[Note Regarding Forward-Looking Statements and Information](index=4&type=section&id=Note%20Regarding%20Forward-Looking%20Statements%20and%20Information) This section cautions that forward-looking statements are based on current expectations but involve risks and uncertainties that could cause actual results to differ materially - Forward-looking statements are based on management's current expectations and beliefs, but actual results may differ materially due to various risks and uncertainties[10](index=10&type=chunk) - Key risk factors include conditions in financial markets and economy (geopolitical conflicts, interest rate fluctuations, equity market volatility), operational factors (reliance on subsidiary dividends, data protection, strategic transactions), credit and investment risks (counterparty default, economic downturns), reinsurance and hedging programs, product features (variable annuity guarantees), estimates and valuations, asset management segment fluctuations, employee retention, legal and regulatory risks, common stock risks, and general industry competition[11](index=11&type=chunk) PART I - FINANCIAL INFORMATION [Item 1. Consolidated Financial Statements](index=5&type=section&id=Item%201.%20Consolidated%20Financial%20Statements) This section presents the unaudited consolidated financial statements, including balance sheets, income, comprehensive income, equity, and cash flow statements, with detailed notes [Consolidated Balance Sheets](index=6&type=section&id=Consolidated%20Balance%20Sheets) The Consolidated Balance Sheets provide a snapshot of the company's financial position, showing an increase in total assets and liabilities, while equity attributable to Holdings decreased | Metric | June 30, 2025 (in millions) | December 31, 2024 (in millions) | | :-------------------------- | :-------------------------- | :-------------------------- | | Total Assets | $303,088 | $295,727 | | Total Liabilities | $300,125 | $292,179 | | Total Equity | $2,605 | $3,423 | | Equity attributable to Holdings | $1,149 | $1,565 | Key Asset Changes (June 30, 2025 vs. December 31, 2024) | Asset Category | June 30, 2025 (in millions) | Dec 31, 2024 (in millions) | Change (in millions) | | :------------------------------ | :-------------------------- | :------------------------- | :------------------- | | Total investments | $121,798 | $116,441 | $5,357 | | Cash and cash equivalents | $14,957 | $6,964 | $7,993 | | Purchased market risk benefits | $5,543 | $7,376 | $(1,833) | | Separate Accounts assets | $131,683 | $134,717 | $(3,034) | Key Liability Changes (June 30, 2025 vs. December 31, 2024) | Liability Category | June 30, 2025 (in millions) | Dec 31, 2024 (in millions) | Change (in millions) | | :---------------------------------- | :-------------------------- | :------------------------- | :------------------- | | Policyholders' account balances | $123,359 | $110,929 | $12,430 | | Liability for market risk benefits | $10,187 | $11,810 | $(1,623) | | Long-term debt | $4,332 | $3,833 | $499 | | Separate Accounts liabilities | $131,683 | $134,717 | $(3,034) | [Consolidated Statements of Income (Loss)](index=8&type=section&id=Consolidated%20Statements%20of%20Income%20(Loss)) The Consolidated Statements of Income (Loss) reflect a shift from net income in Q2 2024 to a net loss in Q2 2025, primarily due to substantial net derivative losses | Metric | Three Months Ended June 30, 2025 (in millions) | Three Months Ended June 30, 2024 (in millions) | | :------------------------------------------ | :--------------------------------------------- | :--------------------------------------------- | | Net income (loss) attributable to Holdings | $(349) | $428 | | Diluted EPS | $(1.21) | $1.23 | | Metric | Six Months Ended June 30, 2025 (in millions) | Six Months Ended June 30, 2024 (in millions) | | :------------------------------------------ | :------------------------------------------- | :------------------------------------------- | | Net income (loss) attributable to Holdings | $(286) | $520 | | Diluted EPS | $(1.04) | $1.45 | Key Revenue Changes (Three Months Ended June 30, 2025 vs. 2024) | Revenue Category | 2025 (in millions) | 2024 (in millions) | Change (in millions) | | :-------------------------------- | :----------------- | :----------------- | :------------------- | | Net derivative gains (losses) | $(1,374) | $(208) | $(1,166) | | Net investment income (loss) | $1,355 | $1,167 | $188 | | Investment management and service fees | $1,272 | $1,240 | $32 | Key Benefits and Other Deductions Changes (Three Months Ended June 30, 2025 vs. 2024) | Deduction Category | 2025 (in millions) | 2024 (in millions) | Change (in millions) | | :---------------------------------------------------------- | :----------------- | :----------------- | :------------------- | | Change in market risk benefits and purchased market risk benefits | $(606) | $(132) | $(474) | | Interest credited to policyholders' account balances | $796 | $599 | $197 | | Policyholders' benefits | $787 | $667 | $120 | [Consolidated Statements of Comprehensive Income (Loss)](index=9&type=section&id=Consolidated%20Statements%20of%20Comprehensive%20Income%20(Loss)) The Consolidated Statements of Comprehensive Income (Loss) show a shift to a comprehensive loss in Q2 2025, but a significant comprehensive income for the six-month period, driven by investment gains | Metric | Three Months Ended June 30, 2025 (in millions) | Three Months Ended June 30, 2024 (in millions) | | :---------------------------------------------- | :--------------------------------------------- | :--------------------------------------------- | | Comprehensive income (loss) attributable to Holdings | $(214) | $(56) | | Metric | Six Months Ended June 30, 2025 (in millions) | Six Months Ended June 30, 2024 (in millions) | | :---------------------------------------------- | :------------------------------------------- | :------------------------------------------- | | Comprehensive income (loss) attributable to Holdings | $994 | $(358) | Total Other Comprehensive Income (Loss), Net of Income Taxes (Six Months Ended June 30, 2025 vs. 2024) | OCI Component | 2025 (in millions) | 2024 (in millions) | Change (in millions) | | :---------------------------------------------------------- | :----------------- | :----------------- | :------------------- | | Change in unrealized gains (losses), net of reclassification adjustment | $918 | $(922) | $1,840 | | Change in market risk benefits - instrument-specific credit risk | $414 | $(139) | $553 | | Change in liability for future policy benefits - current discount rate | $(92) | $165 | $(257) | [Consolidated Statements of Equity](index=10&type=section&id=Consolidated%20Statements%20of%20Equity) The Consolidated Statements of Equity show a decrease in total equity for the six months ended June 30, 2025, primarily due to share repurchases and preferred stock redemption | Metric | June 30, 2025 (in millions) | December 31, 2024 (in millions) | | :---------- | :-------------------------- | :-------------------------- | | Total Equity | $2,605 | $3,423 | Key Changes in Equity Attributable to Holdings (Six Months Ended June 30, 2025) | Item | Amount (in millions) | | :---------------------------------- | :------------------- | | Balance, beginning of period | $1,565 | | Purchase of treasury stock | $(497) | | Purchase of AB Holding units | $(443) | | Dividends on common stock | $(156) | | Dividends on preferred stock | $(32) | | Redemption of preferred stock | $(279) | | Net income (loss) | $(286) | | Other comprehensive income (loss) | $1,280 | | Balance, end of period | $1,149 | [Consolidated Statements of Cash Flows](index=12&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) The Consolidated Statements of Cash Flows indicate a significant increase in cash and cash equivalents, primarily driven by financing activities, despite decreased cash from operating and investing activities | Metric | Six Months Ended June 30, 2025 (in millions) | Six Months Ended June 30, 2024 (in millions) | | :------------------------------------------ | :------------------------------------------- | :------------------------------------------- | | Net cash provided by (used in) operating activities | $499 | $923 | | Net cash provided by (used in) investing activities | $(3,717) | $(7,927) | | Net cash provided by (used in) financing activities | $11,170 | $8,309 | | Cash and cash equivalents, end of period | $14,957 | $9,684 | Key Financing Activities (Six Months Ended June 30, 2025) | Item | Amount (in millions) | | :------------------------------------------ | :------------------- | | Policyholders' account balances: Deposits | $14,931 | | Policyholders' account balances: Withdrawals | $(4,637) | | Change in collateralized pledged liabilities | $1,298 | | Issuance of long-term debt | $495 | | Proceeds from notes issued by consolidated VIEs | $1,203 | | Purchase of AllianceBern

Financial Data and Key Metrics Changes - Non-GAAP operating earnings were $352 million or $1.1 per share, down 23% year over year on a per share basis, with notable items adjusted EPS at $1.41, down 8% compared to the prior year [6][10][20] - Total assets under management and administration rose 8% year over year to $1.1 trillion, indicating strong future earnings growth potential [22] - The adjusted book value per share was $40.89, up 11% year over year, reflecting a more meaningful valuation than reported book value [22] Business Line Data and Key Metrics Changes - Retirement businesses produced $1.9 billion of net inflows in the second quarter, driven by strong rider sales and $250 million of BlackRock LifePath paycheck net inflows [8] - Wealth Management had $2 billion of advisory net inflows, with a trailing twelve-month organic growth rate of 12% [8] - Asset Management reported net outflows of $6.7 billion, with active net outflows of $4.8 billion, but returned to net inflow in June [9] Market Data and Key Metrics Changes - The company experienced elevated individual life mortality claims, which were a primary driver of the decline in earnings [7] - The market conditions improved in the second quarter, contributing to a strong recovery in assets under management [8] Company Strategy and Development Direction - The company is focused on organic growth across retirement, asset management, and wealth management businesses, leveraging an integrated business model [5] - The individual life reinsurance transaction with RGA is expected to reduce earnings volatility and enhance returns on capital [10][18] - The company aims to grow annual cash generation to $2 billion by 2027 and maintain a payout ratio of 60% to 70% [12] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about growth prospects in the second half of the year, supported by recovering markets and reduced mortality exposure [7][35] - The company expects EPS growth to accelerate in 2025, with confidence in achieving 2027 financial targets [35][60] Other Important Information - The company returned $318 million to shareholders in the second quarter, representing a 74% payout ratio, above the target range [10][32] - The company plans to execute at least $500 million of incremental share repurchases and repay some debt before year-end [10][34] Q&A Session Summary Question: How should we think about the growth in earnings beyond the third quarter baseline? - Management indicated that the baseline for third quarter earnings is $220 million to $225 million, with expectations for growth supported by equity market rebounds [39][44] Question: Is there sensitivity to the outlook if the Fed starts cutting rates? - Management clarified that profitability is more influenced by ten-year treasury rates and corporate spreads rather than short-term rates [46] Question: How do the economics of products sold through Wealth Management compare to third-party sales? - Management noted that products sold through Wealth Management have better persistency and higher margins due to closer client relationships [47] Question: What is the plan for capital management post-RGA transaction? - Management confirmed plans for $500 million in share buybacks and potential debt reduction, with no immediate plans for additional extraordinary dividends [55][56] Question: How long is the RILA roll-off dynamic expected to continue? - Management expects the older business to run off over the next few quarters, with a focus on maintaining growth momentum [72][74] Question: What benefits does the Bermuda entity provide? - The Bermuda framework allows for better economic management of liabilities and consistency in cash flows, enhancing shareholder value [76][80]

Financial Data and Key Metrics Changes - Non-GAAP operating earnings were $352 million or $1.1 per share, down 23% year over year on a per share basis [5][20] - Adjusted for notable items, non-GAAP operating EPS was $1.41, down 8% compared to the prior year, primarily due to elevated individual life mortality claims [5][20] - Total assets under management and administration rose 8% year over year to $1.1 trillion, indicating strong future earnings growth potential [22] Business Line Data and Key Metrics Changes - Retirement businesses produced $1.9 billion of net inflows in the second quarter, driven by strong rider sales and $250 million of BlackRock LifePath paycheck net inflows [6] - Wealth Management had $2 billion of advisory net inflows, with a trailing twelve-month organic growth rate of 12% [6] - Asset management reported net outflows of $6.7 billion, but returned to net inflow in June, with AUM up 20% year over year to $77 billion [7][15] Market Data and Key Metrics Changes - The company experienced a strong recovery in markets, which is expected to support future growth in spread and fee-based earnings [6] - The trailing twelve-month organic growth rate in Wealth Management was 12%, indicating robust market demand [15] Company Strategy and Development Direction - The company is focused on organic growth across retirement, asset management, and wealth management businesses, leveraging an integrated business model [4][33] - The individual life reinsurance transaction with RGA is expected to reduce earnings volatility and enhance returns on capital [10][29] - The company aims to grow annual cash generation to $2 billion by 2027 and maintain a payout ratio of 60% to 70% [11][32] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving financial targets for 2027, with expectations for EPS growth to accelerate in 2025 due to recovering markets and reduced mortality exposure [33] - The company anticipates a strong second half of the year, driven by record AUM levels and higher investment portfolio yields [28][33] Other Important Information - The company returned $318 million to shareholders in the second quarter, representing a 74% payout ratio, above the target range [8][31] - The company plans to execute at least $500 million of incremental share repurchases and repay some debt before year-end [9][32] Q&A Session Summary Question: How should we think about the growth in earnings beyond the third quarter baseline? - Management indicated that the baseline for third quarter earnings is $220 million to $225 million, with expectations for growth supported by equity market rebounds [36][38] Question: Is there sensitivity to the outlook if the Fed starts cutting rates? - Management clarified that profitability is more influenced by ten-year treasury rates and corporate spreads rather than short-term rates [45] Question: How do the economics of products sold through Wealth Management compare to third-party sales? - Management noted that products sold through Wealth Management have better persistency and higher margins due to closer client relationships [46] Question: What is the plan for capital management post extraordinary dividends? - Management plans to use excess capital for share buybacks and debt reduction, with a disciplined approach to any potential acquisitions [50][55] Question: How long is the RILA roll-off dynamic expected to continue? - Management expects the older business to run off over the next few quarters, with a focus on maintaining growth momentum [72][74] Question: What benefits does the Bermuda entity provide? - The Bermuda entity allows for better management of cash flows and reduces volatility related to hedging, enhancing consistency in cash flow [75][79]

Financial Performance - Non-GAAP operating earnings per share were $1.10, but adjusted for notable items, the figure rises to $1.41[8] - Assets Under Management/Administration (AUM/A) reached $1.1 trillion, an 8% increase year-over-year and 5% year-to-date[8] - The company returned $318 million to shareholders, resulting in a payout ratio of 74%, exceeding the target range of 60-70%[8] - The company is on track to generate $1.6-1.7 billion of organic cash in 2025, with approximately 50% originating from asset and wealth management[8] Strategic Initiatives - The Individual Life transaction closed on July 31st, generating approximately $2 billion in value and reducing mortality exposure by 75%[8] - The company expects $1 billion of incremental dividends to Holdings in the second half of 2025 from the Individual Life transaction[8] - Private Markets AUM increased by 20% year-over-year, reaching $77 billion[8,11] - The company ceded approximately $30 billion of annuity liabilities to its Bermuda entity[21] Segment Results - Retirement saw net inflows of $1.9 billion, supported by RILA and BlackRock LifePath Paycheck[8] - Wealth Management advisory net inflows amounted to $2.0 billion[8] - Asset Management experienced active net outflows of $4.8 billion, primarily in April[8]

Core Insights - Equitable reported mixed Q2 2025 earnings, with adjusted non-GAAP EPS of $1.41 exceeding estimates but revenue falling short significantly [1][2] - Year-over-year comparisons show a sharp decline in both reported revenue and EPS, with revenue down nearly 33% and non-GAAP EPS down 23% [1][2] - A major life reinsurance deal with RGA completed on July 31, 2025, significantly reduced mortality risk and enhanced capital flexibility [1][5] Financial Performance - Q2 2025 non-GAAP EPS was $1.10, below the $1.28 estimate and down 23.1% from Q2 2024's $1.43 [2] - Revenue for Q2 2025 was $2.36 billion, a decline of 32.8% from the previous year [2] - Non-GAAP operating earnings were $352 million, down 28.9% from $495 million in Q2 2024 [2] - Total assets under management/administration increased to $1.07 trillion, up 8.4% year-over-year [2] Business Segments Overview - Equitable operates across three main business lines: retirement, asset management, and affiliated distribution, structured into six segments [3] - The Retirement segment saw net inflows of $1.7 billion, with first-year premiums up 7% [6] - Wealth Management achieved advisory net inflows of $2.0 billion and a 16% increase in assets under administration to $110 billion [6][11] - The Asset Management segment ended with $829.1 billion in AUM, but faced significant net outflows totaling $6.7 billion [7] Strategic Developments - The completion of the RGA reinsurance deal reduced mortality risk exposure by 75% and unlocked over $2 billion in value [5] - Equitable plans to utilize freed capital for share buybacks, debt reduction, and to strengthen core businesses [5] - The company returned $318 million to shareholders, exceeding its payout target range [9] Future Outlook - Management reaffirmed multi-year targets, including $2 billion in annual cash generation and 12-15% compound annual earnings growth through fiscal 2027 [12] - Expected growth and earnings acceleration in the second half of fiscal 2025, contingent on normalized capital markets [12] - Investors should monitor trends in net flows within the Asset Management segment and the impact of mortality volatility [13]

For the quarter ended June 2025, Equitable Holdings, Inc. (EQH) reported revenue of $3.8 billion, up 5% over the same period last year. EPS came in at $1.41, compared to $1.43 in the year-ago quarter.The reported revenue compares to the Zacks Consensus Estimate of $3.92 billion, representing a surprise of -2.92%. The company delivered an EPS surprise of +10.16%, with the consensus EPS estimate being $1.28.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall S ...

All information included in this financial supplement is unaudited. This financial supplement includes information from prior periods which have been revised 2Q 2025 Financial Supplement 2 This financial supplement should be read in conjunction with Equitable Holdings' filings with the Securities and Exchange Commission ("SEC") can be accessed upon filing at the SEC's website at www.sec.gov, and at our website at ir.equitableholdings.com. Consolidated Financials and Key Metrics Table of Contents | Consolida ...

Group 1 - The focus is on income investing through common shares, preferred shares, or bonds, with occasional insights on the broader economy or specific company situations [1] - The author has a background in history/political science and an MBA with a specialization in Finance and Economics, indicating a strong analytical foundation [1] - The author has been investing since 2000 and currently serves as the CEO of an independent living retirement community in Illinois, suggesting practical experience in both investment and management [1] Group 2 - There are no disclosed stock, option, or derivative positions in any mentioned companies, indicating an unbiased perspective in the analysis [2] - The article expresses personal opinions and is not influenced by compensation from companies mentioned, ensuring independence in the analysis [2] - Seeking Alpha clarifies that past performance does not guarantee future results, emphasizing the importance of independent research for investors [3]

Equitable (EQH) 2025 Conference Summary Company Overview - **Company**: Equitable (EQH) - **Date of Conference**: June 11, 2025 - **Key Speaker**: Robin Roger, CFO of Equitable Key Points and Arguments Strategic Goals and Financial Metrics - Equitable outlined a growth strategy during the Investor Day in May 2023, focusing on: - Defending and growing core businesses in retirement and asset management - Seeding future businesses in plan guarantees and emerging markets - Scaling wealth management and private credit capabilities [4][5] - Financial targets include: - Growing cash flows from $1.3 billion to $2 billion by 2027 - Increasing payout ratio to 60%-70% from 40%-60% - Achieving earnings per share (EPS) growth of 12%-15% [6][7] Progress on Financial Metrics - Cash flow projections for 2025 are between $1.6 billion and $1.7 billion, with confidence in reaching $2 billion by 2027 [6][68] - Achieved a payout ratio of 68% over nine quarters and 12% EPS growth over two years, despite some adverse mortality impacts [7][8] RGA Transaction and Capital Allocation - The RGA transaction is expected to free up $2 billion in capital, allowing for strategic investments and enhancing growth in asset and wealth management [9][10] - Increased ownership stake in AllianceBernstein from 62% to 69%, using $800 million of the proceeds [11] Business Mix and Growth Opportunities - By 2027, approximately 50%-60% of cash flow is expected to come from asset and wealth management, up from 17% at IPO [12][49] - The integrated business model allows for leveraging strengths in annuities to expand into asset and wealth management [16][25] Retirement Market Insights - The retirement market is significant, with 4 million Americans turning 65 this year and $600 billion in assets moving out of 401(k) plans [18][34] - Buffered annuities are gaining traction, especially during market volatility, with a 40% year-over-year increase in the RILE market [29][30] Future Growth in 401(k) Business - The 401(k) market is valued at $8 trillion, with annuities holding less than 1% market share, presenting a substantial growth opportunity [36][39] - Partnerships with firms like BlackRock and JPMorgan are expected to drive inflows and market penetration [37] Wealth Management Performance - Equitable has seen strong net inflows and adviser productivity, with assets under administration growing from $40 billion at IPO to over $100 billion [45] - Plans to enhance adviser recruitment through experienced hires and potential small acquisitions [46][47] Private Market Strategy - The private markets are expanding, with a focus on private credit and insurance, leveraging sticky liabilities for better returns [56][59] - Equitable maintains a conservative approach, avoiding below-investment-grade assets while focusing on higher-grade private credit [63] Capital Deployment and Share Buybacks - Following the RGA transaction, Equitable plans to deploy $2 billion in capital, including $500 million for share buybacks and debt repayment [76][77] - The company is positioned to be offensive in capital deployment, depending on market conditions [78] Additional Important Insights - The flywheel effect of integrating asset management and retirement businesses is expected to enhance overall returns and growth [17][21] - The company is optimistic about future earnings growth driven by demographic trends and market opportunities in retirement solutions [34][35] This summary encapsulates the key insights and strategic directions discussed during the Equitable conference, highlighting the company's growth ambitions and market positioning.

Company Overview - Equitable Holdings, Inc. (EQH) is headquartered in New York and operates in the Finance sector [3] - The stock has experienced a price change of 11.72% since the beginning of the year [3] Dividend Information - Currently, EQH pays a dividend of $0.24 per share, resulting in a dividend yield of 2.05% [3] - The company's annualized dividend of $1.08 has increased by 14.9% from the previous year [4] - Over the last 5 years, EQH has increased its dividend 5 times year-over-year, averaging an annual increase of 8.95% [4] - The current payout ratio for EQH is 16%, indicating that it paid out 16% of its trailing 12-month EPS as dividends [4] Earnings Growth Expectations - For the fiscal year, EQH anticipates solid earnings growth, with the Zacks Consensus Estimate for 2025 at $6.62 per share, reflecting an expected increase of 11.64% from the previous year [5] Industry Context - The Insurance - Multi line industry's average dividend yield is 1.82%, while the S&P 500's yield is 1.56%, positioning EQH favorably within its sector [3] - Dividends are significant for investors as they enhance stock investing profits, reduce overall portfolio risk, and offer tax advantages [6] - It is noted that larger, established companies are more likely to offer dividends compared to tech start-ups or high-growth businesses [7] Investment Consideration - EQH is considered a compelling investment opportunity due to its strong dividend profile and current Zacks Rank of 3 (Hold) [7]