Equitable Holdings Stock Earnings Reports

Equitable reported solid Q1 2026 results and reiterated 2026 guidance while announcing a planned merger with Corebridge that management says will create a diversified, scaled financial services franchise. Key financials: non-GAAP operating earnings of $472 million ($1.62/share) and $1.68/share after notable items, a 25% YoY increase in EPS; assets under management of $1.1 trillion (up 9% YoY); adjusted book value per share ex-AOCI (with AB market value) of $34.70; and $1.2 billion of holding company liquidity. Business trends: retirement sales and net inflows were strong (RILA sales up 14%, $1.3 billion net inflows), wealth management produced $2 billion of advisory net inflows and 13% organic growth over 12 months, and AllianceBernstein (AB) saw $7.1 billion net outflows but retains strong private markets and a near $28 billion institutional pipeline. Alternative portfolio returns were pressured in Q1 (annualized 3.5%) and management now expects full-year alt returns below prior 8%–9% guidance. Capital and balance sheet: pro forma combined NAIC RBC ~475%, pro forma GAAP book value > $30 billion, statutory capital > $25 billion, pro forma leverage ~26%; stress testing shows resilience even under severe credit and equity shocks. Merger rationale and benefits: management expects at least $500 million of expense synergies, day-1 EPS accretion with run-rate EPS accretion of 10%+ by end of 2028 (excluding potential revenue synergies), at least $100 billion of incremental assets to AB over time, expanded distribution (roughly 900 third-party firms), and projected annual cash flow to the holding company > $4 billion. Capital return: management plans to be active in buybacks during permitted windows and remains committed to a 60%–70% payout ratio for 2026; any remaining buyback commitments may be completed via an ASR post-close. Risks and near-term headwinds: AB near-term flows may remain volatile, alternative returns are weaker than prior guidance, and PGAAP accounting impacts of the merger (including goodwill and VOBA/DAC effects) will be finalized closer to close.