NYSE$EQH

Equitable Holdings Inc. · Q3 2020 earnings

Q3 2020 earnings · · Investor relations

Briefing

Equitable Holdings reported a net loss but strong non-GAAP operating earnings, driven by solid AUM growth and strategic execution.

Equitable Holdings reported a GAAP net loss of $779 million, or $1.77 per common share, but achieved non-GAAP operating earnings of $568 million, or $1.24 per common share. The company saw a 6% increase in assets under management, reaching $746 billion, and achieved its $75 million productivity target ahead of schedule. They also announced $500 million in incremental share repurchases for 2021.

  • Reported a GAAP Net loss of $779 million, or $1.77 per common share.
  • Achieved non-GAAP operating earnings of $568 million, or $1.24 per common share.
  • Assets Under Management grew by 6% to $746 billion.
  • Achieved run rate $75 million productivity target ahead of plan.

Headline financials

Total Revenue

$1.84B

Previous: $3.03B-39.2%
EPS (adj)

$1.24

Previous: $1.38-10.1%
Total Assets Under Management/Administration

$746B

Previous: $701B+6.4%
Free Cash Flow

-$779M

Previous: -$384M-102.9%
Net Income

-$779M

Previous: -$384M-102.9%
Operating Income

-$224M

Previous: $79M-383.5%
Gross Profit

$500M

Previous: $967M-48.3%
Cash & Equivalents

$8.68B

Previous: $4.47B+94.2%
Total Assets

$262B

Previous: $245B+7.3%

Revenue & EPS history

Equitable Holdings · Revenue · Quarterly

$1.84B

Q3 2020-39.2%vs Q3 2019
Beat estimate in 6 of 13 quarters(46%)
ActualEstimate

Revenue by segment

Equitable Holdings · $1.68B total across 3 segments · Q3 2023

  • Asset Management Operating Earnings
    $1.03B+3.8%
  • Wealth Management Operating Earnings
    $390M+10.5%
  • Corporate and Other Operating Loss
    $257M+15.8%

Forward guidance

Equitable Holdings expects to continue delivering on its 50-60% target payout ratio, and it recently announced Board approval for an incremental $500 million of share repurchases in 2021, subject to the close of its legacy variable annuity reinsurance transaction.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2020

Historical avgQ3 2020

-0.2%

Avg return

Earnings day

+0.5%

Avg return

5 days after

+0.7%

Avg return

30 days after

57%

21 / 37 earnings

Positive

+8.8%

Q1 2020

Best reaction

-10.7%

Q4 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.0%+2.7%-3.1%
Q4 2025-3.1%+1.9%-12.4%
Q3 2025-7.4%-8.7%-6.2%
Q1 2025-3.1%-1.4%+3.6%
Q4 2024-2.3%+0.4%-5.9%
Q3 2024-1.4%+4.9%+5.7%
Q2 2024+1.7%-8.7%-2.0%
Q1 2024+3.0%+2.9%+10.8%
Q4 2023+3.2%+3.3%+2.8%
Q3 2023-4.1%+5.2%+16.8%
Q2 2023-1.3%+0.4%+0.8%
Q1 2023-8.0%-5.7%+3.0%
Q4 2022-2.0%-0.2%-16.0%
Q3 2022-8.2%-1.7%+3.4%
Q2 2022+3.6%+3.5%+6.7%
Q1 2022-5.7%-5.2%+0.1%
Q4 2021-4.5%-4.5%-17.4%
Q3 2021+3.8%+2.3%-7.9%
Q2 2021+1.5%+2.1%-0.1%
Q1 2021+1.5%-0.6%-9.2%
Q4 2020+4.7%+0.7%+7.5%
Q3 2020+2.5%+7.9%+21.0%
Q2 2020+1.1%+3.0%+1.4%
Q1 2020+8.8%+0.1%+35.3%
Q4 2019-10.7%-9.0%-38.1%
Q3 2019-0.8%+4.7%+10.0%
Q2 2019+4.1%+2.8%+3.9%
Q1 2019+0.9%-3.3%-5.2%
Q4 2016+2.6%+2.8%+11.0%
Q4 2018+5.0%+4.4%+4.7%
Q3 2018-2.6%-5.5%-18.2%
Q2 2018+2.7%+4.4%+5.4%
Q2 2017+2.7%+4.4%+5.4%
Q3 2017+2.7%+4.4%+5.4%
Q4 2017+1.5%-1.5%+0.1%
Q1 2017+1.5%+1.0%+1.2%
Q1 2018+1.0%+3.6%+0.2%
Q3 2016
Q2 2016
Q1 2016

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