Retirement investment and insurance provider Voya Financial, which has major operations in Windsor, said its third-quarter profits grew nearly 16 percent on a positive swing in its variable annuities business, which the company is currently winding down.
Voya, formerly ING U.S., earned profits of $401 million, or $1.58 per share diluted, for the quarter ended Sept. 30, up from $347 million, or $1.32, in the third quarter of 2013.
The increase came despite lower operating earnings across its two largest business segments — retirement and annuities — and a non-recurring bankruptcy settlement and other gains worth $78 million in the year-ago quarter.
Voya’s closed-block variable annuities segment made the difference, with $85 million in operating earnings, up from a loss of $109 million a year ago. Closed-block means the insurer is not long selling new variable annuity products, but is still servicing existing customers.
The company repurchased $325 million of its common stock during the quarter, including 7.7 million shares from ING Group, reducing the Dutch former parent company’s stake to 32.5 percent.
