Ally Financial Stock Earnings Reports

Ally reported strong third-quarter 2025 results driven by its refreshed strategy and momentum across its three core franchises (Dealer Financial Services, Corporate Finance, and the Digital Bank). Adjusted EPS rose 166% to $1.15, core ROTCE was 15% (about 12% excluding AOCI), and adjusted net revenue was $2.2 billion (up 3% YoY; +9% YoY excluding the sold credit card business). Net interest margin (ex OID) expanded to 3.55% (up 10 bps QoQ). Credit continued to normalize: consolidated NCOs improved (retail auto NCO 1.88%), 30+ delinquencies declined to 4.9%, and the company now expects full-year retail auto NCOs around 2% (consolidated ~1.3%). CET1 was 10.1%, equal to roughly $4.5 billion of excess capital above the regulatory minimum; Ally continues to prioritize disciplined capital deployment (dividend maintained at $0.30 and share buybacks remain a priority, with timing contingent on further capital build). Originations were strong — consumer originations $11.7B (record 4M applications) with 42% in the highest credit tier — and Ally sees selective, high-quality growth opportunities. Management emphasized expense discipline, roll-out of an internal AI platform (ally.ai) to employees, continued remixing of the balance sheet toward higher-yielding assets, and opportunistic use of CRT transactions to supplement capital. Outlook: narrowed NIM guide to 3.45%–3.50% for the year (expecting Q4 NIM roughly flat vs Q3 amid Fed cuts), medium-term path to upper-3% NIM, full-year consolidated NCOs ~1.3%, and low single-digit earning-asset growth expected over the medium term with faster growth in retail auto and corporate finance.