Ally Financial Inc. (ALLY)

Ally reported third-quarter 2026 earnings of $1.30 per share, up 10 percent from a year earlier, on total net revenue of $2.3 billion 1.

Pre-tax income was $567 million, up 11 percent, and consumer auto originations reached $12.9 billion, up 10 percent 1.

Provision for credit losses, the money set aside for expected loan losses, rose $114 million to $529 million, mainly because reserves grew along with assets 1.

Ally repurchased $178 million of its shares in the quarter, and its board declared a fourth-quarter dividend of $0.35 per share, payable on 16 November 2026 14.

Among its other recent filings, a current report says the board amended and restated the bylaws effective 5 October 2026 6.

Another says Ally issued $750 million of 5.525% senior notes due 2030 on 16 September 2026 5.

Ally says its revised outlook reflects confidence in achieving or exceeding its 2026 targets, with net interest margin of 3.60% to 3.65% 2.

Ally had $196.0 billion in assets at the end of 2025 and describes itself as the nation's largest all-digital bank joined to an automotive financing and insurance business 3.

Its dealer relationships were built over more than 100 years, and they remain the base of the car lending and insurance lines 3.

In recent years Ally narrowed its focus and closed the sale of Ally Lending on 1 March 2024 and of Ally Credit Card on 1 April 2025 3.

Consumer mortgage originations stopped in the second quarter of 2025, so that loan book is shrinking gradually as loans are repaid 3.

Staff fell to about 10,300 at the end of 2025 from 10,700 a year earlier, which the company links to the card sale, the end of mortgage originations and workforce reductions 3.

Total net revenue was $8,234 million in 2023, $8,181 million in 2024 and $7,914 million in 2025 3.

Net income from continuing operations was $959 million in 2023, $669 million in 2024 and $852 million in 2025 3.

The 2025 rise came mainly from a lower provision for credit losses and higher net financing revenue, which grew $162 million as lower interest rates cut what Ally pays on deposits 3.

Goodwill impairments tied to the card sale were $118 million in 2024 and $305 million in 2025, and a $361 million loss on investments came from repositioning securities 3.

Pre-tax income at Automotive Finance, the largest line, fell from $2,214 million in 2023 to $1,816 million in 2024 and $1,640 million in 2025 3.

Automotive finance

Automotive Finance lends to car buyers and dealers, and it had $115.8 billion of assets and $5.6 billion of total net revenue in 2025 3.

It purchases retail installment contracts and leases from dealers, finances dealer floorplans (the loans that fill a showroom with cars) and offers fleet financing 3.

Third-quarter consumer originations of $12.9 billion included $8.2 billion of used cars, $4.2 billion of new cars and $474 million of leases 1.

The retail auto net charge-off rate, the share of loans written off as lost, was 1.89 percent, and loans 30 or more days late were 4.96 percent 1.

Insurance

Insurance sells finance protection and insurance products mostly through car dealers in the U.S. and Canada, plus commercial insurance sold directly to dealers 3.

Third-quarter written premiums were $388 million and pre-tax income was $80 million 1.

Corporate Finance

Corporate Finance makes senior-secured loans to middle-market companies owned by private-equity sponsors and to asset managers 3.

Its held-for-investment loan portfolio was $15.8 billion, all first lien, and its return on equity was 22 percent 1.

Ally Bank and Ally Invest

Ally Bank describes itself as the largest online-only bank in the U.S. by retail deposit balances, with $143.5 billion of retail deposits at the end of 2025 3.

In the third quarter it served 3.6 million deposit customers, and the chief executive said it introduced a fee-free rewards experience called Loyally 1.

Ally Invest offers self-directed trading in stocks, options, ETFs, mutual funds and fixed-income products 3.

People, offices and rivals

Michael Rhodes is chief executive, and the company had about 10,300 employees at the end of 2025 13.

Its main offices are in Detroit, where it leases about 403,000 square feet, and Charlotte, where it owns about 632,000 square feet 3.

Rivals in car financing include banks, credit unions, captive automotive finance companies and independent finance companies 3.

The umbrella, in words

Exhibit 21 to the annual report lists three subsidiaries: Ally Bank (Utah), Ally Insurance Holdings Inc. (Delaware) and IB Finance Holding Company, LLC (Delaware) 8.

Ally Bank is a Utah commercial bank whose deposits are insured by the FDIC, and Ally is registered as a bank holding company 3.

A Schedule 13G/A from BlackRock, Inc., covering 30 June 2025, reports it beneficially owns 25,418,115 common shares, or 8.3 percent of the class 9.

Ally says its revised outlook reflects confidence in achieving or exceeding its 2026 targets, with net interest margin of 3.60% to 3.65% 2.

The board declared a quarterly dividend of $0.35 per share payable on 16 November 2026 to holders of record on 2 November 2026 4.

The annual report says Ally intends to improve efficiency through AI and automation 3.

It also says Corporate Finance seeks to deepen ties with private equity sponsors and asset managers while reviewing opportunities in other markets and industries 3.

Shareholders approved a 2026 incentive plan on 6 May 2026 that authorizes 25,217,502 shares of common stock for awards to employees and directors 7.

For Ally Bank, it says the focus is on growing customers who consider it their primary bank 3.

The quarterly report says there were no material changes to the risk factors in the annual report 4.