Q1 24 EPS
$0.45
BEAT +36.36%
Est. $0.33
Q1 24 Revenue
$1.99B
BEAT +1.48%
Est. $1.96B
vs S&P Since Q1 24
-22.1%
TRAILING MARKET
ALLY +24.6% vs S&P +46.8%
Market Reaction
Did ALLY Beat Earnings? Q1 2024 Results
Ally Financial cleared a low bar in convincing fashion during the first quarter of 2024, posting adjusted EPS of $0.45 against a consensus estimate of $0.33, a beat of 36.36%, even as the year-over-year earnings picture remained under pressure. Reven… Read more Ally Financial cleared a low bar in convincing fashion during the first quarter of 2024, posting adjusted EPS of $0.45 against a consensus estimate of $0.33, a beat of 36.36%, even as the year-over-year earnings picture remained under pressure. Revenue of $1.99 billion edged past the $1.96 billion consensus by 1.48%, though the headline figure reflected a steep 47.8% decline from the prior-year period, underscoring the ongoing squeeze from elevated funding costs that compressed net interest margin by 38 basis points year over year to 3.13%. The primary drag was net financing revenue of $1.46 billion, which fell $146 million from a year ago as higher deposit and wholesale funding costs offset improving retail auto loan yields. Looking ahead, management guided full-year net interest margin of 3.25% to 3.30% with an exit rate of 3.40% to 3.50%, signaling confidence in a gradual recovery as higher-yielding loan vintages season through the portfolio and the company prepares for a leadership change with Michael Rhodes taking the CEO role effective April 29.
Key Takeaways
- • Record 3.8 million consumer auto applications driving $9.8 billion origination volume
- • Retail auto originated yield of 10.92% with 40% of volume in highest credit quality S-tier
- • Retail auto portfolio yield excluding hedges increased 99 bps YoY to 8.65%
- • Insurance earned premiums of $349 million, up 13% YoY
- • Insurance written premiums of $354 million, up 15% YoY
- • Retail deposits up $2.9 billion QoQ to $145.1 billion with 103K net new customers
- • Corporate Finance HFI portfolio of $10.1 billion with 31% ROE
- • SmartAuction and Passthrough revenue momentum driving dealer value proposition
- • Higher funding costs pressured net interest margin down 38 bps YoY to 3.13%
- • 2H 2022 vintage working through peak loss period accounting for 41% of Q1 loss content
- • Consolidated net charge-off rate of 1.55% vs 1.20% in Q1 2023
- • Total available liquidity of $68.3 billion, up $4.9 billion QoQ
- • Adjusted efficiency ratio of 60.2% vs 55.8% in Q1 2023
- • Core ROTCE of 6.5% vs 12.5% in Q1 2023
- • Average retail deposit rate rose to 4.25% from 3.16% a year ago
ALLY YoY Financials
Q1 2024 vs Q1 2023, source: SEC Filings
ALLY Revenue by Segment
With YoY comparisons, source: SEC Filings
“Ally's financial and operating results in the first quarter reflect the strength and scale of our market leading franchises. Our teammates remain focused on what we can control, caring for our customers and communities, and consistently executing against our strategic priorities, driving long-term shareholder value.”
— Doug Timmerman, Q1 2024 Earnings Press Release
ALLY Earnings Trends
ALLY vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
ALLY EPS Trend
Earnings per share: estimate vs actual
ALLY Revenue Trend
Quarterly revenue: estimate vs actual
ALLY Quarterly Results
10 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q1 26 BEAT | $0.94 | $1.11 | +17.93% | $2.10B | -1.68% |
| Q4 25 BEAT FY | $1.02 | $1.09 | +6.54% | $2.12B | -0.94% |
| FY Full Year | — | $3.81 | — | $7.91B | — |
| Q3 25 BEAT | $1.01 | $1.15 | +14.08% | $2.17B | +2.88% |
| Q2 25 BEAT | $0.80 | $0.99 | +23.86% | $2.08B | +2.20% |
| Q1 25 BEAT | $0.42 | $0.58 | +36.76% | $1.54B | -21.79% |
| Q4 24 BEAT FY | $0.57 | $0.78 | +36.53% | $2.03B | +0.08% |
| FY Full Year | $2.95 | $2.35 | -20.44% | $8.18B | +0.80% |
| Q3 24 BEAT | $0.53 | $0.95 | +79.25% | $2.10B | +3.59% |
| Q2 24 BEAT | $0.64 | $0.97 | +51.56% | $2.00B | -1.48% |
| Q1 24 BEAT | $0.33 | $0.45 | +36.36% | $1.99B | +1.48% |
| Q4 23 BEAT FY | $0.45 | $0.45 | +0.00% | $2.07B | +3.57% |
| FY Full Year | — | $3.05 | — | $8.21B | — |