Equitable Holdings Q3 2026: EPS Beat as Corebridge Deal Looms

Equitable Holdings posted non-GAAP operating EPS of $2.13 for the third quarter, beating expectations. That extended a streak running through 2026, with Q1 and Q2 also ahead of expectations after several quarters of misses in 2024 and early 2025.

Net income reached $1.12 billion, reversing a net loss of $1.31 billion in the year-ago period. A favorable variable annuity product feature adjustment and a positive actuarial assumption update drove much of that improvement, so investors will want to separate the structural earnings trend from those one-time tailwinds.

The organic business gained ground across segments. Retirement revenue rose 18.3% year over year and Wealth Management revenue grew 16.6%, with advisory inflows and assets under advisement both climbing. AllianceBernstein drew net inflows, though its earnings were pressured by a lower fee rate and higher expenses.

Management pointed out that nine-month non-GAAP operating EPS growth of 22% already delivers on its full-year guidance of greater than 15% growth, with one quarter still to report. CEO Mark Pearson said the company returned $320 million to shareholders in the quarter, keeping it on track for a 60-70% payout ratio for the year.

The biggest variable heading into year-end is the pending merger with Corebridge Financial, which management expects to close by year-end 2026 subject to regulatory approvals. Equitable completed the sale of its Employee Benefits business to The Hartford on October 13, 2026, streamlining the portfolio ahead of that combination. Revenue of $3.88 billion came in missing expectations, worth monitoring as the company integrates a significantly larger balance sheet.