Equitable Holdings tops Q3 profit estimates, misses on revenue

Equitable Holdings (EQH) topped profit estimates for the third quarter but missed on revenue, the company said in results released on Nov. 2.

Non-GAAP operating earnings per share were $2.13, up from $1.48 a year earlier. That beat the $1.88 consensus estimate compiled by Finnhub. Excluding notable items, the figure was $1.98 per share.

Total revenues were $3.88 billion. That rose from $1.45 billion a year earlier but fell short of the $4.03 billion estimate.

Here's how the company did:

• Non-GAAP operating EPS: $2.13 vs. $1.48 a year earlier, against $1.88 expected
• Total revenues: $3.88 billion vs. $1.45 billion a year earlier, against $4.03 billion expected
• Net income attributable to Holdings: $1.12 billion vs. a net loss of $1.31 billion a year earlier

Equitable Holdings is a financial services holding company comprising Equitable, AllianceBernstein and Equitable Advisors. It had $1.2 trillion in assets under management and administration as of Sept. 30.

Segment results

Retirement operating earnings rose to $432 million from $405 million a year earlier, helped by higher fee-based revenue, growth in net interest margin and an actuarial assumption update.

First-year premiums in Retirement were $6.2 billion, up 14% from a year earlier.

Asset Management operating earnings slipped to $152 million from $154 million. AllianceBernstein posted $6.6 billion of net inflows, including $15.7 billion in institutional, offset by outflows in retail and private wealth.

Wealth Management operating earnings rose to $75 million from $59 million. Advisory net inflows were $2.7 billion in the quarter.

Guidance and capital returns

The company said it is delivering on its guidance for growth of more than 15% in 2026, and it remains on track for a 60% to 70% payout ratio for the year.

Equitable returned $320 million to shareholders in the quarter, including $82 million in dividends and $238 million in share repurchases.

The company completed the sale of its Employee Benefits business to The Hartford on Oct. 13. The merger with Corebridge Financial, subject to regulatory approvals, is expected to close by year-end 2026.

President and Chief Executive Officer Mark Pearson said the company sees “tremendous demand for the financial advice and retirement, protection, and asset management solutions we provide.”

Pearson said the Corebridge merger “will bring greater scale, an expanded product offering and broader distribution.”