Ally Financial (ALLY) investor relations material

Executive summary

• Adjusted EPS rose 90% year-over-year to $1.11, with GAAP EPS at $0.93 and core ROTCE up 440 bps to 11.1%.

• Net income attributable to common shareholders was $291 million, reversing a $253 million loss in the prior year.

• Record application flow and origination volumes, with consumer auto originations up 13% year-over-year to $11.5 billion from 4.4 million applications.

• Insurance written premium hit a first-quarter record at $389 million, supporting dealer relationships and inventory exposure up 12%.

• The company maintained its “Focused. Forward.” strategy, emphasizing scale in core businesses and digital banking leadership.

Financial highlights

• Adjusted net revenue was $2.2 billion, up 6% year-over-year; GAAP net revenue was $2.1 billion.

• Net financing revenue (ex-OID) increased 8% year-over-year to $1.61 billion.

• Adjusted provision expense fell $23 million year-over-year, while provision for credit losses increased $276 million due to prior year reserve releases.

• Adjusted non-interest expense dropped $85 million year-over-year; noninterest expense decreased $399 million, reflecting business exits and lower weather losses.

• Adjusted tangible book value per share reached $41, up 14% year-over-year.

Outlook and guidance

• Guidance for 2026 Retail Auto NCOs remains at 1.8%-2%; consolidated NCO at 1.2%-1.4%.

• Net interest margin guidance unchanged at 3.60%-3.70% for the year, with expectations to exit at or above the high end.

• Adjusted noninterest expense expected to rise 2–4% year-over-year; tax rate guidance at 20–22%.

• Full-year guidance assumes no Fed funds rate cut until June 2027.

• Mid-teens ROTCE target reaffirmed, with high confidence in achieving it.