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Sep 30, 2023

Ally Q3 2023 Earnings Report

Ally reported solid operating and financial results driven by strength in auto finance and insurance, but affected by the interest rate environment.

Key Takeaways

Ally Financial reported a net income attributable to common shareholders of $269 million, with GAAP earnings per share of $0.88. The results were affected by the high interest rate environment, but the company saw strength in auto finance and insurance. The company focused on managing expenses and navigating the dynamic market backdrop.

Proactive expense management driving $80M annual benefit through lower headcount ($30M restructuring cost | $0.08 EPS)

Valuation allowance release and state law change drove significant tax benefits within the quarter ($94M tax benefit | $0.31 EPS)

A record 3.7 million consumer auto applications driving $10.6 billion of origination volume

Insurance earned premiums of $324 million; highest since 2009

Total Revenue
$2.04B
Previous year: $2.09B
-2.5%
EPS
$0.83
Previous year: $1.12
-25.9%
Net Interest Margin
3.24%
Previous year: 3.81%
-15.0%
Auto Originations
$10.6B
Previous year: $12.3B
-13.8%
Gross Profit
$547M
Previous year: $725M
-24.6%
Cash and Equivalents
$8B
Previous year: $4.6B
+73.9%
Total Assets
$196B
Previous year: $189B
+3.7%

Ally

Ally

Ally Revenue by Segment

Forward Guidance

Ally did not provide specific forward guidance in this earnings report.

Revenue & Expenses

Visualization of income flow from segment revenue to net income