Voya Financial, which has a Windsor campus, said its fourth quarter profits jumped more than 60 percent, beating analysts’ expectations.
Net income totaled $1.4 billion, or $5.66 per diluted share, up from $548 million, or $2.08, in the year-ago quarter. Operating earnings were $377 million, up from $305 million.
The large profit increase was due to Voya’s release of what’s known as a tax valuation allowance.
The allowance, valued at $1.64 billion, had been held to cover the value of deferred tax assets.
Voya said it released the allowance because the company’s financial results and strengthening financial condition led it to conclude that it would realize a substantial portion of those assets.
By comparison, the allowance was just $209 million in the final quarter of 2013.
Voya’s retirement segment — its largest — returned operating earnings of $145 million, up from $134 million, while its individual life insurance segment’s operating earnings more than doubled from $47 million to $103 million.
For the full year, Voya booked $2.38 billion in profits, or $9.02 per share, up from $601 million, or $2.38, in 2013.
The full-year tax allowance release totaled $1.85 billion, up from $390.1 million.
