By Adriano Marchese
Ally Financial swung to a profit and saw higher revenue in the first quarter as the company lapped last year's heavy one-time charges.
The online bank and auto lender on Friday reported net income of $291 million, or 93 cents a share, compared with a loss of $253 million, or 82 cents a share, in the same quarter a year ago.
Adjusted earnings were $1.11 a share. According to FactSet, analysts were expecting 90 cents a share.
Net revenue rose 36% to $2.1 billion, just shy of analyst expectations of $2.14 billion. The rise was due largely to other revenue, which was up $450 million at $513 million due to a one-time loss in the previous year.
Provision for credit losses, which is money put aside to cover any bad loans, increased $276 million to $467 million.
Return on common equity was 8.8%, compared with an 8.6% decline a year earlier.
The common equity tier 1 ratio, a measure of how much capital a bank has relative to the risks it takes, was 10.1%, representing a 60 basis-point increase.
Write to Adriano Marchese at adriano.marchese@wsj.com
(END) Dow Jones Newswires
April 17, 2026 07:37 ET (11:37 GMT)
Copyright (c) 2026 Dow Jones & Company, Inc.