Voya Financial Inc. is targeting annual adjusted operating EPS growth of at least 10% on a normalized basis through 2021 with the help of organic growth, cost savings and capital deployment.
On a normalized basis, the company anticipates its retirement business to grow earnings by 4% to 7%; the investment management business to increase earnings between 5% and 8%; and the employee benefits business to increase earnings between 7% and 10% per year through 2021.
The company also expects uplift from earnings in its individual life segment, which will stop new business sales, effective Dec. 31.
Voya Financial Chairman and CEO Rodney Martin Jr. said the company is also seeking $100 million of cost savings by the end of 2020, in addition to the previous target of $110 million to $130 million of cost savings by the middle of 2019 and the $20 million of expected savings from the individual life decision.
He also said more share repurchases are being planned. The company is looking to raise its common share dividend to a dividend yield of at least 1% by mid-2019.
Voya Financial seeks to meet its adjusted operating EPS growth goal while preserving strong returns and generating an enterprise operating return on equity of between 13% and 15%, Martin said.