, excluding Corporate & Notable items

 

37.7

%

 

 

 

 

31.7

%

Adjusted operating margin, including Corporate

 

29.9

%

 

 

 

 

23.7

%

(1) The amount by which Investment income from alternative investments and prepayments exceeds or is less than our long-term expectations, net of variable and incentive compensation.
(2) Includes DAC, VOBA, and other intangible unlocking, revenue and expenses in Wealth Solutions related to the FPC prior to its divestment in June 2021, and changes in certain legal and other reserves not expected to recur at the same level.

Adjusted Operating Earnings, Net Revenue, Adjusted Operating Margin, and Notable Items

Twelve Months Ended March 31, 2022

(in millions)

Amounts

including

Notable

items

Investment

Income Net of

Variable and

Incentive

Compensation

Above (Below)

Expectations (1)

COVID-19

Impacts

Other (2)

Amounts

excluding

Notable

items

 

 

 

 

 

 

Adjusted operating earnings

 

 

 

 

 

Wealth Solutions

$

1,060

 

$

377

 

$

?

 

$

(3

)

$

686

 

Investment Management

 

227

 

 

52

 

 

?

 

 

(9

)

 

189

 

Health Solutions

 

189

 

 

39

 

 

(112

)

 

13

 

 

247

 

Adjusted operating earnings, excluding Corporate

$

1,476

 

$

468

 

$

(112

)

$

1

 

$

1,122

 

Corporate

 

(248

)

 

(50

)

 

?

 

 

?

 

 

(198

)

Adjusted operating earnings, pre-tax

$

1,229

 

$

418

 

$

(112

)

$

1

 

$

924

 

 

 

 

 

 

 

Net revenue

 

 

 

 

 

Wealth Solutions

$

2,322

 

$

377

 

$

?

 

$

10

 

$

1,934

 

Investment Management

 

771

 

 

56

 

 

?

 

 

(15

)

 

731

 

Health Solutions

 

732

 

 

39

 

 

(112

)

 

13

 

 

791

 

Total Net revenue

$

3,825

 

$

472

 

$

(112

)

$

8

 

$

3,456

 

 

 

 

 

 

 

Adjusted operating margin

 

 

 

 

 

Wealth Solutions

 

45.7

%

 

 

 

 

35.5

%

Investment Management

 

29.4

%

 

 

 

 

25.9

%

Health Solutions

 

25.8

%

 

 

 

 

31.2

%

Adjusted operating margin, excluding Corporate

 

38.6

%

 

 

 

 

32.5

%

Adjusted operating margin, including Corporate

 

32.1

%

 

 

 

 

26.7

%

(1) The amount by which Investment income from alternative investments and prepayments exceeds or is less than our long-term expectations, net of variable and incentive compensation.
(2) Includes DAC, VOBA, and other intangible unlocking, revenue and expenses in Wealth Solutions related to the FPC prior to its divestment in June 2021, performance fees above (below) expectations net of related variable compensation, and changes in certain legal and other reserves not expected to recur at the same level.

Adjusted Operating Earnings, Net Revenue, Adjusted Operating Margin, and Notable Items

Twelve Months Ended March 31, 2021

(in millions)

Amounts

including

Notable

items

Investment

Income Net of

Variable and

Incentive

Compensation

Above (Below)

Expectations (1)

COVID-19

Impacts

Other (2)

Amounts

excluding

Notable

items

 

 

 

 

 

 

Adjusted operating earnings

 

 

 

 

 

Wealth Solutions

$

575

 

$

98

 

$

?

 

$

(117

)

$

593

 

Investment Management

 

209

 

 

18

 

 

?

 

 

30

 

 

161

 

Health Solutions

 

179

 

 

9

 

 

(71

)

 

8

 

 

232

 

Adjusted operating earnings, excluding Corporate

$

963

 

$

125

 

$

(71

)

$

(79

)

$

986

 

Corporate

 

(328

)

 

(3

)

 

?

 

 

(101

)

 

(224

)

Adjusted operating earnings, pre-tax

$

634

 

$

122

 

$

(71

)

$

(180

)

$

762

 

 

 

 

 

 

 

Net revenue

 

 

 

 

 

Wealth Solutions

$

1,886

 

$

98

 

$

?

 

$

54

 

$

1,735

 

Investment Management

 

727

 

 

18

 

 

?

 

 

47

 

 

662

 

Health Solutions

 

640

 

 

9

 

 

(71

)

 

8

 

 

693

 

Total Net revenue

$

3,253

 

$

125

 

$

(71

)

$

109

 

$

3,090

 

 

 

 

 

 

 

Adjusted operating margin

 

 

 

 

 

Wealth Solutions

 

30.5

%

 

 

 

 

34.2

%

Investment Management

 

28.7

%

 

 

 

 

24.3

%

Health Solutions

 

28.0

%

 

 

 

 

33.5

%

Adjusted operating margin, excluding Corporate

 

29.6

%

 

 

 

 

32.0

%

Adjusted operating margin, including Corporate

 

19.5

%

 

 

 

 

24.7

%

(1) The amount by which Investment income from alternative investments and prepayments exceeds or is less than our long-term expectations, net of variable and incentive compensation.
(2) Includes DAC, VOBA, and other intangible unlocking, revenue and expenses in Wealth Solutions related to the FPC prior to its divestment in June 2021 and in Investment Management related to the divestment of Individual Life, stranded costs in Corporate prior to the closing of the Individual Life Transaction, performance fees above (below) expectations net of related variable compensation, and changes in certain legal and other reserves not expected to recur at the same level.


These press releases may also interest you

at 22:14
NuZee, Inc. , a leading U.S. producer and co-packer of single serve coffee formats, today announced the pricing of its underwritten public offering of 4,200,000 shares of its common stock at a public offering price of $0.82 per share, resulting in...

at 21:59
Global investment firm The Carlyle Group Inc. ("Carlyle" or "the Company") today announced changes in its executive leadership team. With...

at 21:30
The demand for mobile point-of-sale (mPOS)...

at 19:53
Earlier today the Senate voted to pass the Inflation Reduction Act of 2022, a bill that includes several key provisions to lower the prices of prescription drugs. AARP Illinois thanks Senators Tammy Duckworth and Senate Majority Whip Dick Durbin for...

at 15:46
Blue Cross Blue Shield Association President and CEO Kim Keck issued the following statement today in response to the passage of the Inflation Reduction Act, which extends Affordable Care Act (ACA) tax credits for three years....

at 11:23
Partner Communications Company Ltd. ("Partner" or the "Company") , a leading Israeli communications operator reports today that Standard & Poor's Global Ratings Maalot Ltd. ("Maalot"), has published a rating report regarding the Company. In its...



News published on 3 may 2022 at 16:25 and distributed by: